Swedish Export Companies Show Confidence in Middle Eastern Markets Amidst US Concerns
Swedish export companies are optimistic about Middle Eastern markets while confidence in the US declines, according to a new survey.
Key Points
- • Saudi Arabia, UAE, and India lead in optimism among Swedish export companies.
- • India's growth is linked to investments in infrastructure and sustainable technology.
- • Confidence in the US decreased to 39%, impacted by market uncertainties.
- • 66% of businesses reported profitability in 2024, 65% expect increased revenue in 2025.
A new survey by Business Sweden indicates a strong sense of optimism among Swedish export companies regarding specific international markets in 2025, particularly towards the Middle East and India. The survey results highlight Saudi Arabia, the United Arab Emirates (UAE), and India as the top contenders for positive business climates, while sentiment towards the United States has notably declined.
Saudi Arabia scored an impressive 90% on the business climate index, followed by India at 77% and the UAE at 71%. Jan Larsson, CEO of Business Sweden, emphasized that India's growth is significantly propelled by investments in infrastructure and sustainable technologies, which strongly align with the offerings of Swedish companies. He stated, "India's transformation presents numerous opportunities for Swedish firms to participate in its growth trajectory."
In stark contrast, the optimism surrounding the US market has drastically decreased, with only 39% of surveyed companies viewing its business environment positively, down from last year. This decline comes amidst ongoing market uncertainties, including President Trump's tariff announcements, which Larsson noted could hamper foreign investments. While companies already established in the US might enhance local production capabilities, those eyeing entry into this market are increasingly cautious due to the unpredictable climate.
The overall findings from the survey, which included about 2,000 responses from Swedish export businesses across 37 different markets, revealed that 66% of companies reported profitability in 2024, and 65% are optimistic about revenue growth in 2025. In Europe, the optimism level dipped further as only 32% rated the business climate favorably, although Denmark stood out with a higher rating of 65% due to its strong economic performance. This comprehensive survey sheds light on evolving trade sentiments, particularly emphasizing opportunities in burgeoning markets like Saudi Arabia, India, and the UAE while cautioning against the looming challenges in the traditional US market.