@tekkyy:
I would imagine most of the south Americans to be pro-Allies…but it seems Argentina was pro-Axis?
Brazil was actually led by a semi-dictator person and at the beginning of the war the leaned towards Germany. Germany started losing though so Brazil sent 25,000 men from their FEB to help the Allies.
As for starting units of neutral nations, I think Mongolia shouldn’t have units. Ireland or Eire should have some INF and ART (they had the IRA) and they favor Germany because they want to take N Ireland back from the British.
Saudi Arabia should have a couple of INF (and are you adding spc units? Cavalry is a good idea, the Polish, Russians, and Arabians used horses so they should have cavalry).
Spain is pro-Axis since Germans helped them during the Spanish Civil War, Argentina is too because they want to get Falklands from British. Sweden and Switz should be completely neutral though, especially Switz since even their flag (equilateral cross) is a symbol of peace and neutrality. Sweden also
adopted a policy of neutrality since the Napoleonic Wars, though their policy was armed neutrality (they created the Per Albin Line to defend against Germany).
Turkey is pro-Axis since the Ottoman Empire was crushed by Allies during the Great War.
According to the Operations manual some neutral territories are impassable for geographic reasons. Maybe adding upgrades that give your troops skis or mountain gear or desert equipment so they can capture the Sahara for example?
Link that might help:
http://en.wikipedia.org/wiki/Axis_Powers–countries that were sattelites to, helped, or conquered by Germany