NIE-49: SWEDEN'S POSITION IN THE EAST-WEST CONFLICT (THIRD DRAFT)

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CIA-RDP79R01012A001500020024-6
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RIPPUB
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S
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29
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December 9, 2016
Document Release Date: 
March 16, 1999
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24
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Publication Date: 
February 8, 1952
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NIE
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Approved For ReleasQ000/09/11 : CIA-RDP79R01012A001W20024-6 SECURITY INFORMATION CONFIDENTIAL, CENTRAL INTELLIGENCE AGENCY OFFICE OF NATIONAL ESTIMATES 8 February 1952 SUBJECT: NIE.49t SWEDEN'S POSITION IN THE EAST-WEST CONFLICT (Third draft) THE PROBLEM To assess: (a) Sweden's strategic importance; (b) its present policy in the Fast-West conflict; (o) the possibilities of a change in this policy; and (d) the advantages and die- advantages of Sweden'd position to the NATO powers and the USSR. CONCLUSIONS 1. Sweden's geographic locations sizeable economic resources, and considerable military potential give it substan- tial strategic importance to both NATO and the USSR. Until 49*. DOCUMENT NO. NO CHANGE IN CLASS. D DECLASSIFIED CLASS. CHANGED TO: TS S Approved For Release 2000/09/M6/2-01012A0015111M0 Ze-2 DATE: NEXT REVIEW DATE: REVIEWER: C 01 a5C Approved ForReleasV00/09/11:UA-RDP79R01012A0015g20920024-13 CONFIDENTIAL the NO forces are adequate to defend at least Norway, Sweden's active participation might well be the key to the successful defense of important Norwegian base areao against a Soviet attack. 2. Despite its pro41estern and anti-Communist outlook, Sweden is unlikely to join NATO in peacetime and will probably cling. to its "alliance-free" policy as long as possible, even in event of war. 3. However, there is an even chance. that Sweden would join the NATO powers in event of a Soviet attack on Norwaya provided that the NATO forces could come quickly to its defense Sweden would certainly fight if itself attacked. 4. Until NATO is strong enough to defend Norway and Denmark, Sweden's ono-alliance" policy will hamper the develop-. ment of adequate Scandinavian defenssaand thus be disadvantageous to the West. Approved For Release 2000/097MMDP79R01012A001500020024-6 CONFIDENTIAV Approved For Releas%21900/09/11 : CIA-RDP79R01012A0015V10024-6 '6ONVIDENTIAL 5. Moreover, if Sweden were isolated by wartime Soviet occupation of Norway, its valuable trade with the West would be cut off and it woad be forced, under Soviet pressure, to . make an important economic cOntribution.to the Soviet bloc. 6. Should NATO defense capabilities grow to the point the USSR no longer considered that a Scandinavian campaign was feasible it would still find Nadi& neutrality advantageous as a protection for the Soviet Baltic flank. DISCUSSION I. SWEDEN $5 STRATEGIC IMPORTANCE 0 Geoarathic. Sweden, comprising over half of the Scandinavian peninsula, lies across the most direct air routes between the northern and western USSR and Norway, the UK, Greenland, Iceland, and North America? ,and could provide offensive and defensive air facilities to either the USSR or ? - 3 - Approved For Release 2000/04MINUR01012A001500020024-6 Approved For Releasi jp00/09/11 : CIA-RDP79R01012A0015W0024-6 SECRET the Western allies.- It is also a major factor in the control of the Baltic and it western entrance. Moreover, Pweden pro- vides, with Finland, a buffer between the USSR and the valuable air and naval base sites along the Norwegian coast, the most logistically feasible approach to which lies through Sweden itself. Finally, the Scandinavian peninsula, including Sweden, overhangs the North German plain, the chief military route across Western Europe and if held securely by the NATO powers, could go used as a baso.from T,ihieh to threaten Soviet lines of communication across. Germany. 2. Political -- Economic andSelgatlgie. Sweden is a stable, politically mature democracy of about seven million people. Its present Social Democratic-Agrarian coalition govern- ment enjoys solid popular support. Sweden has only a small Communist party, numbering only an estimated 35,000. 