Doing business
After the full-scale russian invasion of Ukraine in 2022, Stockholm provided Kyiv with modern military assistance. As an immediate response to the unprovoked full-scale russian invasion of Ukraine on 24 February 2022, Sweden made a historic decision to donate military equipment to a country at war, for the first time ever since the support of Finland after the Soviet Union attack during the World War II.
Sweden was the first Nordic country to recognise the independence of Ukraine in 1991, and since then both countries have maintained close ties. Today, it strongly supports the European integration of Ukraine. Since the beginning of the war, total Swedish military and civilian support to Ukraine has amounted to €3.0 billion, of which €2 billion is military aid, around €600 million in development and financial assistance, €152.6 million in humanitarian aid, €64.2 million in recovery support and €27 million in reform support.
President of Ukraine Volodymyr Zelenskyy and Prime Minister of Sweden Ulf Kristersson signed an agreement on security cooperation between the countries. According to the agreement, Sweden will provide Ukraine with military aid in the amount of SEK 75 billion (about €6.5 billion) over the period 2024-2026, which will amount to approximately €2.2 billion per year. The amount of financial aid will increase over the ten-year term of the document. The list of military assistance will include aviation and air defence, armoured vehicles, artillery, maritime security, mine action assistance and unmanned aerial vehicles.
For example, Sweden has already provided and will continue to provide Ukraine with Archer artillery systems and CV90 combat vehicles, for which the partners will also explore joint production opportunities. The Kingdom of Sweden will also support the development of Ukraine’s modern defence industry potential and develop bilateral cooperation on localisation, repair, maintenance and production of Swedish defence products in Ukraine.
The Swedish defence industry will increase production of 155 mm artillery ammunition for Ukraine. Planned investments are partly funded by the Swedish state and partly by the European Union.
In addition, the Kingdom of Sweden intends to support the Czech Republic’s initiative to send hundreds of thousands of artillery munitions to Ukraine by providing €30 million. Moreover, the country will allocate approximately one billion Swedish kronor to a joint fund with Denmark that purchases CV 90 infantry fighting vehicles for Ukraine.
Sweden has announced its sixteenth military aid package to Ukraine, which will be the country’s largest ever – worth SEK 13.3 billion (about €1.16 billion). As part of this package, Sweden will provide Ukraine with an ASC 890 radar reconnaissance and control aircraft, which will give Ukraine “completely new radar intelligence and combat control capabilities against targets in the air and at sea” and enhance its ability to hit targets. The aircraft also comes with training and technical equipment. Sweden will also transfer the entire Swedish stock of 302 armoured personnel carriers, Rb 99 (AMRAAM) missiles and other equipment.
The government has instructed the Armed Forces of Sweden to make payments to three coalitions in which Sweden is a member:
In addition, the Armed Forces of Sweden will transfer €10 million to the Trust Fund of NATO’s Comprehensive Assistance Package for Ukraine, which aims to purchase fuel, medical equipment, military training equipment and support in strengthening and modernising the defence and security institutions of Ukraine..
Sweden has approved a decision to transfer jet skis to Ukraine for use by the coast guard. A total of nine jet skis will be sent to Ukraine to be used for maritime surveillance.
The Government of Sweden has allocated about SEK 40 million (€3.4 million) for humanitarian aid to Ukraine. Stockholm provides this support through the United Nations (UN) food programme.
At the end of 2023, Sweden announced financial assistance to Ukraine in the amount of SEK 100 million (€8.7 million) to support the Grain From Ukraine initiative implemented by the World Food Programme. Under the programme, Ukrainian grain and other food is exported to the poorest countries.
With the assistance of the Dnipropetrovsk Regional Council, the Swedish Rescuers organisation donated specialised assistance to the State Emergency Service: an off-road pick-up truck; fire extinguishers, overalls, equipment for the pyrotechnics department, armour protection and helmets with visors for personnel; light and heavy sapper suits; and mine detectors. The Swedish volunteers also handed over a special ambulance to the military medics of the Air Command “East”. The vehicle is highly manoeuvrable and is used for operational work, first aid and rescue of soldiers.
One of the hospitals in Dnipropetrovsk region received an 80 kW diesel generator from the Swedish Business Association and Swedish company Väderstad AB.
The development of mutually beneficial trade and economic cooperation also remains an important priority for the both countries. An analysis of export and import operations of Dnipropetrovsk region with Sweden demonstrates a high level of partnership, as the country is an important trade partner of the region.
According to the results of 2023, the volume of exports of goods from Dnipropetrovsk region totalled $3.2 million and increased by 4.1% compared to 2022. Among the most popular products of Swedish consumers are railway locomotive parts, edible fruits and nuts, ferrous metals and products made of them, furniture, etc.
Export operations were carried out by 24 companies from Dnipropetrovsk region. The main exporters are metallurgical companies, machine-building, processing and agricultural enterprises.
TOP-5 exporters (ranked by volume of exported products):
Imports of goods from Sweden to Dnipropetrovsk region totalled $51.3 million, up 39% compared to 2022. Traditionally, Dnipropetrovsk region purchased ferrous metals, pharmaceuticals, machinery and equipment, fats and vegetable oils, electrical machinery, etc.
Import operations were carried out by 115 importers.
TOP-5 importers (ranked by volume of imported products):
Import operations were mainly carried out by pharmaceutical, trade, processing and food companies.
Source: information for the article was taken from open online sources