OCR Specification focus:
‘Cold War, Potsdam, division of Germany, Bizonia and developments in the Soviet Zone, currency and the Berlin Blockade’
The Cold War shaped Germany’s political, economic, and social trajectory after 1945, creating lasting division between East and West, driven by superpower rivalry, ideological conflict, and strategic necessity.
The Potsdam Conference (July 1945)
At Potsdam, the Allied leaders – Stalin (USSR), Truman (USA), and Attlee (UK) – gathered to decide Germany’s future after the war. Unlike the earlier Yalta Conference, tensions were far sharper.
The USA had just successfully tested the atomic bomb, altering the power balance.
Disagreements emerged over reparations, borders, and the political reconstruction of Germany.
The Allies agreed on the demilitarisation, denazification, and democratisation of Germany, but failed to reach long-term consensus on its unity.
This lack of agreement at Potsdam marked the beginning of Germany as a focal point of Cold War rivalry.
Division of Germany
Following Potsdam, Germany was divided into four occupation zones (Soviet, American, British, and French). Berlin, located within the Soviet zone, was also split into four.
A clear map of the Allied occupation zones in post-war Germany, with Berlin shown as a four-power enclave inside the Soviet zone. Helpful for locating Bizonia and understanding the geographic logic behind later tensions. Source
Each zone was governed separately, with the Soviet Union seeking to impose socialism and the Western Allies aiming to build a capitalist democracy.
Increasing tension meant joint decision-making through the Allied Control Council became impossible.
By 1949, the separation hardened into two distinct states: the Federal Republic of Germany (FRG/West Germany) and the German Democratic Republic (GDR/East Germany).
Bizonia: The economic and administrative union of the British and American zones of occupation in Germany, established in January 1947.
Bizonia and Western Developments
The first step towards division came in January 1947 with the creation of Bizonia, merging the US and UK zones economically.
This allowed economic coordination, essential for recovery given wartime devastation.
In 1948, France joined, forming Trizonia, strengthening Western integration.
The West promoted reconstruction through the Marshall Plan (1947), which the USSR rejected for its zone.
These developments entrenched the split, with the West focusing on economic revival and democracy while the Soviets pursued centralised socialist policies.
Developments in the Soviet Zone
The USSR aimed to create a loyal socialist state in its occupation zone.
Land reform redistributed estates to peasants, undermining traditional elites.
Nationalisation of industry concentrated economic control under the state.
Political parties were merged in 1946 into the SED (Socialist Unity Party), dominated by communists.
A strong secret police apparatus emerged to suppress dissent and control opposition.
This system laid the groundwork for the authoritarian structure of the GDR.
The Currency Reform and Economic Tensions
By 1948, the German economy was in crisis, marked by shortages and black market activity. The Western Allies sought to stabilise the situation.
In June 1948, they introduced the Deutsche Mark in Bizonia and West Berlin, without consulting the USSR.
High-quality image of a 1948 Deutsche Mark note issued by the Bank deutscher Länder, the immediate post-war West German issuing authority. Source
The Soviets retaliated by introducing the East German Mark in their zone.
The competing currencies symbolised deepening division.
Currency Reform (1948): The replacement of the Reichsmark with the Deutsche Mark in Western zones, aimed at stabilising the economy and reducing inflation.
This reform allowed Western Germany to embark on economic recovery but deepened East–West antagonism.
The Berlin Blockade (1948–1949)
The most dramatic early Cold War confrontation over Germany came with the Berlin Blockade.
Causes
Western introduction of the Deutsche Mark.
Soviet fears that a strong West Germany threatened their security.
Disputes over political integration and Allied control of Berlin.
Events
In June 1948, Stalin ordered the blockade of all land and canal routes into West Berlin, cutting off food, fuel, and supplies.
The Allies responded with the Berlin Airlift (June 1948–May 1949):
Diagram showing inbound and outbound air corridors from the Western zones into the Berlin Control Zone during the blockade. Source
Around 2.3 million tonnes of supplies were flown into West Berlin.
At its peak, planes landed every few minutes.
