The business sector invests 13 billion in Fyrbodal after strong growth

“It is gratifying that Fyrbodal is experiencing strong growth thanks to extensive investments from both existing businesses and new establishments,” says Susann Haggren from the Confederation of Swedish Enterprise.

“Classic growth-promoting factors include geographical proximity to expertise, financiers, and infrastructure, as well as the importance of a supportive business climate from municipal authorities and access to attractive and well-planned land. These investments will hopefully create ripple effects for industries that have been hit hard by the economic downturn.”

Several major expansion investments, totaling approximately 13 billion SEK, are following in the wake of the green transition, with businesses in Fyrbodal focusing on innovation and sustainability.

“We are incredibly proud and happy that companies want to invest and expand with us in Fyrbodal,” says Jenni Hagman from Position Väst, Fyrbodal’s municipal association.

In addition to its mission to attract new establishments, Position Väst also works with foreign-owned companies in Fyrbodal. Together with municipalities and Business Sweden, they identify expansion opportunities and the development potential of Swedish operations.

“Expansion investments are becoming increasingly important for the Swedish economy. Global companies in Sweden often face internal competition within their organizations, and it is crucial that we work proactively to retain these businesses in Sweden, help them grow, and build sustainable value chains. The excellent collaboration with our regional investment promotion partners, such as Position Väst, strengthens Sweden’s offering to companies and has yielded positive results,” says Jan Larsson, CEO of Business Sweden.

Success Factors

Fyrbodal has a long history of industrial development and production, as well as an attractive logistics location. The region boasts world-leading expertise in automation and a close collaboration between innovation, research, and business, making it easy to develop operations. Fyrbodal is home to several innovation environments in blue and green bioeconomy as well as sustainable industry.

“Several of these investments have been made possible through broad cooperation between businesses and public actors at various levels of society. Collaboration is a key condition for Fyrbodal’s continued growth and transition to a sustainable and competitive business environment,” says Anna Lärk Ståhlberg, Director of Fyrbodal’s municipal association.

Throughout Western Sweden, there is a strong focus on the green transition and a clear political ambition to lead in sustainable development, as outlined in the regional development strategy. The extensive investments occurring throughout Western Sweden are significant for the green transition and make a strong contribution to Sweden’s economy and growth.

Footnote: Source: Bisnis Analys.

Below are examples of other major investments in Fyrbodal:

• Preem is investing over 10 billion SEK in Lysekil and phasing out fossil fuel production to make room for the production of future renewable fuels for road and air transport.”These investments are important milestones in our transition journey and will make Preem a leading player in renewable aviation fuel in Northern Europe,” says Sofia Agertoft, Acting Press Officer at Preem.
• GKN Aerospace is taking a leading role in sustainable production, investing 600 million SEK in the industrialization of additive manufacturing. This method enables more efficient designs for future aircraft engines and is being established in Sweden at GKN Aerospace’s facility in Trollhättan.”This is the result of many years of research and development and marks a major step forward for GKN Aerospace. At the same time, it reinforces our commitment to driving innovation and sustainability within the manufacturing industry,” says Martin Wänblom, GKN Aerospace Sweden.
• Lantmännen is investing 500 million SEK in a new grain facility in Uddevalla, an essential component of the country’s food security and the company’s largest investment in its grain infrastructure in Sweden in 40 years.”Our new facility is located in an attractive port location, where access to a deepwater port enables the loading of 30,000-ton ships. This means lower freight costs and the ability to reach markets such as the USA and North Africa, which pay higher prices than destinations accessible to smaller vessels—ultimately leading to higher revenues for farmers,” said Elisabeth Ringdahl, Head of the Agriculture Division at Lantmännen, at the groundbreaking ceremony in February this year.
• Uddevalla Port is investing over 500 million SEK in relocating and developing the port, aiming to handle 1.5 million tons of goods per year within ten years.
• Scandinavian Enviro Systems is investing in and constructing its first large-scale plant for recycling end-of-life tires in Uddevalla. The company already operates a demonstration plant in Mellerud.
• Dana has invested approximately 500 million SEK in a new facility for manufacturing electric motors for heavy vehicles in Åmål. The company also recently invested 120 million SEK in expanding its driveshaft production.
• Polestar, the electric performance car brand, has established itself in Trollhättan, investing in a development and testing facility at Stallbacka since 2023, leveraging the area’s strong automotive expertise and tradition.
• T Engineering has invested 100 million SEK in its operations in Trollhättan, developing control systems for electric and hybrid vehicles. The company is also expanding its vehicle testing and certification services for electric cars at the Stallbacka test track (T Legacy Track) and on European roads.”We see continued strong development ahead with the green transition, and just this year, our team is growing by more than 15 employees,” says Klas Lundgren, CEO of T Engineering.
• Vargön Alloys is expanding its operations in Vänersborg by investing 80 million SEK to increase production capacity and enable the operation of four furnaces simultaneously.”It’s fantastic that our owners truly believe in us and are investing in our future. Thanks to their support, we can now renovate all our furnaces and operate all four simultaneously—an investment that will take our production to the next level!” says Anders Lehman, CEO of Vargön Alloys.
• Recas aims to recruit 130 people over the next 18 months to establish a new local presence. The company continues to drive profitable growth by identifying and optimizing improvement potential and was named Gazelle Company of the Year in Västra Götaland by Dagens Industri this year.”With the takeover of laboratories at Stallbacka in Trollhättan, we now offer a unique opportunity to provide SME companies with large-scale expertise by testing and validating products early in the development process. Recas opened its fourth office in May and acts as an establishment partner alongside Stenhaga Invest at Stallbacka,” says Micael Lawson, CEO of Recas.
• Rikstvätt Bengtsfors is in an expansion phase with several strategic acquisitions and investments, including a 15 million SEK investment in new technical equipment and the establishment of a new depot in Strömstad.

“Our new mangle equipment will reduce energy consumption by up to 25% annually while increasing peak capacity by 25%. The modern equipment also benefits laundry items, preserving textiles and extending their lifespan by up to 20%, especially for bed linens and tablecloths—a major environmental benefit,” says Ulrika Hedkrok, Marketing Coordinator at Rikstvätt Bengtsfors.