Sweden eyes big expansion in its trade partnership with India

Sweden, India’s close partner in the Nordic region, has hosted the ‘Time for Sweden’ autumn launch event, highlighting the growing trade, investment, and innovation opportunities between India and Sweden.

As India continues its rapid economic growth, this event in New Delhi on Tuesday underscored the deepening strategic collaboration between Swedish and Indian businesses. The event also showcased Sweden as a global innovation leader, highlighting opportunities for collaboration in science, technology, and sustainability.

The event was attended by Swedish officials, including Jan Thesleff, Ambassador of Sweden to India, Sven Östberg, Consul General of Sweden in Mumbai, Sofia Högman, Trade Commissioner of Sweden to India, Kamal Bali, Chairman of the Swedish Chamber of Commerce India (SCCI) and President & MD of Volvo Group in India, and Sara Larsson, CEO of Swedish Chamber of Commerce India (SCCI).

The event also featured CEOs and senior leadership from leading Swedish companies such as IKEA, Volvo Group, Epiroc, Getinge, Atlas Copco India, and Truecaller, further illustrating Sweden’s robust engagement in India’s growing market.

Sweden has consistently proven to be a reliable partner to India, actively contributing significantly to India’s green transition, innovation, and digitalization efforts. Over 280 Swedish companies currently operate in India, actively contributing to India’s economic and sustainability goals. These companies employ over 220,000 people in India directly, with an additional 2.2 million people indirectly employed, particularly through investments in local manufacturing and sourcing. Swedish companies are expanding their operations in India, focusing on manufacturing, innovation, and local sourcing to meet the demands of both domestic and global markets.

Similarly, Sweden has become an attractive destination for Indian investments, with over 70 Indian companies now operating in the country. Notable Indian firms with a presence in Sweden include Bharat Forge, TCS, L&T, and KPIT, highlighting the growing business collaboration between the two countries. The event also touched upon the focus on green transition and climate goals, with India and Sweden working together through initiatives such as the Green Hydrogen Cluster and the Leadership Group for Industry Transition (LeadIT) 2.0, launched by the honorable Prime Ministers at COP28. Similarly, the event also highlighted areas of high potential for deepened collaboration to drive future innovations, such as AI, quantum, space technology, life sciences, and 5G/6G.Speaking at the event, Thesleff remarked, “India and Sweden’s economic ties are growing rapidly, reflecting the complementary strengths of our economies and the mutual benefits of our partnership. Our collaboration is future-oriented, anchored in innovation, green transition, and sustainability. As we mark 20 years of science and technology cooperation, we are proud to drive joint breakthroughs in AI, space tech, life sciences, and e-mobility.”

Highlighting Western India’s importance, Östberg, said, “Over 100 of the 280+ Swedish companies operating in India have established a strong presence in Western India. This enduring business sambandh, rooted in the 1960s with the arrival of Swedish pioneers like SKF, Tetra Pak, and Alfa Laval in Pune, has only grown stronger over the decades. Today, the region continues to attract a new wave of Swedish innovation, with tech-driven companies such as Spotify, Storytel, Lektus, GoMo, and Spoltojoining the ranks and enriching the bilateral business landscape,”

Sofia Högman, Trade Commissioner of Sweden to India added, “The strong collaboration between India and Sweden is also reflected in Indian FDI in Sweden. With a growth of 191% over the past five years, we see great interest from Indian companies, particularly in sectors such as Digitech, automotive, EV and renewables. The investment by Indian companies in Sweden has not only contributed in high-skilled job creation but has also furthered common innovation and sustainability agendas between both countries.”

Bali, said, “The Swedish business fraternity is in a good position to play pivotal role in India’s economic journey – investing in people, cutting-edge technologies, and sustainable solutions, for long-term true value creation for both nations.”