The Sweden defense budget stands at $8.4 billion in 2022. The market is expected to grow at a CAGR of more than 7% during 2023-2027. There are strong indicators that the budget will continue to grow over the forecast period. These include the level of spending over the past two years despite the COVID-19 pandemic, the vocal commitment to budget increases from Swedish politicians, and the fallout from the Russian invasion of Ukraine in February 2022.
The Sweden defense market report provides an overview of the Swedish defense market, outlining future programs and predicted expenditures. This report predicts future Swedish defense expenditures and includes the likely effect of this on the market.
Sweden Defense Market Overview
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What are the market drivers in the Sweden defense industry?
Major capabilities in the Swedish Armed Forces are currently undergoing significant changes in the form of new platforms or upgrades of existing ones. Sweden is an active participant in multiple organizations, such as the UN and the EU, that use military forces for peacekeeping and stabilization efforts, which the country sees as important to upholding its political neutrality. Sustaining a basic logistical and expeditionary capability to support such operations will be a continuing driver of Swedish defense expenditure.
Furthermore, Sweden is one of the most digitized societies in the world which creates new vulnerabilities for the country. The country has committed to building a dedicated cybersecurity center and cooperates closely with similar establishments in both the EU and NATO to mitigate the risk of large-scale cyber-attacks. Extremist-motivated terrorism is still seen as an acute threat to Swedish security. The government has outlined plans for continued commitment to training Iraqi Security Forces and Swedish military participation in French-led counterterror operations in Mali.
What are the military doctrines and defense strategies in Sweden?
As an active participant in the international community, Sweden fosters close relationships with its neighbors and partners further afield, which improves its overall security situation and incentivizes the military to be ready for deployment abroad. Government bills are produced periodically which outline the direction and spending goals for the Swedish military over a multi-year agreement. The Swedish military describes its main role as deterring and repulsing all forms of military attack to protect Sweden’s integrity, either independently or with others. It also aims to contribute to a ‘robust and ready’ society in times of peace, crisis, or war. The goal of its military strategy, as outlined in the 2020 document, is to preserve and improve the ability to defend Sweden against attack and protect Swedish ‘Security, freedom, independence and freedom of action.’
What are the key sectors in the Sweden defense market?
The key sectors in the Sweden defense market are military fixed-wing, naval vessels and surface combatants, submarines, missiles and missile defense systems, military infrastructure and logistics, and tactical communications.
Military Fixed-Wing
Fixed-wing aircraft are anticipated to form the largest sector in the Swedish defense market.
Military Infrastructure and Logistics
Military infrastructure and logistics is expected to form the second-largest sector within the Sweden defense market.
Naval Vessels and Surface Combatants
The third-largest sector in the Swedish defense market is naval vessels and surface combatants. Within this sector, only two segments are forecast to receive funding, namely corvettes and light combat vessels. The Swedish navy does not operate larger classes of surface combatants.
Sweden Defense Market Analysis by Sector
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Which are the key companies in the Sweden defense market?
Some of the key companies in the Sweden defense market are Saab AB, Swedish Space Corp, MilDef Group AB, GomSpace Group AB, AAC Clyde Space AB, BAE Systems Hagglunds AB, Aimpoint AB, Akers Krutbruk Protection Aktiebolag, Carmenta AB, CNS Systems, Exensor Technology AB, and Saab Aerotech AB.
Market report scope
| Market size (2022) | $8.4 billion |
| CAGR (2023-2027) | >7% |
| Forecast Period | 2022-2027 |
| Key sectors | Military Fixed Wing, Naval Vessels and Surface Combatants, Submarines, Missiles and Missile Defense Systems, Military Infrastructure and Logistics, and Tactical Communications |
| Key companies | Saab AB, Swedish Space Corp, MilDef Group AB, GomSpace Group AB, AAC Clyde Space AB, BAE Systems Hagglunds AB, Aimpoint AB, Akers Krutbruk Protection Aktiebolag, Carmenta AB, CNS Systems, Exensor Technology AB, and Saab Aerotech AB |
This report provides:
- Political alliances and political threat perceptions as well as detailing market attractiveness and emerging opportunities.
- Budgetary trends over the next 5 years to 2027, outlining predicted expenditure as well as expected costs.
Reasons to Buy
- Determine potential investment opportunities based on analysis and market projections.
- Gain an understanding of the Swedish defense market and potential limitations to involvement.
- Understanding of how spending will change in the next 5 years and the impact of COVID-19.
Key Players
Table of Contents
List of Tables
List of Figures
Frequently Asked Questions
The defense budget in Sweden stands at $8.4 billion in 2022.
The defense market in Sweden is expected to grow at a CAGR of more than 7% during 2023-2027.
The key sectors in the Swedish defense market are military fixed-wing, naval vessels and surface combatants, submarines, missiles and missile defense systems, military infrastructure and logistics, and tactical communications.
Some of the key companies in the Swedish defense market are Saab AB, Swedish Space Corp, MilDef Group AB, GomSpace Group AB, AAC Clyde Space AB, BAE Systems Hagglunds AB, Aimpoint AB, Akers Krutbruk Protection Aktiebolag, Carmenta AB, CNS Systems, Exensor Technology AB, and Saab Aerotech AB.
