Vienna/Berlin — German chancellor Angela Merkel’s district on the Baltic coast was the site of the last major Soviet military project in communist East Germany and is now at the centre of a deepening rift between Cold War allies.        

Once a critical linchpin in the Soviet Union’s power network, the low-lying beachhead near the Polish border has become known as a getaway for Germans, who flock to the island of Ruegen to bike along sandy dunes and dip into its chilly sea...

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