Sweden'S "Abandonment" Garment Industry Will Enter The Electronics Industry (1)

Sweden is not involved.

Sweden used the opportunity of not being involved in the two World War and became one of the richest countries in the world.

Similarly, this Nordic rich country faced two challenges in the last 30 years of the last century, and made two major strategic adjustments in its development, thus laying a solid foundation for maintaining economic prosperity after twenty-first Century.

Go all out

In the 60s of last century, Sweden was the fastest growing economy after the war, with an average annual economic growth rate of over 5%.

However, high speed economic development also lurks a crisis.

With the rise of new industrialized countries, the traditional industries that have brought industrialization and economic prosperity to Sweden, such as steel, shipbuilding, iron ore, textile and clothing, have been more and more impacted by labor intensive industries.

Especially after the two oil crisis that occurred in the world in 70s, the Swedish economy almost fell into a stagnant development.

In the face of this severe challenge, what should the Swedish economy do?

After weighing the pros and cons, Sweden opted for the next road.

After 20 years of hard work, Sweden's industrial structure has undergone tremendous changes.

Shipbuilding, textiles and clothing, the two industries that have played a decisive role in Swedish industry, have become insignificant.

The textile and garment industry accounted for 6% of total industrial output in 1970, and its proportion dropped to less than 2% by 1992.

The share of traditional industries such as iron and steel, mining and pulp and paper making in Swedish industry has dropped from 27% in 1970 to less than 20% today.

On the contrary, capital and technology intensive industries have been developing rapidly.

In particular, the technology intensive industries such as pharmaceuticals, electronics and telecommunications have become the fastest growing industries in Sweden since 1970s and have begun to shoulder the heavy responsibilities of Sweden's pillar industries.

With the adjustment of industrial structure, great changes have taken place in the whole economic structure of Sweden.

In the 20 years from 1970 to 1990, the share of the third industry has risen from 53% to 64%.

The proportion of public utilities has grown particularly rapidly.

From 1970 to 1990, the proportion of employment in the public sector increased from 20% to 30%.