Outcomes
In May 1949, the Soviets lifted the blockade, recognising its failure.
The crisis convinced Western Allies of the need for permanent division and collective security.
West Germany was formally established as the FRG in May 1949; East Germany as the GDR followed in October.
Wider Impact of the Cold War on Germany
The Cold War ensured Germany was at the frontline of superpower rivalry:
The West integrated into the Western Bloc, joining NATO in 1955 and benefiting from US economic aid.
The East was tied to the Soviet Bloc, joining COMECON (Council for Mutual Economic Assistance) in 1949 and later the Warsaw Pact.
Berlin remained a symbolic and strategic flashpoint, divided into democratic West Berlin and communist East Berlin, foreshadowing future crises.
The Cold War thus transformed Germany from a defeated power into the central battleground of the ideological struggle between communism and capitalism.
FAQ
The Marshall Plan offered economic aid to Western Europe, including the Western zones of Germany, to rebuild after the war.
The Soviet Union rejected the plan and forbade Eastern European states from participating. In Germany, this deepened the economic contrast between West and East, fuelling suspicion that the West intended to create a strong capitalist state on the Soviet border.
This rejection encouraged Stalin to consolidate control over the Soviet zone, hardening division
West Berlin, though geographically within the Soviet zone, symbolised Western democratic influence inside communist territory.
For the Allies:
It acted as a showcase of capitalism and democracy.
It was strategically important for asserting presence in Central Europe.
For the Soviets:
It was seen as a Western intrusion in their zone.
It threatened Soviet authority by providing East Germans with an alternative political and economic model.
The Airlift strengthened the bond between West Germans and the Western powers.
Ordinary West Berliners experienced the Allies’ commitment to their survival, with constant flights delivering essential goods.
Western propaganda highlighted the humanitarian success, contrasting Soviet aggression with Allied generosity.
This goodwill helped stabilise political support for the emerging Federal Republic of Germany.
Both blocs used the blockade as a propaganda opportunity.
The Western Allies presented the Airlift as proof of their determination to defend freedom and democracy. Newsreels and press coverage emphasised the efficiency and scale of the operation.
The Soviets portrayed the blockade as a defensive measure against Western economic aggression, blaming the currency reform.
This battle of narratives helped frame the Cold War as an ideological conflict as much as a geopolitical one.
The Allied Control Council was intended to provide joint administration of Germany, but it required consensus to function.
The Western introduction of the Deutsche Mark was undertaken without Soviet approval.
This unilateral decision undermined cooperation and signalled that the Western Allies were moving towards their own administration.
As a result, the Soviets withdrew from the Control Council in March 1948, ending the last major mechanism for four-power governance of Germany.
Practice Questions
Question 1 (2 marks)
In which year did the Western Allies introduce the Deutsche Mark in their occupation zones of Germany?
Mark scheme:
1948 = 2 marks
Any other date = 0 marks
Question 2 (6 marks)
Explain two reasons why the Berlin Blockade (1948–49) was a significant development in the Cold War.
Mark scheme:
Candidates can gain up to 3 marks per reason, with a maximum of 6 marks in total.
1 mark for identifying a reason.
1 mark for describing or elaborating on the reason.
1 mark for explaining its significance.
Examples of valid points:
Reason 1: It demonstrated the division of Germany into two distinct blocs.
Identification: The blockade showed that the USSR and Western Allies could no longer cooperate. (1 mark)
Description: The Soviets attempted to force the Allies out of Berlin. (1 mark)
Significance: This hardened the split that led to the creation of the FRG and GDR. (1 mark)
Reason 2: It marked the first direct confrontation of the Cold War.
Identification: Stalin blockaded all land and canal routes into West Berlin. (1 mark)
Description: The West responded with the Berlin Airlift, supplying 2.3 million tonnes of goods. (1 mark)
Significance: It set the pattern for Cold War conflict through indirect confrontation rather than open war. (1 mark)
Other acceptable answers may include:
Showed Western commitment to defending Berlin.
Led to the establishment of NATO.
Embarrassed the USSR by showing the limits of its control.
