Khrushchev's policy of peaceful coexistence had a significant impact on the Soviet Union's perception in the non-aligned and developing world. By advocating for a policy that seemed less aggressive than Stalin's, the Soviet Union was able to present itself as a peaceful alternative to the perceived imperialism of the West. This strategy was particularly effective in the context of decolonization, where many newly independent nations were seeking alternatives to aligning with the major Cold War powers. The Soviet Union used this opportunity to extend economic and technical aid, as well as ideological support, to these countries, thereby increasing its influence in regions previously dominated by Western powers. This policy helped the USSR gain diplomatic recognition and establish political alliances with several non-aligned countries.

Khrushchev's policy of peaceful coexistence paradoxically intensified the Space Race and nuclear arms race during the Cold War. While advocating for reduced military confrontation, Khrushchev saw technological and ideological competition as key arenas for demonstrating Soviet superiority. The Space Race, exemplified by the launch of Sputnik and Gagarin's spaceflight, became a symbol of this peaceful but intense competition. Similarly, the nuclear arms race continued unabated, with both superpowers amassing vast arsenals of nuclear weapons. Khrushchev's policy thus redirected the nature of the Cold War competition from direct military engagements to a demonstration of technological and nuclear prowess.

Khrushchev's peaceful coexistence policy significantly impacted Soviet relations with China and other communist countries. China, under Mao Zedong, criticised the policy as a deviation from orthodox Marxist-Leninist principles, viewing it as a form of capitulation to the West. This ideological rift led to the Sino-Soviet split, profoundly affecting the global communist movement. Other Eastern European communist countries, already under Moscow's influence, generally aligned with Khrushchev's policy, although there were varying degrees of enthusiasm. The policy also influenced the Soviet approach to aiding communist insurgencies in the Third World, as it advocated for supporting these movements through indirect means rather than direct military intervention.

Khrushchev's peaceful coexistence policy was met with mixed reactions within the Soviet Union, particularly from hardline Stalinists. Many Stalinists viewed this policy as a betrayal of Marxist-Leninist principles, which advocated for the inevitable conflict between capitalist and communist systems. They perceived Khrushchev's approach as a sign of weakness and a departure from the aggressive, expansionist foreign policy championed by Stalin. This internal dissent was exacerbated by Khrushchev's concurrent domestic reforms, including de-Stalinization, which further alienated hardline elements within the Party. These tensions culminated in significant political opposition, eventually contributing to Khrushchev's removal from power in 1964.

Khrushchev's background and early political career significantly influenced his approach to peaceful coexistence. Growing up in a working-class family and experiencing the hardships of early Soviet life, Khrushchev developed a practical and survivalist mindset. His rise through the Communist Party ranks during Stalin's regime exposed him to the brutal realities of Soviet politics. These experiences shaped his pragmatic approach to international relations. Unlike Stalin, Khrushchev believed that nuclear war would be catastrophic for humanity, including the Soviet Union. His policy of peaceful coexistence, therefore, reflected a desire to avoid direct military confrontation, while still promoting the global spread of communism. His approach was also a strategic move to give the Soviet Union time to catch up with the West in technological and economic terms.