Swedish Export Companies' Outlook on Global Markets

Business Sweden, an organization supporting Swedish export businesses, has conducted a survey measuring the perspectives of these companies on various international markets. The findings indicate a moderate level of optimism about future prospects for the global economy.

The most favorable sentiments were reported regarding Saudi Arabia, the United Arab Emirates, and India. In Saudi Arabia, the business climate index reached 90 percent, while India scored 77 percent, and the UAE followed with 71 percent. The strong growth rate in India was highlighted as a significant factor, with the country focusing heavily on infrastructure development and advanced technologies in areas where Swedish companies excel, such as energy and sustainable solutions.

Saudi Arabia's high ranking can be attributed to its large market size and ongoing efforts to diversify away from oil dependency. The country is undergoing a substantial transformation, which many Swedish firms perceive as a serious commitment to economic reform.

However, recent conflicts between Israel and Iran have raised tensions in the region. Business Sweden's leadership suggests that while these developments may influence perceptions of the business climate in Saudi Arabia and the UAE, both nations are likely to remain insulated from direct impacts due to their geopolitical interests.

In contrast, the outlook for the American continent appears less optimistic. The survey was conducted just before the announcement of new tariffs by the U.S. administration, which has contributed to uncertainty. Only 39 percent of respondents rated the business climate in the U.S. as favorable, with Canada slightly lower at 32 percent.

Despite this, there is an observable trend among companies already operating in the U.S. to increase their investments and local production capabilities. Those on the outside are hesitant to enter the market due to the unpredictable nature of future developments.

European sentiments have also shown caution, with only 32 percent of respondents viewing the business environment positively on average. Denmark stands out with a significantly higher rating of 65 percent, attributed to its robust economic growth and favorable business conditions.

Overall, the survey revealed that 66 percent of participating firms recorded profitability in 2024. Furthermore, 65 percent anticipate increased revenue in 2025, and 46 percent expect to ramp up their investments during the year.

The Global Business Climate Survey 2025 was launched by Business Sweden, gathering insights from representatives of 2,000 Swedish export companies across 37 markets. The survey aimed to equip business leaders with valuable knowledge regarding local market conditions and was conducted in collaboration with Swedish embassies and the International Chamber of Commerce.