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Border clashes break out between North and South Korea.
The Soviet Union establishes the Council for Mutual Economic Assistance (COMECON). Its main purpose is to coordinate the economies of the countries under its control.
A United Nations peacekeeping force is sent in to arrange a cease-fire between India and Pakistan. Although a cease-fire line is drawn out, partitioning Kashmir, the dispute between the two countries is not resolved.
Western Europe, Canada and the United States form the North Atlantic Treaty Organization (NATO). This mutual defense pact has an initial membership of 11 nations.
The Federal Republic of Germany, or West Germany, is established in the Western zone. The Western powers grant the new state internal self-government. A new capital is established in Bonn.
Parliamentary elections are held in Hungary. Voters are presented with a single list of candidates who are all Communist. Because of this, Hungary becomes a Communist state and changes its name to the Hungarian People's Republic. Anyone suspected of being an opponent of the Communist regime is sent to labour camps.
Laos is granted limited self-government within the French Union.
The Soviets detonate their first atomic bomb.
Read about the man who was responsible for the first Soviet bomb.
In the summer of 1949, the Communist win the war against the KMT. On the 1st of October, the People's Liberation Army arrives in Beijing and establishes the People's Republic of China.
The German Democratic Republic, or East Germany, is established in the Soviet zone by the ruling party - the Socialist Unity Party (SED).
Mao Zedong, chairman of the People's Republic of China, travels to Moscow. After two months of negotiations, China and the Soviet Union sign a treaty of mutual assistance accompanied by limited economic aid.
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