EU Unveils Internal Market Strategy 2.0 to Support Swedish SMEs
The EU's Internal Market Strategy 2.0 focuses on reducing barriers for SMEs and promoting digitalization, benefiting Swedish businesses.
Key Points
- • The European Commission launched the Internal Market Strategy 2.0 on May 21, 2025.
- • It aims to support SMEs by redefining 'small mid-caps' and streamlining processes with tools like 'SME ID'.
- • Digitalization initiatives include digital product passports and electronic invoicing to enhance access to services.
- • This strategy could significantly impact regions like Värmland, bolstering its local economy.
On May 21, 2025, the European Commission introduced its Internal Market Strategy 2.0, aiming to reduce barriers that inhibit cross-border trade and investment within the EU. This strategy is set to impact 30 countries, encompassing 450 million consumers and over 26 million businesses. It identifies ten key barriers that companies face, including complicated regulations and challenges in professional recognition, which it aims to address in order to foster a competitive European economy.
Particularly significant for Sweden, the initiative seeks to bolster support for small and medium-sized enterprises (SMEs), which are critical to the local economy. The Commission plans to implement a new definition for 'small mid-caps', affording greater advantages to medium-sized businesses that achieve growth. Alongside this, the introduction of digital tools like 'SME ID' will streamline cross-border operational processes, easing the verification of businesses' statuses across Europe.
The strategy emphasizes digitalization, proposing the implementation of digital product passports and electronic invoicing, which will facilitate access to information and government services via a unified platform. By addressing these operational inefficiencies, the strategy is anticipated to create a more integrated services market, which accounts for 75% of the EU's GDP.
Regional sectors like Värmland, known for its expanding tech and digitalization landscape, may particularly benefit from the anticipated simplification of regulations and increased access to cross-border services, enabling local businesses to explore new EU markets effectively.