3. As one of the most highly industrialized nations in the world, Sweden is an important producer of Ships, tell and - 4 ? Approved For Release 2000/09/11 : CIA-RDP79R01012A001500020024-6 SECRET Approved For Release4)0/09/11 : CIA-RDP79R01012A0015040024-6 SECRET roller bearings, industrial machinery, engines and turbines, electrical apparatus, steel, and numerous other manufactures, as well as high quality iron ore. The Swedish Bofors firm designs and produces excellent naval and anti-aircraft guns. Swedenls aircraft industry is capable of producing limited numbers of modern jet fighters. Its marine engineering and aeronautical installations are capable of extensive research and develoment work. Sweden's basic scientific and technological research is excellent in a number of fields. Its scientists rank with the world's best in physical chemistry ahd medicine, for example, and it expects to have an underground atomic pile operating in 1953. 4.. Some 92-93% of Swedish trade is with the West, the UK and West Germany being Sweden's largest customers. Sweden's large exports of iron ore luMber? pulp and paper, bearings, machinery and ships, etc., make an important contribution to - 5 - Approved For Release 2000/09/1FWRDP79R01012A001500020024-6 Approved For Releass900/09/11 : CIA-RDP79R01012A0015d4y0024-6 SECRET to Western European economic strength. For euamples about 11% of the free world's iron is derived from Swedish ore. 5. Although fteden is slightly more dependent on trade with the Soviet Bloc than most other Western European countries, this accounts for only 74% of Swedish trade. It consists chiefly of an exthange of iron ore, ball and roller bearings, and machinery for Polish coal and some mineral ores. This trade has been declining steadily over recent years, and under Western measure, Pweden has adopted Eastialest trade controls comparable to those of the European NATO countries1 It sells no munitions to the Soviet Bloc and only surrenders strategic goods where essential to obtain such essential imports as Polish coal. 6. However, Sweden's dependence on foreign sources for two-thirds of its raw materials and practically all of its coal, coke, and petroleum products renders its economy critically vulnerable to external pressures. Any major interference with - 6 - Approved For Release 2000/09/11 ? CIA-RDP79R01012A001500020024-6 SECRET Approved For Release400/09/11 : CIA-RDP79R01012A00150040024-6 SECRET the flow ofimports such as in wartime would inevitably have serious disruptive effects on the Pwedieh economy. 7. Armed Forces. Sweden is modernizing and expanding its 75,000 man armed forces, the largest and best in Scandinavia, although far less than its resources would allow. The forth- coming defense budget will probably be more than 40; above that of the present fiscalyear, although Sweden will still only be spending 5% of its national income for 4sfense. It is build- ing' modern jet aircraft (and buying others from the UK), enlarging and modernizing its fleet and expanding ground force training. However, the armed forces suffer from serious weaknesses which ? sharply limit their capabilities in time of war. The quality ? of Swedish manpower and basic training is excellent, but the armed forces are lacking in combat experience and high level staff and command training for Large operations. While serious logistical deficiencies exist. Approved For Release 2000/09/WaRDP79R01012A001500020024-6 Approved For Release4p0/09/11 : CIA-RDP79R01012A00150C0p024-6 SECRET 8. Sweden's army of 50,000 comprises orAy 15,000 regulars, although mcbilizable army manpower totals same 675,000 Men, Most of them semi-trained. The 9-10 month conscription period is inadequate by NATO standards, and there is a Shortage of modern equipment. 9. Sweden's navy is a well-rounded force of high standards designed for coast defense. Built around three cruisers, twelve destroyers* and twenty-one submarines, it is weak in modern equipment, though a new construction and modernization pregram? is in progress. By the end of 1952, for example, all sabmarines will be fitted with radar, sonar, and snorkels. 