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Sweden's Defense Industry Booms: How a Small Town Became a Major Arms Production Hub
๐Ÿ‡ท๐Ÿ‡ด Romania /Conflict & Security

Sweden's Defense Industry Booms: How a Small Town Became a Major Arms Production Hub

From Adevฤƒrul · (13m ago) Romanian Positive tone

Translated from Romanian, summarized and contextualized by DistantNews.

TLDR

  • Sweden's defense industry, particularly in Ornskoldsvik, has become a dynamic European arms production hub, driven by the war in Ukraine.
  • BAE Systems Hagglunds, a key player, has seen its order portfolio surge from hundreds of millions to $8 billion, tripling its workforce.
  • The company's success is largely attributed to the CV90 infantry fighting vehicle, which has seen battlefield testing and significant international sales.

The conflict in Ukraine has dramatically reshaped Sweden's defense industry, transforming it into one of Europe's most vibrant centers for arms production. This resurgence is particularly evident in the northern town of Ornskoldsvik, home to BAE Systems Hagglunds, a manufacturer of armored vehicles.

I think the annexation of Crimea in 2014 was the moment when we saw that something was starting to happen.

โ€” Tommy Gustafsson-RaskCEO of BAE Systems Hagglunds, marking the geopolitical shift that spurred industry growth.

Once a family business dealing in furniture, Hagglunds has a long history, evolving through bus and tram production before specializing in armored vehicles in the 1950s. The post-Cold War era saw significant demilitarization, leading to workforce reductions. However, the geopolitical landscape shifted dramatically following Russia's annexation of Crimea in 2014, a turning point that signaled the beginning of a significant upturn for the company.

Everything exploded right before Russia's invasion of Ukraine in 2022.

โ€” Tommy Gustafsson-RaskDescribing the dramatic acceleration of business following the 2022 invasion.

"Everything exploded right before Russia's invasion of Ukraine in 2022," stated Tommy Gustafsson-Rask, CEO of BAE Systems Hagglunds, highlighting the exponential growth. The company's order backlog has ballooned from hundreds of millions to an astonishing $8 billion. This expansion is not just about numbers; it represents a significant increase in employment, with the workforce tripling to 2,600, making Hagglunds the largest employer in Ornskoldsvik.

From a usual order portfolio of a few hundred million dollars, we have now reached $8 billion. It's a huge development.

โ€” Tommy Gustafsson-RaskQuantifying the massive increase in the company's order book.

The success story is intrinsically linked to the CV90 fifth-generation infantry fighting vehicle. This robust vehicle, tested on battlefields in Afghanistan and currently deployed in Ukraine, is considered one of Sweden's most successful exports. Feedback from Ukraine has been largely positive, with reports indicating that no Ukrainian soldiers have died inside a CV90, a testament to its protective capabilities. This success underscores Sweden's critical role in European security and its capacity for advanced defense manufacturing, a narrative often overlooked in Western media's focus on broader geopolitical strategies.

No Ukrainian soldier has died inside a CV90.

โ€” Company statement (implied)Highlighting the survivability of the CV90 vehicle in combat, based on Ukrainian feedback.
DistantNews Editorial

Originally published by Adevฤƒrul in Romanian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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