I know this is a bit of a thorny topic, so I’ll try to stay as objective as I can. For almost 400 years, Austrians were the leaders of the Holy Roman Empire of the German Nation. After the Holy Roman Empire disbanded, they tried to unite the other German states under Austrian leadership, which failed when Prussia conquered them first and left Austria out of their new German Empire in 1871. But feelings of Germanness must have lingered among some Austrians, because when their own Empire broke up in 1918, they renamed the remaining parts the “Republic of German Austria.”
Fast forward 16 years and Austria is under the dictatorship of Dolfuss, who, together with his successor Schusnigg, emphasizes the traditional cornerstone of Austrian society, the Catholic Church, in order to highlight a separate Austrian-ness, so to speak. Four years later, there is the Anschluss, which, though the vote was not at all free or fair, was nonetheless met with joy in Austria.
Then, after WW2 is over, you have Austria occupied by the Allied powers for ten years, during which there is intense de-nazification. At the end of this, in 1956, a survey shows that 49% of Austrians say they are a people of their own, compared to 46% who identified as Germans. In 1987, these numbers were 79% and 6%, respectively. By the time of another survey in1993, at least 80% said Austrians are a nation.
Based on what I’ve listed so far, which is based on my research, it seems that Austrians only adopted their own ethnic identity in the aftermath of WW2 as a way of distancing themselves from their history under the Nazis. I do not claim to be an expert though, and if I am in fact wrong, I would greatly appreciate it if someone could correct me/ tell me the real story behind Austrian national identity.
Servus und danke schön