10. The Air Force, Western Europe's second best, is con- sidered by Sweden to be its first line of defense. It has 1,688 aircraft (10095 of them in operational units), of which 366 are jets. Of Sweden's 62 airfields, six can now sustain jet fighter or medium bomber operations, four more can sustain - 8 SECRET Approved For Release 2000/09/11 : CIA-RDP79R01012A001500020024-6 Approved For ReleaseZ00/09/11 : CIA-RDP79R01012A001504420024-6 SECRET jet fighters and be developed for bombers, and a further ten can support limited jet fighter operations. Sweden's air defenses have been greatly 'improved 25X6 but the air force is lacking in eadhat experience, its equipment is unequal to that, of the USSR, and it suffers from critical logistic deficiencies, particularly fuel. 11. In the light of the above military wealmesses, the Swedish forces are presently incapable of more than a delaying action against a major Soviet attack. The duration of their defensive effort would depend upon vbether thoy had sufficient time to -mobilize and receive substantial outside support* On the other hand, Sweden's already sizable .military potential and resources provide a basis for a marked expansion in Swedish, military capabilities, perhaps to the point where, together with the ?LTO Northern Operand forces, they could successfully ? 9 ? .Approved For Release 2000/09/11 : gairapr9R01012A001500020024-6 25X6 Approved For Release 2000/09/11 : CIA-RDP79R01012A0015041020024-6 SECRET defend large areas of Scandinavia. such a build-up of Swedish defenses however, would require outside assistance* 12. wSeslealtmle in Scandinavian derma. The ultimate test of Sweden's strategic importance .to the USSR and the NATO powers hoe in its potential role in the defense of the Scandinavian peninsula in event of were Should uar cone the USSR would probably consider an way occupation of at leaat Norway and Denmark as second inimportance only to its nein thrust across Western. Amapa. On the otherband, the NATO powers are committed to defend both Norway and Denmarkaad their defenses are being built up through MDAP aid. The chief objective of both sideS would probably be to hold the valuable air and naval bases and radar sites along the Norwegian coast. Until the NATO powers are strong enough to defend .Denmark or at least Norway, Sweden, because of its geographic location and sizable armed forces, could make a valuable contribution to Norway's defense (see,paragraph ).. Approved For Release 2000/09/11 : CiAA1YP79R01012A001500020024-6 SECRET Approved For Release 2000/09/11 : CIA-RDP79R01012A001544020024-6 Noure SECRET 13, While Sweden's strategic importance to the NATO pawn* is primarily defensive, once these powers uere strong enough to defend the Scandinavian peninsula (and perhaps Nnmark)? Sweden woUld have potential value 83 a base for offensive air and Pethaps eventually naval and amphibious operationSogainst the Soviet Baltic f11. Ouch operations uould be seriously hampered,-however, by the difficulty ofachieving lecal air and naval superiority over Soviet forces operatihg from heathy bases, and by the logietical difficulties of supPlying the allied forces in Nolen. II. SWEDEN'S PRESENT FOLD"! In THE EAST41ErT CONFLICT 14. The nwedish people and goverment remain firmly attached to their traditional policy of "freedom from military alliances", the objective of which, together with the maintenance of adequate defenses, is to avoid Involvement in a general ware To the Swedish public, which overwhelmingly supports the neutrality - Approved For Release 2000/09/11 : Cl&diff9R01012A001500020024-6 Approved For Releas%2?900/09/11 : CIA-RDP79R01012A001501420024-6 SECRET policy, the most persuasive argument in its behalf is the peace that the country has enjoyed for approximately 150 years. Although cognizant of the Soviet threat to Swedish security,. the Suedes are not convinced that they have no hopo of escaping involvement in a future war. They are under no delusion that they could withstand attack without 'bstern support, but they .believe they can build up ti-eir armed forces and- spirit of resiatance to a point that would make invasion not uorthwhile. Moreover, they are camfidera;that, regardless of their non- membership in NATO, ,the Western powers 'will come to their assistance in event of Soviet attack.. 