The Swedish export growth is expected to be weak during the year due to the increased trade barriers introduced by the USA, writes the industry's branch organizations Teknikföretagen and Industriarbetsgivarna in a new prognosis.
Since the capacity utilization, the occupancy rate in factories, is at a relatively low level, it will dampen the industry's investments, according to the branch organizations.
We see how a number of interacting factors - from turbulent American politics focused on protectionism to a continued weak growth in Europe - have a negative impact on global trade and on the global economy as a whole, says Teknikföretagen's chief economist Eric Spector in a written statement.
It dampens the recovery in the Swedish economy and the GDP growth remains low also this year. Next year, it will get a bit better pace and the industry's investments will increase more noticeably, according to Spector.
However, it is not all dark.
There is some light in sight, not least through a more expansive economic policy and lower interest rates, says Industriarbetsgivarna's chief economist Kerstin Hallsten.
