Portugal during World War II
Upon the start of World War II in 1939, the Portuguese Government announced on 1 September that the 600-year-old Anglo-Portuguese Alliance remained intact, but that since the British did not seek Portuguese assistance, Portugal was free to remain neutral in the war and would do so. In an aide-mémoire of 5 September 1939, the British Government confirmed the understanding. As Hitler's occupation swept across Europe, neutral Portugal became one of the Continent's last escape routes. Portugal managed to remain neutral throughout the war despite extraordinary pressures from both sides, notably over the strategically located Azores islands and over the wolfram (tungsten) trade.
History of Portugal
In 1807, Portugal refused Napoleon Bonaparte's demand to accede to the Continental System of embargo against the United Kingdom; a French invasion under General Junot followed, and Lisbon was captured on 8 December 1807. British intervention in the Peninsular War helped in maintaining Portuguese independence; the last French troops were expelled in 1812. The war cost Portugal the town of Olivença, now governed by Spain.