Frigate deal opens major role for Swedish industry

Swedish defence companies are expected to secure major workshare packages after Sweden decided to procure four frigates from France’s Naval Group at an estimated cost of SEK 40 billion.

During a press conference on Tuesday, Prime Minister Ulf Kristersson, Defence Minister Pål Jonson and Sweden’s chief of defence, General Michael Claesson, outlined the procurement decision.

- A significant part of the frigates will consist of Swedish systems. This is, of course, very important, Pål Jonson said.

While Sweden does not apply formal offset requirements, the government stressed that a substantial share of Swedish defence technology will be integrated into the four vessels.

This includes Saab’s RBS15 anti-ship missile and Saab Lightweight Torpedo (SLWT) anti-submarine warfare system, alongside Swedish targeting and combat systems.

Saab will also deliver Giraffe radar systems, while BAE Systems Bofors is expected to supply naval air-defence guns as part of the programme.

Maintenance and future development work will also be based at a Swedish shipyard, according to Jonson.

Saab’s share price rose by 4.5 percent on Tuesday morning following the announcement.

The government said key factors behind the decision included rapid delivery of a proven design, cost-sharing opportunities with France and Greece, and access to advanced air-defence capabilities.