Soviet economic blockade of Lithuania

Soviet economic blockade of Lithuania
Part of the Singing Revolution and the dissolution of the Soviet Union
People sitting in front of banners in Lithuanian and Russian. The Russian one reads "The [economic] blockade - the new stage of real socialism"
Demonstration in Šiauliai against the economic blockade on 1 May 1990
Date18 April – 2 July 1990 (78 days)
Location
Result

Blockade lifted

Belligerents

 Lithuania
Supported by:[1]

 Latvia
 Estonia
 Soviet Union
Commanders and leaders

Lithuania Vytautas Landsbergis
Lithuania Kazimira Prunskienė
Lithuania Algirdas Brazauskas

Lithuania Romualdas Ozolas

Soviet Union Mikhail Gorbachev

Soviet Union Nikolai Ryzhkov

The Soviet economic blockade of Lithuania (Lithuanian: Lietuvos ekonominė blokada, Russian: экономическая блокада Литвы) was imposed by the Soviet Union on Lithuania between 18 April and 2 July 1990.

By late 1980s, Mikhail Gorbachev, leader of the Soviet Union, embarked on a course of liberalisation of the political system of the country, and as a result, movements appeared that advocated for autonomy or independence within the Soviet Union. The Lithuanian Supreme Council then adopted the Act of the Re-Establishment of the State of Lithuania (Act) on 11 March 1990. Kremlin officials demanded that the Act be annulled, interpreting it as a secessionist affair, but Lithuania ignored them, arguing that they were coerced to join USSR back in 1940. Gorbachev then ordered to reinforce troops in Lithuania. The Lithuanians did not back down, however, so Gorbachev sent an ultimatum on 13 April, requiring Lithuanians to renounce the act under the threat of economic sanctions. As the Soviet officials were not satisfied with the answer from Lithuania, the blockade started on 18 April at 21:25 (EEST).

The economic blockade restricted or cancelled the centralised supply of energy resources, on which Lithuania was extremely dependent from USSR, as well as electricity, foodstuffs, and pharmaceuticals. To a much lesser extent, the embargo also impacted Kaliningrad Oblast. The Soviet Union sealed the republic's borders and blocked Lithuania's bank accounts. As the rebel republic felt crippling shortages of essential items, Western countries pressured Lithuania and the Soviet Union to reach a compromise, which initially could not be achieved. However, amid the intensification of internal sovereigntist movements within the other fourteen republics of the Soviet Union, particularly within the Russian Soviet Federative Socialist Republic (RSFSR), the blockade was eased in mid-June, and the sanctions were lifted on 2 July. This happened after the Lithuanian parliament agreed to suspend the effects of the Act and to begin talks with the Soviet side. The long-awaited negotiations, however, did not yield any results.

Despite its short duration, the blockade had profound effects on the country. Total losses from the blockade on the Lithuanian side exceeded 500 million roubles, or 1.5% of the gross national product (GNP).[2][3] Thousands of workers lost their jobs or were idling at their factories as supplies were lacking. Effects on market transition were mixed. The embargo forced Lithuania to centralise its governance and strengthen regulation of resource usage. Enterprises created partnerships with fellow companies and Lithuania negotiated trade agreements with other republics, marking a transition to capitalist economics. It also made the country look for other ways to import oil and start industrial exploitation of its resources. The economic blockade also slowed the pace of separation of the other two Baltic states, Latvia and Estonia, from the Soviet Union. The role of the minorities (particularly Poles) in the blockade is unclear but some speculate that the Polish minority, which was dominated by pro-Soviet politicians, was treated preferentially during the blockade by the Soviet Union.

  1. ^ Žigaras, Feliksas (2012). Baltijos šalių institucinis bendradarbiavimas 1990–2010 (PDF) (in Lithuanian). General Jonas Žemaitis Military Academy of Lithuania. p. 407. ISBN 9786098074017. Retrieved 25 June 2021.
  2. ^ Hufbauer, Gary Clyde; et al. (2007). Economic Sanctions Reconsidered (3 ed.). Washington, D.C.: Peterson Institute for International Economics. p. 118. ISBN 9780881324075.
  3. ^ Cite error: The named reference :19 was invoked but never defined (see the help page).