15. While all four non-Communist parties support in principle the non-alliance policy)/ the leaders of the Liberal and Conservative opposition parties have criticized the implemen- tation of the policy by the majority Social Democratic.4grarian 11 Sweden's small Communist party, While not objecting to nem.. trality as such, professes to regard it as a fraud, alleging that Suedieh foreign policy is actUtiAy pra.4estern and nom-neutral. ? 3.2 OP Approved For Release 2000/09/11 : CIA-RDP79R01012A001500020024-6 SECRET Approved For Release 2000/09/11 : CIA-RDP79R01012A0015020024-6 SECRET Government as being too rigid, doctrinaire, and lacking in fore- sight. They contend that at a minimum Sweden should undertake technical military cooperation with Dennarl: and Ramey, lest the absence of advance planning prejudice Western aid to Sweden in event of war. They also profeac great concern over the im- pact of Sweden's official neutrality policy on Western opinion. A small but vocal minority led by some of the Liberal party press, including Sweden's largest daily, has gone further and attacked the neutrality policy, arguing that better security would be found in affiliation uith NATO. A number of highwranking Swedish military officers apparently share this view, but it has not at this juncture gained any appreciable public or political support. 16. Despite their official "non,ellianee" policy, both the Swedish government and people arel=ern and anti-Communist. The Swedish people have a deep-seated fear and mistrust of the - 13 - Approved For Release 2000/09/11 : CslitIH79R01012A001500020024-6 Approved For Releasi000/09/11 : CIA-RDP79R01012A0015W20024-6 SECRET USSR. Their mistrust is based largely on historical conflicts with Tsarist Emmaus, which was Swedengs traditional enemy, but it has been strengthened in the postwar period by the USSRos aggressive international pollen incessant Soviet attacks on Swedenos grants of asylum to political refugees, and the r vent disclosure of Soviet espionage in Sweden. Swedish relations with the Soviet bloc, especially with Poland, have worsened over the past year. 170 Swedenes sympathies, as well as its major economic interests, are with the iestern countries, particularly the UK and US. Despite reservations over certain aspects of American foreign policy, and some lingering anti.American sentiment in Social Democratic circles against what they regard as the home of aggressive capitalism there is a friendly feeling for the American peopled Swedish domestic and foreign policy has become more overtly Western in its emphasis since the conflict in Kora., and particularly since NATO defensive capabilities have begun to grow Approved ForRelease2000/09/11:UA-RDP79R01012A001500020024-13 - 14 - Approved For Release 2000/09/11 : CIA-RDP79R01012A0015e20024-6 Neef SBCRET Illy POSSIBILITI2S OF A OHANGF.: IN 3WHDI5H POLICY lee During the Cold Ware Despite its pro4lestern and anti,. Communist outlook* Seeden is unlikely to change its formal "no- allianceto policy during peacetime* and will resolutely resist any . . . Soviet or Western pressure in this direction? Neither the people nor the ,government are readily susceptible to outside political and psychological pressures* to which their history and spirit of independence* comeined with a strong element of stubbornness* make them strongly averse? 19? Sweden woad be particularly resistant to peacetime Soviet threats* although it might be forced to make further limited economic concessions to the Soviet bloc in response to such econirde warfare masures as a threat to cieny it Polish coal? Beyond this* however* it would net yield to peacetime Soviet pressures to alter its foreign or military policies* although Soviet threats might lead the Swedes to teko a more cautious approach in their relations with the "lest? 2D0 On the other hand* there is little prospect that Approved For Release 2000/09/11 : CIA-RDP79R01012A001500020024-6 Sweden would join NATO in peacetime ? The Swedes apparently see 25X6 25X6 Approved For Releasi.1211,00/09/11 : CIA-RDP79R01012A0015V20024-6 SECRET little Compensation through NATO meabership far that they believe would be a definite increase in international tension, and possible Soviet retaliation against Finland, should Sweden join the Western alliance, Nest Swedes, satisfied