Scandinavian American. [volume] (Seattle, Wash.) 1945-1958, 1950-09-21
Sweden
On the World Market

postwar trade has been the UNI
favorable balance of trade, with
import volume largely exceeding
and exports substantially tagging
behind prewar levels.
194S imports were 117ft, and
those of 1947, 1907, of the 1886
38 average; 194S exports were 1850
and the 1947 volume, $40 of pre-
war average.
Thus 1948 trade revealed rising
export and shrinking import vol
ume. The value of the import sur
plus was less than half of 194Ts
record high, which was 1890 great
er than prewar.
Factors behind this shift were:
stringent import regulations aim
ing at more means of production,
less consumer goods, and more
soft, less hard currency transac-
tons; and, on the other hand,
stepped-up export.
Pivotal country in Sweden's pre-
war multilateral trade was Great
Britain, since Sweden's export sur
pluses with that country and the
other parts of the sterling area
covered the payments deficits with
the U. S. and Germany.
After Germany's disappearance
as supply source, the postwar
trade up to 1947 was highlighted
by the shift in imports from Eu-
rope to overseas markets, especial
ly the U. s. However, at the same
time there was no corresponding
export change.
To balance payments with that
area and curb the drain Of foreign
exchange came the 1947 import
regulations. Taking full effect in
1948 they decreased hard-currency
American trade and increased soft
currency European and sterling
area trade. This shift was so thor
ough that Great Britain not only
was Sweden's best customer but
passed the U. s. to become Swe-
denis largest supplier. The tradi-
tional Swedish export surplus with
Britain was converted into an i'm
port surplus.
The 1913 trade, however, did
not show the strong increase be-
yond the preceding years value
that had marked 1916 and 1947.
Total trade value increased only
4.5h in 1913 as compared to 1850
in 1947. Exports gained 22.4%, i'm
ports lost 6.6%.
Among the main imports - food
stuffs, raw materials, fuel, mach
ines - it was especially the con-
sumner goods principally textiles
and food-stuffs) that were hard
hit by the import restrictions.
Their value declined from the pre-
war normal of 229o of the total to
1917 in 1928 after 279s level in
1916. Largest 1948 increase came
in fuel.
A marked postwar change has
taken place in the distribution of
the contribution to total sales val
ue by Sweden's main export COM
modities forest industry products,
iron ore, and steel, engineering
products). Products from forest in
dustries - principally paper and
pulp = have accounted for more
than half in 1947 and 1913, COM
pared to 1850 in 1888. Iron, steel,
and engineering have gone the
other wav around - from almost
500 to a little more than one
third.
The fact that after war a small
Ter quantity Of Sweden's resources
has been available for export is
partly due to increase in domes-
tic consumption. partly to declin-
ing raw material supply.
The factor causing the 1913 drop
in pulp sales to the U. s. was, how
ever. increased resistance In the
U. S. market. and not any de.
creased Swedish export capacity.
In 1913, paper export was, how
ever. beyond prewar level as were
ships and certain engineering man.
ufactures. Iron-ore shipments al
most reached prewar volume.