Where Swedish Innovation, Mexican Ambition Meet: Business Sweden

Q: How would Business Sweden characterize the current state of the bilateral economic relationship between Sweden and Mexico?

A: Sweden and Mexico have a dynamic yet underleveraged trade relationship. Swedish companies see Mexico as both a strategic market and a regional hub. Our bilateral ties are about more than just exports; they are about long-term investment, innovation transfer, and the co-creation of solutions in critical sectors for both economies.

There are several sectors with momentum, such as mining and minerals, where Swedish equipment and sustainability expertise are in demand. Other sectors with momentum are automotive and e-mobility, where Swedish OEMs and suppliers are deeply involved in Mexico's transition toward electric vehicles (EVs). Digital infrastructure and medtech are also areas where there is a growing demand for advanced equipment and digital solutions.

We also see under-explored sectors, such as renewable energy and grid modernization, especially in transmission and storage. There is increasing interest in both countries in sustainable food production and agritech, as well as waste management and circular economy solutions, where Sweden is very strong. Another untapped potential is maritime and sustainable ports.

Q: What opportunities can Swedish companies create in these under-explored sectors?

A: Mexico has a high potential for solar and wind energy, but the policy framework has slowed new investments. Private sector’s demand for clean energy is rising quickly, especially from multinational corporations with net-zero targets. The Swedish angle is to collaborate on solutions for grid digitalization, transmission, and storage, including microgrids and energy efficiency. Companies such as ABB, Hitachi Energy, and Siemens Energy, along with smaller clean tech firms, see strong opportunities for both countries.

In the sustainable food and agritech sector, Mexico is one of the world's largest food exporters, but there are still gaps in productivity and sustainability. Water scarcity, outdated farming methods, and high waste are persistent challenges. We can help with precision agriculture, smart irrigation, food processing technology, cold chain logistics, and sustainable packaging. Tetra Pak, a long-standing partner, is a leader in this area. We can also assist with water and waste management. In Sweden, we have developed industrial water reuse, circular waste-to-energy systems, advanced recycling technologies, and sustainable urban water management. Mexico now faces similar challenges, and we can assist in developing its recycling infrastructure.

In healthcare and medtech innovation, public healthcare is under pressure, while private healthcare is growing quickly. We can offer digital health platforms, telemedicine, advanced medical equipment, and cancer treatment solutions. Elekta is at the forefront of this technology. We also have innovations for elderly care.

In the maritime and sustainable port sector, Mexico is a top global trade hub with major ports, but port electrification and sustainability are still in their early stages. We can offer solutions such as electric ferries, port electrification, automation, and green shipping technology.

In smart cities and digital infrastructure, Mexico faces challenges with rapid urbanization and digital integration. Smart mobility is also lagging. Swedish companies can offer solutions such as smart grids, intelligent transport systems, and sustainable mobility with partners like Volvo and Scania. Another untapped sector is education technology. We can help with Mexico's education system, particularly in rural and underprivileged areas, with smart digital learning platforms, such as those from Binogi International. We also offer training solutions and partnerships for skills development linked to Industry 4.0.

Q: How would the final ratification of the modernized EU-Mexico Global Agreement impact trade dynamics and investment for Swedish firms?

A: The modernized agreement is a game-changer. It levels the playing field for Swedish companies by offering stronger IP protection, easier services for trade, faster customs clearance, and greater certainty for long-term investment, which is crucial in manufacturing and energy. For Mexican companies, it opens new opportunities in technology, design, and green products for export to Sweden and Europe, while leveraging Mexico’s strong industrial base. 

Q: What are the main challenges Swedish companies encounter when venturing to Mexico, and how has Business Sweden helped them in tackling them?

A: As a public-private partnership that helps Swedish companies of all sizes enter the Mexican market, we can help companies with market entry and strategy, from mapping demand and identifying local partners to navigating cultural and regulatory differences. Our role is to make Mexico's opportunities accessible and less risky. We also act as a bridge builder between Swedish firms and decision makers at the federal, state, and municipal levels. We open doors and can position companies in the right ecosystems, whether in energy, mining, healthcare, or automotive, among others. 