with the state of their own deformes have not been greatly impressed to date with NATO military assistance to Norway and Danmark,. The Swedes, however, would be very sensitive to any hint of Western pressure in these negotiations, which might only increase their stubbornness, 21. Although opposition leaders have contended that the diaappearence of Finland as a buffer for Sweden would neceasitate reconelderation of Sweden O. paipy, we do not believe that Sweden woad join NATO it the USSR occupied Finland, A recent public opinion poll indicates that only 26% of the 'maple would fever a.departure from neutrality in this event, The Swedish govern? mentos reaction would prcbably not be determined so much by the actual invasion . of Finland as by its asesent of what the next Soviet step would be, Only if it were oonvineed that Finland was merely a springboard for a further Soviet Approved For Release 2000/09/11: CIA-RDP79R01012A001500020024-6 25X6 Approved For ReleasV00/09/11 : CIA-RDP79R01012A0015Q2920024-6 SECRET move into the; Scandinavian area, including Sweden, would it prdbablY make overtures to the rest for some form of military ties. On the other hand, if it believed the USSR intended to move no .further than Finland there would very. likely be no overt change in its policy. It would almost certainly ? expand it own defense preparations, however, and it might enter into exploratory military talks with the West. The sympathetic 'attitude that Sweden would certainly take toward Finnish refugees, together with the increased procdmity of Soviet forces, would create a public opinion increasingly hostile to the USSR. and therefore more willing to think of -sew form of Western military cooperation to rectify the altered power balance in the Baltic, . 22. In event of war. We believe that Sweden would still prefer to remain neutral as long as possible, particularly if Norway were not :directly attacked, As. long as Norway were not invaded, the Swedes would hope that the area might not became an active theater of operations and that Sweden could keep open some lines of communisation with the -'est. Even if Denmark were invaded, which seems likely in the.initial stages or any European war, the Swedes probably still 17 SECkET Approved For Release 2000/09/11 : CIA-RDP79R01012A001500020024-6 Approved For Releasts20000/09/11 : CIA-RDP79R01012A001542020024-6 . SECRET would not openly 3oin the NATO powers, although theorwould certainly mobilise and might open exploratory conversations With the Weft, 230 Should. Norway be attacked, however, or should Sieden become convinced . that an attack on Norway and/or itself was imminent, there is an even chance that Sweden would abandon its neutral policy, especially if by that time NATO was militarily strong enough to extend immediate large-scale assistance in case of attack, A Soviet attack on Norway, even though it bypassed Sweden, would face the government with the question of fighting then or being surrounded and almost oompletely isolated from the West. Although government leaders have been reserved on this 'mint, we believe that they might well regard an attack on Norway as necessitating the entry of Sweden LAO the var. If, however, the attack should come before NATO strength had been built up and the government then believed that quick and adequate Western aid would not be forthcoming Sweden might well decide to remain neutral regardl-sS of the risks, 240 If Sweden were attacked by the USSR while neutral, it would resist with all it, resources. Public opinion polls have indicated that 75% of the Swedish people are determined to resist Soviet attack, while only 7% favor non.resistanee, Approved For Release 2000/09/11 :CkeirR.DP79R01012A001500020024-6 SECRET Approved ForReleasteimp00/09/11:UA-ROP79R01012A00154,020024-13 If Sweden mere invaded and occupied, remnanta of the Swedish forces would flee to Allied territoryvand the.:Wedesiwodld attempt to conduct widespread.. guerrilla warfare) and sabotage operations, I. THE CONIAUENCES OF =mos POSITION TO THP NATO PCrERS AND THR USSR. 25* Swedish adherence to NATO during peacetime. The inclusion in NATO of Svpden s large and potentially strong military establishment would increase -Ttf0 capabilities for the defense of Scandinavia and provide an additional deterrent to Soviet attack* It would permit advance planning and coordination with the -NATO Northern Command, facilitate 'Western Military advice and assistance in building up Swedenes defenses, and give a sharp boost to Norwegian and Danish morale. Given MDAP aid (which the Swedes could largely pay for), Swedente defense capabilities, together with those of the NATO Northern Command, might:be built up over an extended period to a point sufficient to prevent a. puccessful Soviot assault (see paragraph 34). 