In the era of the Age of Discovery, new trade routes were formed. The Mediterranean Sea was losing its significance, while the role of routes passing through the Baltic and North Seas was growing. States with capitalist economies began to emerge in Europe, needing raw materials from Central and Eastern Europe for their development. Their main suppliers became the Baltic countries, exporting grain, timber, wool, as well as copper and iron. Denmark, Poland, and Sweden, above all, tried to take advantage of the favorable economic conditions.<\/p>\n\n
The Danes’ goal was not only to maintain dominance in the Baltic Sea, but also to take full control of the Sound straits, where in 1429 Eric of Pomerania (1382\u20131459) introduced customs duties on foreign merchant vessels passing through. These duties were reformed by Peder Oxe (1520\u20131575), who reduced the national debt by raising the tariffs. In turn, Sweden became interested in the eastern coasts of the Baltic, which coincided with the plans of the Polish-Lithuanian Commonwealth and the Tsardom of Russia to expand their presence in the region.<\/p>\n\n
For Moscow, the most important issue in economic policy was gaining access to the Baltic Sea and eliminating the Germans from trade intermediation. At that time, these territories belonged to the German Livonian Order. Following the act of homage paid in 1525 by Albrecht Hohenzollern (1490\u20131568) to King Sigismund I the Old (1467\u20131548), the Teutonic Order began to decline, and the local nobility began to see an opportunity for rapprochement or even unification with the Polish-Lithuanian Commonwealth. However, in 1553, the Grand Master of the Order, Heinrich von Galen (1480\u20131557), concluded an agreement with the Russian Tsar Ivan IV the Terrible (1530\u20131584), which granted the Order commercial freedoms and obliged it to remain neutral. This pact struck at the interests of all Baltic states. Poland and Sweden feared the strengthening of Moscow’s position and the collapse of their plans to control trade between these countries and Western Europe. Meanwhile, Denmark, despite the prospect of commercial benefits resulting from customs revenues, feared the growing position of Sweden, whose help was sought by Livonian merchants attacked by tsarist troops.<\/p>\n\n
Riots also broke out in Livonia itself, where a conflict arose between the Archbishop of Riga, Wilhelm Hohenzollern (1498\u20131563), and the Grand Master of the Order, Johann Wilhelm von F\u00fcrstenberg (1500\u20131559). The situation compelled Sigismund II Augustus (1520\u20131572) to organize a military expedition against the Livonian Order in 1557. This intervention forced the then-Grand Master of the Order to conclude the Treaty of Pozvol on September 14, 1557, under which he sided against Russia. In response to these events, Ivan IV the Terrible reacted by capturing the ports in Dorpat (now Tartu), Fellin, Marienburg (now Al\u016bksne), and Narva, which allowed him to open a trade route through them. Subsequently, in 1560, the Danes seized \u00d6sel (now Saaremaa) and Dag\u00f6 (now Hiiumaa), and a year later the Swedes took Reval (now Tallinn).<\/p>\n\n
Unfortunately, the division of the secularized order’s lands did not calm the situation, especially between Denmark and Sweden. The Danes accepted some of the Moscow gains and even recognized the activity of the Narva shipping, which was the maritime trade route from Russia to Western Europe. In turn, Sweden sought to expand its rule over the whole of Livonia. In the 1560s, however, a reversal of alliances took place. Denmark, Poland, and the Hanseatic League opposed Sweden, while the Tsardom of Russia temporarily withdrew from the rivalry after capturing Polotsk in 1563.<\/p>\n\n
In 1568, an unexpected change of alliances took place. Namely, John III Vasa (1537\u20131592) ascended the Swedish throne; his wife was the sister of the Polish king, Catherine (1526\u20131583). At that time, the Polish-Lithuanian Commonwealth allied with Sweden, while Moscow allied with Denmark and L\u00fcbeck, which cost Ivan IV the Terrible’s tsardom the surrender of Livonia as a fief to the Danish prince Magnus (1540\u20131583). Furthermore, Baltic trade was paralyzed by the activities of regular and privateer fleets of the rivaling parties, which caused dissatisfaction among Western European states importing raw materials from the conflict-affected regions. Consequently, this led to peace negotiations, in which Emperor Maximilian II (1527\u20131576) and King Charles IX of France (1550\u20131574) also actively participated. Neutral Szczecin was chosen as the venue for the negotiations.<\/p>\n\n