We work as a team to help finance large projects. We connect Swedish companies with expert credit agencies and funds like the Swedish Export Credit Agency (EKN) and the Swedish Export Credit Corporation (SEK), which can finance a project from the beginning. We also identify multilateral banks and guide Swedish firms to turn sustainability into a competitive edge.

In the area of nearshoring advisory, many Swedish firms use Mexico as a platform for the United States or Canada. We can help them structure those strategies, ensure compliance, and connect them with supply chains in key clusters such as Monterrey, Querétaro or the Northern Border.

Beyond that, we provide business support services to facilitate market entry. Before companies open an office, we assist with soft landing solutions that can include HR, employment services, financing, and controlling. Our overarching goal is to make Mexico’s opportunities accessible while reducing risk for Swedish businesses.

Q: Where do Swedish companies fit in the context of nearshoring, especially considering that over 73% of Sweden's foreign trade occurs within Europe? How would the revision of the USMCA impact Swedish companies’ interest in the country? 

A: Nearshoring for Swedish companies is not about replicating their European operations in Mexico but about leveraging Mexico as a strategic platform within North America. The potential impact of a USMCA revision will largely depend on whether Mexico can strengthen key fundamentals, such as clean energy, infrastructure, and predictability. Should Mexico deliver on that, Swedish investment could significantly multiply.

Q: With the 2026 review of USMCA approaching, what is the perspective from Swedish companies operating in Mexico on that agreement's importance for their investment approach to Mexico?

A: It is difficult to say for sure, but the automotive and advanced manufacturing sectors will likely be the most exposed to disruptions. The rules of origin, labor value, and tariffs are central to the agreement, and Swedish OEM suppliers rely on cross-border supply chains. Any disruption could raise costs and complicate compliance. USMCA also aims to provide predictable access for Mexico's exports. If those rules change, Swedish technology suppliers in food, processing, packaging, and logistics will also be affected. The effect will be seen across the automotive, energy, and advanced manufacturing sectors. For Swedish companies, predictability is the No. 1 concern because they invest in Mexico as a secure platform for the United States and Canada. Any risk to that security would be a nearshoring risk.

Q: What are the perspectives on the future of economic and business exchanges between both countries and what role will Business Sweden play in this future?

A: Business Sweden’s role in the coming years should be seen that of a strategic partner, not just a facilitator. Our ambition is to transition from being a market entry advisor to a long-term strategic partner, particularly in light of the current political landscape, the renegotiation of USMCA, and the future ratification of the EU-Mexico Global Agreement. Our mission is to help companies future-proof their operations, ensuring that they can grow sustainably in Mexico and across North America. 

A key priority will be driving the green transition. We will play a critical role in matching Swedish green technologies with Mexico's transformation needs, spanning energy and mining, smart cities, and water management. Since future growth for companies requires large, capital-intensive projects, Business Sweden will act as a connector between Swedish firms and financing institutions and multilateral banks. 

Beyond individual projects, we aim to build thriving ecosystems. This means fostering collaboration between Swedish and Mexican companies, universities, and industry clusters to co-create innovative solutions. By embedding these values into Mexico’s economic development, we will position Sweden as a trusted partner in responsible, sustainable growth. In short, Business Sweden’s future role is to be a catalyst for long-term partnerships, sustainable expansion, and ecosystem development, where Swedish innovation meets Mexican ambition.

Q: What other goals is Business Sweden looking to achieve in 2025 and 2026? 

A: Our goal is to leverage nearshoring momentum by ensuring Swedish companies seize opportunities from USMCA-driven supply chain integration and by building strategies for firms to use Mexico as a North American platform.

We will work to broaden Swedish companies’ perspective on the scale and potential of the Mexican market, while driving growth in under-explored sectors such as water management, ports and logistics, and healthcare innovation. At the same time, we will promote Sweden’s strengths in digital infrastructure and Industry 4.0 as key enablers of competitiveness. 

Strengthening "Team Sweden" collaboration with Mexican stakeholders will be crucial. By working even closer with embassies, chambers, and ministries, we aim to provide a united Swedish presence in the Mexican market.
 

Business Sweden serves as the Trade and Investment Office of the Swedish Embassy. It supports Swedish companies seeking to establish or expand their presence in the country by providing consulting, market entry planning, and promotional services across diverse industries. The organization's mission is to strengthen the commercial relationship and foster sustainable economic development between the two nations.