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🇸🇪 Sweden /Economy & Trade

Swedish companies await Trump's tariff money

From Svenska Dagbladet · () Swedish

Translated from Swedish, summarized and contextualized by DistantNews.

At a glance

News Named sources Context piece
  • Swedish companies that paid U.S. import tariffs, later invalidated by the Supreme Court, are now receiving refunds.
  • Electrolux is among the companies receiving a refund of approximately $83 million for tariffs paid on goods manufactured in the U.S.
  • Despite these refunds, companies like Electrolux face new "sector tariffs" imposed by the U.S. in April, impacting production involving raw materials and manufactured goods.

Swedish companies that were subjected to U.S. import tariffs, subsequently invalidated by the American Supreme Court, are now in line to receive substantial refunds. The U.S. Treasury has already returned over $90 billion for these tariffs, with more reimbursements in process. Johan Karlberg, acting U.S. director at Business Sweden in New York, confirmed to TT that approximately half of the total amount owed has been disbursed.

They are already noticeable.

— Ann-Sofi JönssonDescribing the impact of new U.S. sector tariffs on Electrolux's operations.

Electrolux, a prominent Swedish manufacturer, is among the beneficiaries. The company, which produces refrigerators in Mexico and ovens in Springfield, Tennessee, has applied for and been approved for a refund of around $83 million (approximately 760 million Swedish kronor). Ann-Sofi Jönsson, responsible for investor relations at Electrolux, confirmed the approval of the refund to TT.

About half of what is to be refunded, around $90 billion, has already been paid back.

— Johan KarlbergProviding an update on the total amount of tariff refunds issued by the U.S.

However, the relief is tempered by new challenges. Since April, the U.S. has implemented "sector tariffs" primarily affecting raw materials, metal and automotive sector products, and certain high-tech goods. These new tariffs also impact Mexico, directly affecting Electrolux's production of refrigerators and freezers there, as the company relies on imported parts. Jönsson stated that while the company is working to streamline and adapt its operations, these new import duties are already proving to be "noticeable."

We are working to streamline and adapt operations, but the import duties are already noticeable.

— Ann-Sofi JönssonExplaining Electrolux's strategy for dealing with new U.S. sector tariffs.

Some Swedish companies, particularly in the manufacturing industry, had passed on the costs of the invalidated tariffs to their customers. Now, in cases where this was explicitly communicated, customers are demanding those amounts back. Karlberg noted that some companies that were transparent about including tariff costs on invoices are now facing customer requests for repayment. Electrolux, however, has not experienced such direct customer demands related to these specific refunds. Nevertheless, the earlier tariffs did impact costs, contributing to price increases of between 5% and 20% for North American customers in the second quarter.

Some Swedish companies that have been explicit in their customer dialogues and put the tariff cost on the invoice are now saying that customers are demanding these amounts back.

— Johan KarlbergDescribing how some Swedish companies are facing demands for refunds from customers after passing on previous tariff costs.
DistantNews Editorial

Originally published by Svenska Dagbladet in Swedish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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