that's not what they meant by recommendations from subscriptions.
The OP meant that youtube scans the videos that belong to the subscribed channels, and suggest more videos that have similarities in topic or idea, from different channels (that have not been subscribed).
If you don’t have a watch history, on what basis would YouTube suggest videos?
Maybe there’s a legal angle here too, good suggestions might prove that they store your history even when you have turned it off.