Did the U.S. Trade with Germany During World War II?

Did the U.S. Trade with Germany During World War II?

During World War II, the relationship between the United States and Germany was indeed more nuanced than commonly portrayed. Many Americans mistakenly believe that no trade occurred, but in fact, American businesses, particularly through private citizens and companies, did conduct certain types of transactions with Germany, often in defiance of international laws and embargoes.

Historical Context and Trade Practices

Before the outbreak of World War II, the United States allowed its citizens and businesses to trade with belligerent nations, a practice that was considered standard for neutral countries. This was a pragmatic approach as neutral nations generally engaged in more commerce with closer neighbors. However, as the war unfolded, the United States began to dramatically curtail its trade with Germany, largely due to Neutrality Acts passed in the 1930s to minimize such transactions.

Impact of the Anglo-French Blockade

The Royal Navy's significant success in blockading Germany led to a steep decline in American trade with the nation. Despite some businesses defying these restrictions, the majority of American commerce with Germany ceased by the late 1930s. Once the United States officially entered the war, any attempts to conduct business with Germany were met with severe legal consequences, including prosecution for espionage and treason.

Notable Exceptions and Collaborations

Several American companies and figures are notable for their involvement with Germany during World War II. For example, Henry Ford maintained a business relationship with Nazi Germany through the Ford Motor Company, despite his personal admiration for the regime. The company built plants in Germany and other European countries, but these assets were taken over by the German government after the war's onset.

IBM is another example. The German subsidiary of IBM became one of its most profitable overseas subsidiaries, profiting from the parent company's policies that allowed for asset transfers to neutral countries. This practice continued even as the relationship between the United States and Germany became increasingly strained. After the war, IBM faced challenges in reclaiming its assets in Germany.

myths and Misinformation

Several common myths about American interactions with Germany during World War II include the idea that the U.S. government could not legally engage in commerce with foreign governments. This is not entirely true; American companies did conduct business with Germany, but they faced significant risks and legal repercussions. Additionally, the portrayal of Charles Lindbergh as an isolated figure among American sympathizers of Nazism is misleading. Many intellectuals and public figures in Europe and America showed similar sympathies, though the consequences for American sympathizers were significantly different.

Conclusion

The trade relationship between the U.S. and Germany during World War II was characterized by a mix of legal and ethical ambiguities. While American businesses largely complied with the increasingly stringent embargoes and restrictions, some, like Henry Ford's company and IBM, exploited loopholes and the nuances of international law to continue their operations. The aftermath of the war saw the consolidation of control over these assets by the German government, reflecting the complex and multifaceted nature of international trade during wartime.

Keywords:

World War II U.S. Trade with Germany Neutrality Acts