Sweden is home to many globally recognized brands, and most of its major corporations have already established a presence in Vietnam.

With expertise in technology and innovation, Swedish businesses can play a significant role in supporting Vietnam’s sustainable development.

In an exclusive interview with VietNamNet, Swedish Ambassador to Vietnam, Johan Ndisi, discussed investment projects, the role of small and medium enterprises (SMEs), and the potential for cooperation in green transformation and digital innovation.

Swedish businesses expanding their footprint in Vietnam

Currently, Sweden ranks as one of Vietnam’s most important trade partners within the EU.

With total registered investment exceeding $700 million, Sweden is the 29th largest investor among 143 countries and territories in Vietnam.

Ambassador Ndisi emphasized that approximately 70 Swedish companies are operating in Vietnam, forming a solid foundation for further bilateral trade expansion.

While major corporations such as AstraZeneca, Tetra Pak, Hitachi Energy, and Polarium have established long-term operations in Vietnam, Sweden is also keen to support SMEs due to their vital role in the economic ecosystem.

Swedish businesses contribute significantly to Vietnam’s economy, not only through direct investment but also by creating jobs and boosting exports.

“H&M, for example, manufactures in Vietnam primarily for the global market, including much larger markets than Sweden, such as the United States.

Similarly, IKEA imports a substantial volume of goods from Vietnam for worldwide distribution,” Ndisi explained.

Because of this global supply chain dynamic, official trade statistics do not fully capture the depth of economic cooperation between Sweden and Vietnam.

Nevertheless, Swedish companies remain integral to Vietnam’s industrial and export landscape.

The Swedish formula for fostering innovation and global success

Despite having a population of only 10 million, Sweden has produced world-renowned brands such as Spotify, H&M, Volvo, IKEA, and Tetra Pak.

Ambassador Ndisi attributed this success to several key factors: a strong emphasis on education, a culture of research and innovation, and a willingness to experiment and embrace failure.

"Behind every success story are countless failures and continuous adaptation," he noted.

Sweden is an export-driven nation that thrives on problem-solving.

Collaboration between the government, universities, and businesses has created a thriving environment for startups and innovation.

Crucially, two-thirds of research funding at Swedish universities comes from the private sector, underscoring the business community’s long-term investment in innovation.

“Vietnam has a strong foundation, an open business environment, and a deep respect for education.

As the country’s innovation ecosystem continues to grow, focusing on research and development while engaging the private sector will be key to sustainable success,” Ndisi added.

Sweden stands ready to share its expertise and ideas on fostering research-driven innovation in Vietnam.

The power of SMEs in driving economic growth

While large corporations dominate headlines, Ambassador Ndisi stressed that SMEs are the true drivers of innovation.

Sweden ranks among the world’s top two countries for innovation, and its stock exchange has welcomed more newly listed companies in the past decade than those of France, Germany, Spain, and the Netherlands combined.

"Large corporations are not typically the pioneers of innovation - smaller companies lead the way.

SMEs are agile, dynamic, and crucial in introducing breakthrough ideas.

Many startups eventually get acquired by larger firms precisely because of their innovative edge,” he explained.

Given their flexibility and problem-solving capabilities, Swedish SMEs can help Vietnam tackle technological and sustainability challenges by introducing cutting-edge solutions.

By encouraging the entry of Swedish SMEs into Vietnam, the country can accelerate its transition toward high-tech and sustainable industries.

Sweden’s role in Vietnam’s green transformation

Ambassador Ndisi welcomed Vietnam’s strong commitment to green transformation and sustainable development.

“The world must act together for a greener future, and Sweden is eager to support Vietnam in this transition,” he said.

With extensive expertise in renewable energy, circular economy practices, and digital transformation, Sweden is well-positioned to collaborate with Vietnam.

Swedish companies such as Hitachi Energy are already involved in modernizing Vietnam’s power grid, addressing inefficiencies that lead to significant energy loss.

Upgrading the electrical grid is a critical step in ensuring the stability of renewable energy sources and meeting Vietnam’s long-term sustainability goals.

Additionally, Swedish businesses are ready to provide technology transfer, financial support, and expertise to make green transformation both feasible and cost-effective for Vietnam.

5G and digital transformation: Ericsson’s long-term partnership with Vietnam

Vietnam has made significant progress in digital governance, artificial intelligence, and 5G infrastructure.

Ericsson, a longstanding partner of Vietnam, has been involved in the country’s telecom evolution since the 2G era and continues to play a key role in 5G deployment.

"Vietnam’s choice of Ericsson as a 5G partner is a testament to its commitment to high-quality and reliable technology," Ndisi remarked.

Ericsson also collaborates with universities such as RMIT Vietnam, establishing AI research labs to equip students with cutting-edge technological skills.

The expansion of 5G will unlock significant potential in various sectors, including smart ports, aviation, automotive manufacturing, robotics, and mining.

For example, 5G enables three-dimensional positioning in ports, optimizing container movements and significantly reducing operational costs.

Recently, the Swedish Business Council in Vietnam signed a Memorandum of Understanding with Vietnam Electricity (EVN), further strengthening cooperation in energy technology and innovation.

These partnerships highlight Sweden’s growing role in Vietnam’s digital and green transitions.

55 years of Vietnam-Sweden relations: Achievements and future outlook

In December 2024, the Vietnamese Ministry of Foreign Affairs and the Swedish Embassy co-hosted a conference titled "55 Years of Vietnam-Sweden Relations: Achievements and Prospects."

The event brought together policymakers, industry leaders, and academics to discuss bilateral cooperation in trade, education, sustainability, and political dialogue.

This year also witnessed high-level exchanges, including Vietnamese Vice President Vo Thi Anh Xuan’s official visit to Sweden and multiple Swedish ministerial visits to Vietnam.

Notably, the largest-ever Nordic CEO Summit took place in Hanoi, with 150 executives from leading Swedish and Nordic companies.

“These engagements solidify our partnership and pave the way for deeper collaboration in trade, technology, and sustainability,” Ndisi stated.

Looking ahead, Sweden and Vietnam share common values in free trade, multilateral cooperation, and economic openness, making them natural partners in global commerce.

A vision for the future

As he embarks on his tenure in Vietnam, Ambassador Ndisi outlined his key priorities:

Strengthening economic and diplomatic ties between the two nations.

Promoting scientific and technological cooperation, particularly in green transformation and digital innovation.

Expanding people-to-people exchanges through cultural events and educational partnerships.

“Technology-driven Swedish enterprises have the expertise to help Vietnam address sustainability challenges and drive innovation.

At the same time, cultural exchanges - such as the upcoming ABBA tribute concert tour - will further connect our people and deepen mutual understanding.

Who knows? One day, we might even see an IKEA store in Vietnam, symbolizing our ever-growing partnership,” he concluded.

Pham Vu Thieu Quang