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.
Portugal during World War II
Just a few days before the end of the Spanish Civil War, on 17 March 1939, Portugal and Spain signed the Iberian Pact, a non-aggression treaty that marked the beginning of a new phase in Iberian relations. Meetings between Franco and Salazar played a fundamental role in this new political arrangement. An additional protocol to the pact was signed on 29 July 1940, after the fall of France. The pact proved to be a decisive instrument in keeping the Iberian Peninsula out of Hitler's continental system.