The sale of Alaska from Russia to the United States in 1867 is one of the most significant land purchases in history. Russia’s decision to sell Alaska was driven by a combination of factors, including financial troubles within Russia, military concerns about defending the remote territory, and hopes of improved diplomatic relations with the United States.
Russia’s Financial Troubles
In the 1850s and 1860s, Russia was facing considerable financial troubles. The Crimean War of 1853-1856 against Britain, France, and the Ottoman Empire had drained Russia’s treasury. Russia had taken on significant debt to fund the war and the expenses of managing its vast empire. Alaska was proving to be a financial burden – remote and difficult to defend, with limited economic benefits from the fur trade and whaling industry. Russia was having trouble paying to support the small number of Russian settlers and military personnel stationed in Alaska.
Selling Alaska could provide a quick influx of cash that Russia sorely needed. Some historians estimate that Russia was spending $1.2 million per year to sustain Alaska, while only taking in around $300,000 from the territory. With the $7.2 million payment from the United States, Russia could quickly eliminate debt and gain a better financial footing.
Military Concerns about Alaska
In addition to the financial burden, Russia was having difficulties defending Alaska militarily. The vast territory was sparsely populated, with only around 2,500 Russians and 12,000 native Alaskans spread across a massive area in 1867. The capital of New Archangel (now Sitka) was the only substantial Russian settlement and could easily be cut off from supplies and reinforcements.
With British Canada to the east and an increasing American presence in the Pacific Northwest, Russia was justifiably concerned that Alaska would be difficult to protect in the event of conflict. The indigenous Alaskans often resisted Russian control as well, with occasional skirmishes breaking out. Russia felt that Alaska did not have enough strategic value to be worth the costs of defense.
Hope for Improved U.S. Relations
Russia was also motivated by a desire for improved diplomatic relations with the United States in the aftermath of the Crimean War. Russia had found itself diplomatically isolated after the war and wanted to reestablish itself as a power to be reckoned with. Some historians argue that Russia hoped the sale of Alaska might lead to expanded trade and cooperation with the Americans.
In particular, Russia saw more potential to cooperate with the United States on issues like westward expansion and development in the Pacific region. Maintaining Alaska was likely to cause friction with the Americans as U.S. interests in the area grew. By selling the territory, tensions could be reduced.
Negotiating the Alaska Purchase
Russia initiated the process of selling Alaska shortly after the conclusion of the Crimean War in 1856. Negotiations moved in fits and starts, as American interest in buying Alaska ebbed and flowed. There was debate within the United States about whether Alaska was worth acquiring. Some dismissed the territory as a “polar bear garden” unlikely to provide much value.
Nonetheless, Secretary of State William Seward ultimately became a forceful advocate for purchasing Alaska. Seward saw Alaska as a rich source of natural resources and a gateway to expanding American trade in the Pacific. He also wanted to block Britain from potentially acquiring the territory. Seward helped convince Congress to approve the deal.
The United States and Russia signed the Alaska Purchase agreement on March 30, 1867. For $7.2 million, equivalent to about $125 million today, Russia ceded its claims to Alaska. Some skeptics thought the U.S. government overpaid, mocks the deal as “Seward’s folly.” But within a few decades, major gold deposits would be discovered in Alaska, proving it to be a highly valuable acquisition.
Key Details of the Alaska Purchase
- Purchase price: $7.2 million
- Area acquired: Around 365 million acres
- Signed: March 30, 1867
- Finalized: October 18, 1867
- Key negotiators: William Seward (U.S.), Eduard de Stoeckl (Russia)
Outcomes for Russia
For Russia, the sale of Alaska proved to be a mixed success. The influx of cash was certainly helpful to Russia’s strained treasury in the short term. It helped alleviate some of the financial burden imposed by the Crimean War.
However, some historians argue Russia did not negotiate the best deal. In light of Alaska’s abundant natural resources and strategic location, Russia likely could have pressed for a higher purchase price. Within a few decades after the sale, the discovery of gold in the Yukon Territory showed just how much potential Alaska had.
Diplomatically, the impacts on U.S.-Russia relations were modest. There was not any dramatic change or alignment between the two powers after the sale. If improving relations with America was a goal for Russia, it was only partially achieved.
Impacts on the United States
For the United States, the Alaska Purchase set in motion the expansion of U.S. territory westward to the Pacific and northward toward the Arctic. It fulfilled the “manifest destiny” doctrine that argued for stretching U.S. lands across the entire continent.
Strategically, Alaska would grow in importance for the U.S. military as a position adjacent to Russia and Canada. U.S. navy ships and aircraft could use Alaska as a base to project power into the northern Pacific region.
Economically, Alaska proved to be filled with natural resources that would enrich the United States, including:
- Gold: Major gold deposits were found that led to gold rushes into Alaska.
- Oil: Alaska’s vast oil reserves fueled U.S. energy needs in the 20th century.
- Timber: Lumber resources helped supply the lower 48 states.
- Fishing: Commercial salmon fishing became a major Alaskan industry.
For these reasons, the purchase of Alaska is generally viewed in hindsight as a smart move and wise investment by the United States.
Alaska Statehood in 1959
Alaska remained a U.S. territory for nearly a century after its purchase from Russia. On January 3, 1959, Alaska finally became the 49th state admitted to the United States. This marked the completion of Alaska’s full integration into the nation.
Statehood ended Alaska’s ambiguous legal status and granted Alaskans full representation in Congress and voting rights in national elections. It also brought an influx of federal investment and government spending that helped continue Alaska’s economic development.
Conclusion
The U.S. purchase of Alaska from Russia in 1867 marked a key milestone in American history. For Russia, it provided a needed infusion of funds but also forfeited a territory with immense untapped value. For the United States, it represented an ambitious geographical expansion that would pay off handsomely in resources and strategic positioning. The deal serves as a major example of how huge swaths of land changed hands during the imperial age.