26, Mile Swedish adherence to NATO mould increase international:tensions, it almost certainly would not be considered as a cam belli by the.MSSR0 Waver, it might lead the USf4.R to occupy Finland or at least to secure further Approved For Release 2000/09/11":NAIIRDP79R01012A001500020024-6 SECRET 25X1C 25X1C 25X1C Approved For ReleasV00/09/11 : CIA-RDP79R01012A0015020024-6 SECRET concessions from the Finns, Moreover, if the USSR launched a Scandinavian campaign in event of war, Sweden Would certainly be attacked. 275. Covert Swedish ties with the Vest during peacetime. 25X1C Although by no means as beneficial as direct Swedish adherence to NATO, it would somewhat increase Scandinavian defense capabilities and might, if kept secret frem the USSR, avoid Soviet retaliation against Finland, The timing of such advance planning or commitments would be of great importance, since the farther ahead the MATO powers could be assured of 6wedenee positionl.the more effective their advance preparations could beacon. 28, ......ContisiedSwshNeutedilitduieacetime. Continued Swedish neutrality during peacetime, particularly so long as NATO weakness prevents Norway and oenmark from being adequately defended, jeopardizes the development of *Motive Scandinavian defenses, It prevents the full utilization of Swedenms defense potential byt (a) making difficult if not impossible joint planning Approved For Release 2000/09/11 :`CIRORI5P79R01012A001500020024-6 SECRET Approved For Release 2000/09/11 : CIA-RDP79R01012A00154920024-6 Nage SECRET and 000rdination; (b) deny4.ng Sweden full access to NATO military advice and assistance; and (e) hampering NATO efforts to induce Sweden to strengthen its defenses* 29. On the other hand Swedenos continued adherence to a nno.alliancen policy is not wholly disadvantageous to theTest, Sweden already cooperate. as effeetively in Eust4leet trade controls as most restern European countries, and is likely to continue to do so. Soviet policy toward F'nland is probably somewhat restrained by a desire not to alienate Sweden, although this factor seems overstressed by the Swedes, Moreover, Swedenge armed fortes and deter. mination to resist already provide some deterrent to Soviet occupation of Scandinavia in event of war. 30. Swedish Neutrality in Event of War. The consequences of Smedenee neutrality during wartime would vary according to the military strength of the NATO powers and the resultant willingnese of the USSR ti undertake a Scandinavian .campaign, Should mar come during the period of NATO weaknese and before Norway in particular could be adequately defended, the USSR would probably WPass Sweden and laUnch an early invasion through Denmark on Norway. By observing Approved For Release 2000/09/11 : GbeaRDP79R01012A001500020024-6 WORM Approved ForRelease2000/09/11:UA-RDP79R01012A00110020024-6 SECRET Wedenva neutrality, the USSR would (a) avoid the necessity of diverting large forces to cope with the Swedish forces; (b) avoid damage to the Swedish industrial establishment as a result of the fighting and of a Swedisq 'scorched ? earth* calpaigng and (o) avoin Abe necessity of occupying Sweden and of coping with'prohable guerrilla warfare, Moreover, once the USSR had occupied Norway and Denmark, Sweden would be almost wildly isolated and its considerable exports to Vestirn Europe would be cut off. The ussas through its control over Swedenvs essential imports, could then force Sweden to re.orient its trade toward the Soviet bloc and to contribute to the Soviet war econany. 