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APPROVED FOR RELEASE: 2009/06/16: CIA-RDP01-00707R000200090019-6


of the tensions in Europe engendered by the East-West struggle. Sweden's concern about relations with the USSR derives essentially from its proximity and overwhelming military preponderance in the Baltic area. In the early post-World War II period and at the height of the Cold War, Soviet-Swedish relations were little more than formally correct and were characterized by periods of extreme chill. Notable were developments such as the Wallenberg case (the Swedish diplomat who disappeared during the Soviet "liberation" of Budapest in 1945 and subsequently died in a Soviet prison), the destruction of Swedish reconnaissance aircraft over the Baltic in 1952, and the frequent seizure by the USSR of Swedish fishing vessels. During the intervening years there have been brief periods of relative relaxation, but more usually periods of tension, as occurred in the wake of the Hungarian uprising, Khrushchev's threatening actions against Berlin and Finland, revelations of Soviet espionage in Sweden, and the Cuban missile crisis. The Swedes were optimistic when the more pragmatic and businesslike team of Brezhnev and Kosygin assumed power, but hopes were dashed by the Soviet invasion of Czechoslovakia in the summer of 1968. Seasoned by the ups and downs in relations with Moscow during the postwar era, the Swedish Government continues to try to reach practical agreements which would be mutually profitable and contribute to maintaining Northern Europe as an area removed from direct involvement in the competition between East and West. A series of governmental, military, and labor union exchanges, delayed since 1968, has served to supplement their efforts.

In direct contrast to the climate of fear and suspicion which has generally characterized Sweden's relations during the emergence of the superpower next door, relations with the United States have for the most part been relatively good. Fostered by the emigration in the latter 19th century of more than a million Swedes to the United States, where they settled and prospered, this rapport was further strengthened by US military involvement in World War II and subsequent economic aid to Europe after the war. Relations began to take a downward trend in the mid-1960s, as Swedish opinion became increasingly critical of US military involvement in Southeast Asia. Furthermore, Sweden's inclination to regard itself as the "conscience of the world" and the vehement denunciations of the United States by Swedish public figures and the media led to a further deterioration in relations in 1968 and the decision to recall the US Ambassador. The Soviet invasion of Czechoslovakia later that year, along with signs that Sweden was facing a growing number of serious domestic problems, led to an easing of the previously sharp attacks on the United States. Although its official line may not on occasion reflect the basically friendly feelings of Sweden toward the United States, most Swedes continue to regard US military strength as the principal deterrent to moves by Moscow against NATO and other non-Communist countries.

The Vietnam conflict provides the main source of friction between the United States and Sweden. While most of the government's condemnation of the United States is couched in terms of relieving the suffering of the Vietnamese people, the extreme bias of the Swedish protests suggests that the Social Democrats are primarily concerned with encouraging leftist support on other issues. However, the government would probably wish to avoid allowing relations to deteriorate to a point that would again cause disruption in the normal, ambassador-level representation. The Social Democratic administration may continue to use criticism of US policy as a means of furthering its own objectives. A case in point was Prime Minister Palme's criticism of US tariff increases in 1971. Stringent efforts to control inflation in Sweden caused increased unemployment and plant closures and engendered significant opposition to the Social Democratic programs. Palme countered domestic opposition by criticizing alleged changes to US trade policy, to which he attributed Sweden's economic ills. The charges had little basis in fact but gave the government time to review its own domestic policy, which was subsequently altered. Such practical politics have not prevented the Swedes from supporting US initiatives in the United Nations and other international bodies.

Sweden has derived much favorable publicity from its association with the Nobel Prices. First awarded in 1901, the monetary awards are presented to individuals who have served humanity best in the five fields of physics, chemistry, physiology or medicine, literature, and peace. The latter prize is awarded in Oslo, while the ceremonies for the four other awards are held in Stockholm.

Foreign policy formulation in Sweden is the responsibility of the cabinet in general and of the Minister of Foreign Affairs in particular. The minister is obliged by law to consult with the Foreign Relations Council of the Riksdag, which is composed of the Foreign Affairs Committee of the Riksdag, the Prime Minister, the Foreign Minister, and the King, who presides. The council meets approximately six times a year or when a serious foreign policy issue requires an extraordinary session, and meetings are always held in camera.


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APPROVED FOR RELEASE: 2009/06/16: CIA-RDP01-00707R000200090019-6