By the end of 1949 , two new states had been created out of occupied Germany - the Federal Republic of Germany ( West Germany ) in the West and the German Democratic Republic ( East Germany ) in the East - with West Berlin an enclave that was not part of either . By the end of 1949 , two new states had been created out of occupied Germanyâ '' the Federal Republic of Germany ( West Germany ) in the West and the German Democratic Republic ( GDR , East Germany ) in the Eastâ '' with West Berlin an enclave surrounded by , but not part of , the GDR .