Berlin Crisis

• Potsdam agreement

  1. Allies agreed to divide Germany and its capital, Berlin, into four zones – American, British, French and Soviet

  2. Idea was to treat Germany as a single economic unit
• Differences quickly emerged


  Over how to run the defeated country
• Merging of British and American zones


  1. Created the 'Bizone'

  2. French zone joined the following year
• Western allies introduced a new currency

  1. Deutsche Mark – to its zones

  2. Soviets felt this went against the agreement to treat Germany as a single economic unit
• USSR introduced its own currency

  1. Ostmark – to the Soviet Zone

  2. Cut off road, rail and canal traffic in an attempt to starve West Berlin
• Allies used the three air corridors


  1. Airlift supplies (4600 tons of supplies a day on average) to West Berlin over the following ten months

  2. In May 1949 Stalin backed down
• First direct confrontation between the USA and USSR during Cold War
• Formation of NATO

  US commitment to defence of western Europe
• West Germany formed in late May 1949, East Germany formed in Oct