IKEA, Volvo and more: Swedish firms expand operations in India, says Ambassador Jan Thesleff

Sweden’s Ambassador to India, Jan Thesleff, said that Swedish companies, including IKEA, Volvo Group, Epiroc, Getinge, Atlas Copco India, and Truecaller, are expanding their operations in India, focusing on manufacturing, innovation, and local sourcing to meet the demands of both domestic and global markets.

“Sweden has consistently proven to be a strong and reliable partner to India, actively contributing to India’s green transition, innovation, and digitalisation efforts,” Thesleff said at the 'Time for Sweden' autumn launch event in New Delhi on September 9.

He added that over 280 Swedish companies currently operate in India, actively contributing to India’s economic and sustainability goals. These companies employ over 220,000 people directly, with an additional 2.2 million employed indirectly, particularly through investments in local manufacturing and sourcing.

“India and Sweden’s economic ties are growing rapidly, reflecting the complementary strengths of our economies and the mutual benefits of our partnership. Our collaboration is future-oriented, anchored in innovation, green transition, and sustainability. As we mark 20 years of science and technology cooperation, we are proud to drive joint breakthroughs in AI, space tech, life sciences, and e-mobility,” Thesleff said.

He further noted that Sweden has become an attractive destination for Indian investments, with over 70 Indian companies now operating in the country. Notable Indian firms with a presence in Sweden include Bharat Forge, TCS, L&T, and KPIT, highlighting the growing business collaboration between the two countries.

Highlighting western India’s importance, Sven Östberg, Consul General of Sweden in Mumbai, said, “Over 100 of the 280+ Swedish companies operating in India have established a strong presence in Western India. This enduring business sambandh, rooted in the 1960s with the arrival of Swedish pioneers like SKF, Tetra Pak, and Alfa Laval in Pune, has only grown stronger over the decades.”

“Today, the western region continues to attract a new wave of Swedish innovation, with tech-driven companies such as Spotify, Storytel, Lektus, GoMo, and Spolto joining the ranks and enriching the bilateral business landscape,” he added.

Sofia Högman, Trade Commissioner of Sweden to India, highlighted the strong collaboration between India and Sweden, reflected in a 191% growth in Indian foreign direct investment (FDI) in Sweden over the past five years. Investments by Indian companies have contributed to high-skilled job creation and furthered shared innovation and sustainability agendas between the two countries, she noted.

The event also emphasised the focus on green transition and climate goals, with India and Sweden collaborating through initiatives such as the green hydrogen cluster and the leadership group for industry transition (LeadIT) 2.0, launched by the Prime Ministers at COP28. Additionally, the event highlighted high-potential areas for deepened collaboration to drive future innovations, including AI, quantum technology, space technology, life sciences, and 5G/6G.