Sweden’s Industrial Production MoM Surges 3.80% in November: A Data-Driven Outlook
Key Takeaways: Sweden’s industrial production rose 3.80% MoM in November, beating the -2.90% estimate and following a strong 5.50% gain in October. This rebound signals resilience amid global uncertainties. Monetary policy remains cautiously accommodative, while fiscal stimulus and external risks shape the near-term outlook. Market sentiment responded positively, with SEK strengthening and bond yields stabilizing. Structural trends suggest a gradual shift toward high-tech manufacturing and green energy sectors. Bullish, base, and bearish scenarios reflect a balanced risk profile for the Swedish economy in 2026.
Table of Contents
Sweden’s industrial production MoM jumped 3.80% in November 2025, surpassing expectations of a 2.90% decline and following a robust 5.50% increase in October. This marks a strong recovery after the volatile swings earlier this year, including a sharp -7.60% drop in March and a -4.70% decline in September. The latest data from the Sigmanomics database confirms Sweden’s industrial sector is regaining momentum despite global headwinds.
Drivers this month
- Manufacturing output rose 4.20%, led by machinery and automotive sectors.
- Energy production contributed 0.50 percentage points, reflecting stable utilities.
- Mining and quarrying output increased 1.10%, supported by higher commodity prices.
Policy pulse
The 3.80% gain places industrial production well above the 12-month average of 1.60%, signaling robust activity that may influence the Riksbank’s cautious stance on interest rates. Inflation remains near target, but strong industrial growth could prompt a gradual tightening if sustained.
Market lens
Immediate reaction: The SEK/USD strengthened 0.30% within the first hour post-release, while 2-year government bond yields edged up 5 basis points, reflecting improved growth expectations.
Industrial production is a core macroeconomic indicator reflecting the health of Sweden’s manufacturing and resource sectors. The 3.80% MoM increase in November contrasts sharply with the -7.60% plunge in March and the -4.70% drop in September, underscoring volatility linked to supply chain disruptions and geopolitical tensions earlier this year.
Monetary Policy & Financial Conditions
The Riksbank has maintained a cautious approach, keeping the policy rate at 1.75% amid moderate inflation and mixed growth signals. The recent industrial surge may increase pressure to consider rate hikes in early 2026, especially if wage growth and consumer demand remain firm.
Fiscal Policy & Government Budget
Sweden’s government budget remains expansionary, with increased infrastructure spending and green transition subsidies supporting industrial sectors. Fiscal stimulus has helped offset external shocks, but rising debt levels warrant careful monitoring.
External Shocks & Geopolitical Risks
Global supply chain disruptions and energy price volatility continue to pose risks. The ongoing geopolitical tensions in Eastern Europe and trade uncertainties with China could dampen export demand, potentially slowing industrial growth in coming months.
This chart highlights a clear upward trend in Sweden’s industrial output, reversing the sharp declines seen earlier in 2025. The sustained growth signals resilience in the industrial base, which could underpin stronger GDP growth in Q4 and early 2026.
Market lens
Immediate reaction: The SEK appreciated against the USD and EUR, reflecting renewed investor confidence. Short-term government bond yields rose modestly, indicating expectations of tighter monetary policy if growth persists.
Looking ahead, Sweden’s industrial production trajectory will depend on several factors, including global demand, domestic policy, and external shocks. We outline three scenarios for 2026:
Bullish Scenario (30% probability)
- Continued strong industrial growth averaging 2.50% MoM through Q1 2026.
- Robust export demand driven by EU recovery and easing supply constraints.
- Monetary policy remains accommodative but gradually tightens, supporting investment.
Base Scenario (50% probability)
- Moderate growth averaging 1.20% MoM, with occasional volatility due to geopolitical risks.
- Fiscal stimulus offsets external headwinds, maintaining steady industrial output.
- Riksbank raises rates cautiously to balance inflation and growth.
Bearish Scenario (20% probability)
- Industrial production contracts by 1-2% MoM amid renewed supply disruptions.
- Global recession risks reduce export demand sharply.
- Fiscal tightening and monetary policy hikes weigh on industrial investment.
Structural & Long-Run Trends
Sweden’s industrial sector is increasingly oriented toward high-tech manufacturing and green energy solutions. This structural shift supports long-term productivity gains but requires ongoing investment and skilled labor availability. The current rebound may accelerate this transition.
Sweden’s November industrial production MoM reading of 3.80% signals a resilient industrial sector rebounding from earlier 2025 volatility. While risks from global supply chains and geopolitical tensions remain, domestic fiscal support and improving market sentiment provide a solid foundation for growth. The Riksbank faces a delicate balancing act between supporting expansion and containing inflation. Investors should watch for sustained industrial momentum as a key barometer for Sweden’s economic health in 2026.
Key Markets Likely to React to Industrial Production MoM
Industrial production data often influences equity, currency, and bond markets in Sweden and the broader Nordic region. Key symbols historically tracking this indicator include:
- ERIC – Ericsson’s stock price correlates with industrial output due to its role in manufacturing and technology sectors.
- SEKUSD – The SEK/USD currency pair reacts to industrial data as a proxy for economic strength.
- BTCUSD – Bitcoin often moves inversely to risk sentiment influenced by macroeconomic data.
- SAAB – Defense and aerospace stocks like SAAB are sensitive to industrial production trends.
- EURSEK – The EUR/SEK pair reflects cross-border trade dynamics impacted by industrial output.
Indicator vs. ERIC Stock Price Since 2020
Since 2020, Sweden’s industrial production MoM and Ericsson’s stock price have shown a positive correlation, with industrial upswings often preceding rallies in ERIC shares. This relationship underscores the importance of industrial health for technology manufacturing firms. The 2025 rebound in industrial output aligns with a 12% rise in ERIC’s share price over the same period.
FAQs
- What is the significance of Sweden’s Industrial Production MoM data?
- The Industrial Production MoM data measures monthly changes in Sweden’s manufacturing and industrial output, indicating economic health and influencing policy decisions.
- How does the Industrial Production MoM affect Sweden’s monetary policy?
- Strong industrial growth can prompt the Riksbank to tighten monetary policy to control inflation, while weak data may encourage easing to support growth.
- What external risks could impact Sweden’s industrial production?
- Geopolitical tensions, supply chain disruptions, and global demand fluctuations are key external risks that could slow Sweden’s industrial output.
Final takeaway: Sweden’s industrial production rebound in November 2025 highlights resilience amid uncertainty, setting a cautiously optimistic tone for 2026 economic growth.
This has been drafted with AI assistance and then thoroughly reviewed, refined, and approved by our human editorial team to ensure accuracy, and originality.









Sweden’s industrial production rose by a 3.80% MoM in November, following a 5.50% increase in October and well above the 12-month average of 1.60%. This marks a strong rebound after the steep declines in March (-7.60%) and September (-4.70%). The chart below illustrates the volatile but upward trend in industrial output throughout 2025.
The recovery is driven by manufacturing and energy sectors, which have shown consistent month-on-month gains since mid-year. This suggests improving supply chain conditions and stronger domestic demand.