Soviet-Austrian Trade and Economic Relations, 1955-1964.

The research project "Soviet-Austrian Economic and Trade Relations, 1955-1964" will be conducted at the Ludwig Boltzmann Institute for Research on the Consequences of War in cooperation with the Russian State University of Humanities (RGGU) from 2022 to 2025. Numerous international partners such as Harvard University and the University of Helsinki are involved. The aim is to research the economic thinking of the Soviet leaders, which under Khrushchev underwent a decisive change. Greater attention was now paid to the development of bilateral trade and economic relations, especially with Finland and Austria. The aim of this project is to examine the economic interaction of the Soviet Union with one of the capitalist countries of Europe in the context of the development of political relations and taking into account the specifics of Austria`s neutral status. For the Soviet side, trade with Austria had both an economic and a political function: the example of the positive development of economic relations fitted well with Khrushchev`s concept of peaceful coexistence. On the basis of Soviet and Austrian archival sources, it will be investigated - what the conceptual economic and political reasons were for the successful development of trade and economic relations between the USSR and Austria; - whether economic facilitation through trade agreements, but also discounts on compensation deliveries, were used as a soft power instrument against neutral Austria; - to what extent compensation deliveries served to build confidence as a basis for trade; - how trade and economic relations between the Soviet Union and Austria and those between the Soviet Union and Finland developed; - and whether trade and economic relations with neutral Austria were seen by the Soviet Union as an "experimental field" or model for East-West trade in general. As in previous international research projects of the Ludwig Boltzmann Institute for Research on the Consequences of War, the results of the project will be published in various publicat ions in English, German and Russian.

The project examined Austria's role as a so-called "economic bridge" between East and West during the early Cold War and analyzed the political, economic, and institutional mechanisms that made this function possible. The aim of this project was to examine the Soviet Union's economic interaction with Austria in the context of the development of political relations and taking into account the specificities of Austria's neutral status. Based on Soviet and numerous archival studies both domestically and abroad, the project conducted an in-depth examination of: the conceptual economic and political reasons for the successful development of trade and economic relations between the USSR and Austria; - whether economic concessions through trade agreements, as well as reduced compensation deliveries, were used as a soft power instrument vis-à-vis neutral Austria; - to what extent compensation deliveries served as a basis for building trust in trade relations; - how trade and economic relations between the Soviet Union and Austria developed, and to what extent it was a political goal for the Kremlin to force Austria into a relationship of economic dependence. Another focus of the project's research was the institutionalized control of trade with the East by the United States. Washington viewed the close Austrian-Soviet relations primarily with skepticism and sought to exert influence through trade controls and diplomatic pressure. Austria navigated a tension between cooperation and autonomy, complying with certain control measures while simultaneously pursuing its economic interests vis-à-vis both sides. Due to its neutral position and its comparatively good relations with both power blocs, Austria had assumed a central mediating role. For the Soviet Union, Austria served as a gateway to the West, both in terms of markets and technology, while Austria itself derived economic benefits from this intermediary position.