Northvolt applies for bankruptcy in Sweden, unemployment remains high, and one US dollar cost less than 10 kronor for first time in two years. Here’s some of the news from Sweden on Wednesday.
Northvolt applies for bankruptcy in Sweden, unemployment remains high, and one US dollar cost less than 10 kronor for first time in two years. Here’s some of the news from Sweden on Wednesday.
Northvolt applies for bankruptcy in Sweden, unemployment remains high, and one US dollar cost less than 10 kronor for first time in two years. Here’s some of the news from Sweden on Wednesday.
Northvolt applies for bankruptcy at Stockholm District Court
Crisis-hit battery maker Northvolt applied for bankruptcy on Wednesday morning, the company confirmed in a press release.
“Despite pursuing all available options to negotiate and implement a financial restructuring, including a Chapter 11 restructuring process in the United States, and despite liquidity support from our lenders and key counterparties, the company was unable to secure the necessary financial conditions to continue in its current form,” the company wrote in a press statement.
“The Board therefore determined that this is the only available solution while the company pursues all realistic options to obtain financing to continue operating during the Swedish bankruptcy process.”
In a bid to cut costs, Northvolt announced in September 2024 it would slash up to 1,600 staff – almost a quarter of its workforce – as well as closing parts of its factory in Skellefteå and terminating expansion plans both in Skellefteå and in Borlänge. The company’s CEO, Peter Carlsson, resigned at the beginning of the year.
Swedish vocabulary: konkurs ‒ bankruptcy
Swedish unemployment remains high
Unemployment in Sweden is still high, with around 378,000 people registered as unemployed with the Public Employment Service at the end of February.
That’s a slight decrease from January, where 381,000 people were registered, but an increase when compared to February 2024.
The Public Employment Service’s head of forecasting Lars Lindvall wrote in a press statement that the decrease at the beginning of the year should be taken with a pinch of salt.
“It’s a decrease, which of course is good news, but it’s weak and it’s too early to talk about a shift in the labour market,” he said.
Swedish vocabulary: arbetslöshet – unemployment
One US dollar cost less than 10 Swedish kronor for first time in two years
The Swedish krona is going from strength to strength, with one US dollar briefly costing less than 10 kronor on Tuesday. That’s the first time the krona has been so strong against the dollar since 2023.
One of the explanations, SEB’s chief economist Jens Magnusson told the TT newswire, is an increasing concern for the American economy, due in part to the tariffs introduced by president Donald Trump.
“Trump has said a downturn or even a recession in the [US] economy is possible, and that’s not what was expected when he took office. It was expected that his policy would generate growth,” Magnusson said.
The krona, along with the euro, has also strengthened due to large investments in defence and infrastructure, and indications that there will be no further interest rate hikes in Sweden makes it more attractive to invest in the country.
Swedish vocabulary: stark – strong, att stärka – to become stronger
Sweden faces ‘significant risk’ of worsening national security, agency warns
Sweden’s counter-intelligence and security agency Säpo has described the country’s security situation as “serious”, and that developments in the US and other factors could see it worsen.
In a new report, Säpo’s head of operations Fredrik Hallström described the country’s national security situation as “serious” and did not rule out the possibility it could become worse in future.
Hallström said developments in the US could contribute to Sweden’s security deteriorating.
Representatives of the Trump administration have openly supported far-right parties and groups in European countries, such as the UK and Germany, which he described as “serious”.
“In previous years we’ve seen an increased import of violent far-right extremist propaganda, primarily from the US, and how that caused a large amount of far-right attacks in the Western world,” he told a press conference on Tuesday.
In the same press conference, Säpo head Charlotte von Essen said that there is a “significant risk” that the Swedish security situation could worsen further.
Swedish vocabulary: påtaglig risk – significant risk
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