Being relatively small economies in a global perspective, foreign trade is crucial to maintaining economic development and prosperity. Not surprisingly, the Scandinavian countries constitute important trading partners for one another. Norway exports most goods to Sweden, while Denmark imports the second most goods from Sweden. Germany, however, is arguably the top trading partner for all the Scandinavian economies, regarding both imports and exports. The backbone of Scandinavian exports is petroleum and petroleum products, while other strongholds include machinery and transport equipment.
Despite being among the world’s wealthiest countries, economic growth has been sluggish following the economic crisis in 2008. Like most other countries, the outbreak of the coronavirus (COVID-19) has set back the Scandinavian economies once again. The Scandinavian economies all faced recessions due to the pandemic but are forecast to increase again in the years to come. While imports and exports are expected to recover relatively fast, unemployment- and inflation rates also seem to resurface, albeit at a slower pace. Overall, economic activity in Scandinavia is expected to remain subdued during the lockdown winter months, but to recover as the weather improves and vaccines are distributed.