The U.S. has announced new 15% tariffs on EU imports, which could affect Swedish consumers and businesses. While experts suggest there's no immediate cause for concern, the tariffs may impact Swedish exports, particularly in the automotive and tech industries. The stock market has shown resilience, but Swedish investors are advised to diversify their portfolios.
How U.S. Tariffs on the EU Could Impact Swedish Consumers
How U.S. Tariffs on the EU Could Impact Swedish Consumers
The U.S.'s new tariffs on the EU could affect Swedish consumers, but experts say there's no immediate reason to worry.
"When choosing between bad and worse, this is an acceptable level," says Shoka Åhrman, an economist at SPP.
Goods from the EU will face 15% tariffs when imported to the U.S., announced Donald Trump and Ursula von der Leyen on Sunday.
This is a lower level than the president previously threatened.
"It makes a difference for Swedish companies. 10% or 15% tariffs are manageable," says Shoka Åhrman.
The tariff announcement is unlikely to impact Swedish wallets just yet. The reason is that the EU has not yet decided whether to impose retaliatory tariffs on the U.S., which would make importing goods to EU countries more expensive.
Could Become More Expensive
However, the high tariffs across the Atlantic will still affect Swedish companies, according to Sharon Lavie, an economist at Lendo.
"If it becomes harder for Swedish companies to export to the U.S., it could impact the turnover for some companies and make it harder to maintain the same level of activity as before," she says.
In the worst case, this could lead to higher prices in Sweden, particularly in the automotive and tech industries, as well as companies dealing with raw materials, according to experts.
"But it won't be like when inflation soared and the basket of common products became more expensive. It won't spill over onto everyday products," says Shoka Åhrman.
She also adds that the tariff agreement is unlikely to affect inflation in the short term, as domestic factors are currently the main influencers.
How to Think About Savings
One area where the tariff agreement is likely to make an impact is the stock market. It fluctuated significantly when Trump announced his tariffs but has since stabilized.
"We've seen that the stock market has been very accepting, and I don't think it will be particularly shaken by this. This level is within reasonable limits," says Sharon Lavie.
She offers a tip for Swedish small investors:
"If you want both belt and braces, it's good to have exposure to several different countries and also look at the Swedish companies you invest in. What markets are they active in?" she says.