Swedish Economy Predicted to Withstand Impact of US Tariffs with Limited Sectoral Effects
Analyses show Sweden's economy is expected to withstand US tariffs with limited overall damage, compensating reduced US trade via other markets.
- • Kommerskollegium report forecasts limited impact of US tariffs on Swedish economy.
- • Certain Swedish industries may face challenges from US trade policies.
- • Reduced exports to US could be compensated by increased trade with Switzerland, Canada, and Mexico.
- • Minister Benjamin Dousa notes US as the major loser in the new trade scenario.
Key details
New analyses from Kommerskollegium indicate that Sweden's economy is expected to remain resilient despite the imposition of tariffs by the United States. According to the 2025 report "Modelling a New Era in Trade," the overall effects of new US trade barriers on Swedish exports will be limited over the next few years. While certain industries in Sweden may face challenges, the broader economy is projected to absorb disruptions without severe damage.
The report highlights that any decline in trade with the US—a key partner—could be offset through increased exports to other markets such as Switzerland, Canada, and Mexico. This diversification strategy suggests Sweden can mitigate the risks associated with the US tariffs by strengthening ties with alternative trading partners.
Benjamin Dousa, Sweden's Minister for Foreign Trade and Development Cooperation, emphasized the broader implications of the trade policies, stating that "the biggest losers from the US trade restrictions are the Americans themselves, followed by Canada and Mexico." His comments underline the complex global repercussions of tariff policies.
These insights provide reassurance that the Swedish economy will stand firm against emerging trade tensions. While vigilance remains necessary for vulnerable sectors, the country's adaptive export patterns and trade relationships demonstrate resilience amidst a shifting international trade landscape.