31. On the otherhand, a neutral Sweden woad be of se value to the Allies, The USSR would be deprived of the most direct line of communications 25X6 to it. Norwegian bases; 25X6 it wed probably gigs refuge to fleeing Danish and Norwegian farces) and it would probably become a base for resistance activities in these countries and in Finland. Once the USSR had indiated Sweden, however, it would probably Place increasing pressure on the Swedish government to halt these activities, and Sweden would be compelled to at least partially con0170 Approved For Release 2000/09/11 : CkP79R01012A00150002oo24..6 Approved For Re!eel:63000/09/11 : CIA-RDP79R01012A0015p20024-6 SECRET 3.20 Dospite its neutrality, Sweden mead probably not actively resist the overflight of Instern aircraft, although it would officially protest. Partioularl:, if these overflights were at high altitude, the Swedes might only go through the motion of interception and AA fire, and the strongly pro- Western airforce might actually assist lost or disabled Western aircraft. Sweden would more actively defend its neutrality against Soviet overflights, although not to the point of creating serious complications with the USSR. After Sweden had been isolated through Soviet occupation of Norway, however, the government might feel compelled by Seviet pressure to protest more strongly az d take more active measures against "Vesta= overflights. Even in this case, the Swedish air force would be unlikely to carry out in practice the more stringent measures ordered by the government itself. 33. 'Once NATO strength had grown sufficiently to hold in Western Europe, and Denmark or at least Norway could be adequately defendelt Swedish neutrality ? would no longer be so disadvantageous to the lest. The USSR might not be able to divert the necessary forces for an early Scandinavian campaign, and Sweden, which could no longer be whollY isolated by the USS'?? would be less vulnerable Approved For Release 2000/09/11 :4CI23RIDP79R01012A001500020024-6 SNOT Approved For Release 2000/09/11 : CIA-RDP79R01012A0015020024-6 New4 SECRET to Soviet economic pressures and could still conduct limited trade with the lest. Elan under these circumstances the USSR would probably look upon Swedish neutrality as extremely advantageous, as it would screen the Soviet Baltic flankoand would prevent the NATO. powers from making offensive use of Swedish besets0 declared war 34. SWedieh belligerency in event of war. If Sweden/Us a result of a Soviet Attack on Norway, or if Sweden were itself attacked, the USSR would be compelled to eaploy substantially larger forces and overall Scandinavian defense capabilities mould be considerably increased. ''lether or not the NATO powers would be thus enabled to had substantial areas in Scandinavia 'however, would depend upon': (a) the strength of the: AUTO and Swedish forces at the time-war camel (b) the time they had to mobilize; and (c) the outside assistance thioh NATO could provide. Mile the Swedes would probably-be unable to contribute materially to the defense of, Denmark, they might be able to make a valuable contribution to Norwayls defense,. .35. Luting 1952 at least it seems unlikely that the Sredish and NATO Paves would be able to conduct a-mmore than a proloniftd delaying action, although igloodtcpitsvikettArmomil:tiAtle5.79h8gIa and other difficulties would 2A001500020024-6 Approved For ReleaW000/09/11 : CIA-RDP79R01012A001W20024-6 CRET? CONFIDENTIADI maks difficult adequate an timely NATO assistanoe to the Swodish forces, but ? Swedish delaying action might gain valuable time for NATO reinforcement of Norway at least? Moreover, thoac Swedish forces which could retreat into Norway would be able to assist in its defense. Finally, even if Sweden were overrun, the consequent destruction of Swedish factories, transport lines, etc., as well as continued guerrilla warfare might seriously reduce Soviet ability to utilise Swedish facilities and resources after Sweden had been occupied. 