War had come to America, and Disney was in the thick of it.
Since 1939, Europe had been at war between the Allied forces lead by the British Empire and the Axis lead by the Nazis. In July of 1941, the Soviet Union was drawn in against the Axis, and on December 7 of the same year, the hand of the United States was forced by a Japanese attack on Pearl Harbor. On December 8, the American military moved into the Walt Disney Studios, further straining an already beleaguered company.
The loss of European markets right when they were needed to recoup the costs of Pinocchio, Fantasia and Bambi hurt Disney sorely. Then came the animator's strike of 1941, and finally the military occupying the studio grounds. Everything Walt had managed to build with Mickey Mouse and Snow White looked like it was about to collapse.
Still, there was hope. Before America entered the war, the government sent Walt and 18 artists off to Latin America as part of the Good Neighbor Policy. The goal, as far as the Office of the Coordinator of Inter-American Affairs was concerned, was to counteract Nazi sympathy in Central and South America by building a healthy, neighbourly exchange with the United States. For Disney, it was an opportunity to get new material for cartoons and to help build the Latin American film market (much needed after Europe's inaccessibility). The result was two of Disney's best films of the Forties, and a string of Latin American-themed shorts.
![]() |
| Walt learning the dances of Argentina. |
Disney also secured a contract with the government for 32 propaganda films, which helped chase off the spectre of bankruptcy. These included training films, various Donald Duck and Pluto shorts, and shorts like Education for Death (1943). Animators and artists also did various and sundry odd jobs, like designing logos and mascots for different military units.
Then, shortly after the war, Disney made a bold (but ultimately infamous) experiment in fusing animation with live-action in a film that would become one of its most enduring favourites despite modern controversy.