The peace congress was scheduled to begin on July 1, 1570, in the city town hall, but this did not happen due to a month-long delay by the Polish delegation. The proceedings were to be chaired by the Duke of Szczecin, John Frederick (1542\u20131600), who represented the emperor. In his instructions, Maximilian II obliged him primarily to conclude a settlement between the warring parties and to look after imperial interests in Livonia. The Danes wanted freedom of navigation to Narva, which was supported by the French and the people of L\u00fcbeck. This demand conflicted with the interests of the Poles, who sought to abolish it, incorporate all of Livonia into the Commonwealth, and have the so-called “Polish Sea” along their provinces recognized. The goal of the Swedes was to retain Estonia and the bishopric with its seat in Reval.<\/p>\n\n
Before arriving in Szczecin, the Polish delegation held informal talks with the Danes and Swedes. Unfortunately, both sides rejected the Polish demands, which was supported by the French and the emperor’s representative, John Frederick, who nevertheless decided to remain neutral.<\/p>\n\n
The peace deliberations began on September 5 and were attended by: Duke John Frederick supported by three imperial envoys: Joachim von Schlick, Christoph von Carlowitz (1507\u20131578), and Caspar von Minckwitz. The Swedes were represented by Chancellor Nils Gyllenstierna (1526\u20131601) and J\u00f6ran Holgersson (Gera) (\u2020 1588) along with a group of councillors; the Danes by Heinrich Rantzau (1526\u20131598), Peter Bilde, Jorgen Rosenkrands, Joachim Hinke, and Niels Kaas (1535\u20131594); the Poles by Marcin Kromer (1512\u20131589), Jan Dymitr Solikowski (1539\u20131603), Justus Klaudius, and Stefan Loitz (1507\u20131584); the French by their envoy in Copenhagen, Charles Dan\u00e7ay (1510\u20131589); and L\u00fcbeck by both of its mayors. The Moscow delegation did not participate in the talks. A day earlier, a meeting of all delegations took place at the local castle in order to agree on formal matters.<\/p>\n\n
The talks began with the resolution of the Livonian issue. When the deliberations hit an impasse in mid-October, John Frederick, along with the imperial envoys, proposed removing the problem of Livonia from the negotiations. However, in early November, a note was received from the emperor instructing the parties to do everything in their power to halt the actions of Ivan IV the Terrible in the region. This somewhat struck at Denmark, as Duke Magnus was cooperating with Moscow. The easing of tensions was also contributed to by Sigismund II Augustus, who agreed to cede Reval to John III, in exchange for which the Swedes committed to disrupting Narva shipping. Unfortunately for Poland, the Swedes, in exchange for appropriate compensation, ceded Livonia to Maximilian II. A similar arrangement was made by Denmark, which received compensation for relinquishing Livonia, and Duke Magnus was to become an imperial vassal. From then on, the Livonian problem ceased to exist, and the delegations turned to negotiating peace between Denmark and Sweden.<\/p>\n\n
The peace put an end to the rivalry in the Baltic Sea for a time. The continued functioning of Narva shipping meant that trade took place without hindrance. As it turned out, Emperor Maximilian II failed to fulfill his obligations and did not pay the promised compensation for the loss of Livonia to either Denmark or Sweden, which is why all countries kept their gains. The state that strengthened its position in the Baltic Sea basin was Denmark. In turn, the biggest loser appeared to be Poland. The congress did not bring an end to the wars with Moscow, and these forced the Polish king to reach a compromise with Albert Frederick Hohenzollern (1553\u20131618), under which his Brandenburg relatives were admitted to joint fiefdom, which consequently meant squandering the chance to incorporate these territories into the Commonwealth.<\/p>\n\n
The Szczecin Congress was the greatest political event in the history of the city\u2014for several months, international politics focused right here. The host of this grand diplomatic meeting was Duke John Frederick, who could not refuse the emperor the organization of the proceedings. Although he did not lack education or refinement, he lacked financial resources, and the prolonged negotiations only deepened this problem. The Duke, a lover of Renaissance culture, spent enormous sums on lavish receptions to the delight of diplomats and guests. Over time, however, the treasury began to run empty, and funds\u2014derived from loans taken out from local Loitz bankers\u2014were not enough. Therefore, it became necessary to introduce new taxes, to which the estates agreed on the condition that the Duke would not incur further debt.<\/p>\n