SEATO: The South East Asia Treaty Organization was born due to the fear created by the spread of communism. The establishment of communist rule in China further enhanced the fear of the spread of communism in South East Asia and Pacific regions. The United States and Western Powers decided to establish a regional collective defence system. After many discussions in various places, England, America, Franee, Australia, New Zealand, Thailand, Philippines and Pakistan met at Manila-the capital of Philippines in 1954 and signed a pact, in the interest of South East Asia.The chief purpose of the SEATO was to forestall communist aggression. This was put to test in the Vietnam War. After a prolonged war, America lost her prestige and consequently the SEATO agreement was dissolved in 1975.

WARSAW Pact: In 1955, USSR formed the Warsaw pact with the East European countries like Bulgaria, Hungary, East Germany, Czechoslovakia, Rumania and Poland against NATO. This intensified the rivalry between USA and USSR. The Pact came to an end in 1991 with the disintegration of USSR.