Violations
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The German economy was so weak that only a small percentage of reparations was paid in hard currency. Nonetheless, even the payment of this small percentage of the original reparations (132 billion gold marks) still placed a significant burden on the German economy. Although the causes of the devastating post-war hyperinflation are complex and disputed, Germans blamed the near-collapse of their economy on the Treaty, and some economists estimated that the reparations accounted for as much as one-third of the hyper-inflation.
In March 1921, French and Belgian troops occupied Duisburg, which formed part of the demilitarized Rhineland, according to the Treaty of Versailles. In January 1923, French and Belgian forces occupied the rest of the Ruhr area as a reprisal after Germany failed to fulfill reparation payments demanded by the Versailles Treaty. The German government answered with "passive resistance", which meant that coal miners and railway workers refused to obey any instructions by the occupation forces. Production and transportation came to a standstill, but the financial consequences contributed to German hyperinflation and completely ruined public finances in Germany. Consequently, passive resistance was called off in late 1923. The end of passive resistance in the Ruhr allowed Germany to undertake a currency reform and to negotiate the Dawes Plan, which led to the withdrawal of French and Belgian troops from the Ruhr Area in 1925.
Some significant violations (or avoidances) of the provisions of the Treaty were:
- In 1919, the dissolution of the General Staff appeared to happen; however, the core of the General Staff was hidden within another organization, the Truppenamt, where it rewrote all Heer (Army) and Luftstreitkräfte (Air Force) doctrinal and training materials based on the experience of World War I.
- On April 16, 1922, representatives of the governments of Germany and the Soviet Union signed the Rapallo Treaty at a World Economic Conference at Genoa in Italy. The treaty re-established diplomatic relations, renounced financial claims on each other and pledged future cooperation.
- In 1932, the German government announced it would no longer adhere to the treaty's military limitations, citing the Allies' violation of the treaty by failing to initiate military limitations on themselves as called for in the preamble of Part V of the Treaty of Versailles.
- In March 1935, under the government of Adolf Hitler, Germany violated the Treaty of Versailles by introducing compulsory military conscription in Germany and rebuilding the armed forces. This included a new Navy (Kriegsmarine), the first full armored divisions (Panzerwaffe), and an Air Force (Luftwaffe).
- In June 1935, Great Britain effectively withdrew from the treaty with the signing of the Anglo-German Naval Agreement.
- In March 1936, Germany violated the treaty by reoccupying the demilitarized zone in the Rhineland.
- In March 1938, Germany violated the treaty by annexing Austria in the Anschluss.
- In September 1938, Germany, with the approval of France, Britain, and Italy, violated the Treaty by annexing the Sudetenland from Czechoslovakia.
- In March 1939, Germany violated the treaty by occupying the rest of Czechoslovakia.
- On 1 September 1939, Germany violated the treaty by invading Poland, thus initiating World War II in Europe.
Read more about this topic: Treaty Of Versailles
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