36. On the other hand, if genera war 01 not occur for several years, Swedish and NATO defense capabilities might be developed to the point *tore the addition of Swedent's forces-to those of NATO, particularly if they were given time to mobilize, might enable a successful defense of large areas of Sweden or at least Norway from Soviet attack. Should the combined NATO-Swedish ideces 1701 sad Igi? this time to held large areas of Scandinavia, bases would be . a:Venable for eventual air and perhaps naval and aiphibious operations against the Soviet Baltic flank, The logistical difficulties .of Supplying NATO forces in Sweden in the face of probable Soviet local air superiority in the altic Approved For Release 2000/09/11 .CWODP79.RD1012A001500020024-6 ? L-ErsePET- CONFIDENTI4 Approved For Release 2000/09/11 : CIA-RDP79R01012A001 54210p 20024-6 Noe SECRET with the lest. Even if Dennark were invaded, which seams likely in the initial stages of any European war, the Swedes still night not openly join the NATO powers, although they certainly mobilize and might open exploratory conversations with the 7bst0 or 21, Should Norway be attacked, however,/should Sweden become convinced that an attack on Norway and/Or itself was imminent, Sweden would more likely than not abandon its neutral policy, especially if by that time NATO was militarily strong enough to extend immediate largo-eoale assistance in case of attack, A Soviet attack on Norway, even though it bypassed Sueden mould face the government with the question of fighting then or being surrounded and almost completely isolated frau the Vest, Although government leaders have been reserved on on this point, we believe there is a better than even chance that they would regard an attack on Norway as necessitating the entry of Sweden into the war, If, however, the attack should coma before NATO strength had been built up and the government then believed that quidk SECRET Approved For Release 2000/09/11: CIA-RDP79R01012A001500020024-6 Approved For Release 2000/09/11 : CIA-RDP79R01012A001500Q20024-6 SECRET a springboard for a further Soviet nmve into the Scandinavian area, including Sweden, mould it probably make overtures to thereat for military aid. On the other hand, if it believed the USSR intended to mows no further than Finland there would very likely be no overt change in its policy. It mould almost certainly expand its own defense preparations, howevev, and it might enter into exploratory military talks with the Vest. The sympathetic attitude that Sweden mould certainly take toward Finnish refugees together with the increased prombatty of Soviet forces, would create a public opinion increasingly hostile to the USSR and therefore MOTO Willing to think of same form of Western military cooperation to rectify the altered power balance in the Baltic. TOO In event of war, We believe that Sweden mould still prefer to remain neutral as long as possible, particularly if Norway were not directly attacked, As long as Scandinavia mere not invaded, the Swedes mould hope that this area might not become a theater of operations and that Sweden could keep open its lines of communication. Approved For Release 2000/09/11 gIALRDP79R01012A001500020024-6 SECRET Approved For Release 2000/09/11 : CIA-RDP79R01012A001500020024-6 irope voiro, SECRET 18. Cn the other hand, there is little prospect that Sweden would join NATO in peacetime. From the Swedish standpoint there appears to be little oompensation through NATO membership far what they believe would be a definite increase in international tension, and possible Soviet retaliation against Finland, should Sweden join the l'estern alliance. Most Swedes, satisfied with the state of their own defenses, have not been greatly impressed to date with NATO military assistance to Norway and Denmark. 19. Although opposition leaders have contended that the disappearance of Finland as a buffer for Sweden would necessitate reconsideration of Swedenes policy, we do not believe that Sweden would join NATO if the USSR ocoupied Finland. A recent public opinion poll indicates that only 26% of the people would favor a departure from neutrality in this event. The Swedish governmentes reaction would probably not be determined so much by the actual ? invasion of Finland as by its aseessmen, of what the next Soviet step would be. Only if it were convinced that Finland lais merely . 15 . Approved For Release 2000/09111 laitiOP79R01012A001500020024-6 Approved For Releav,00/09/11 : CIA-RDP79R01012A0015W20024-6 CONFIDENTIMA would doubtless limit NATO use of bases in Sweden itself, but the valuable Norwegian coastal bases would be protected.and.Soviet egress frau the -Baltic made more hazardous, 26 Tftalit5ifttA: Approved For Release 2000/09/11 : CIA-RDP79R01012A001500020024-6