FOREIGN-OWNED COMPANIES IN THE REGION 2016

A long tradition of international business

Gothenburg has always been international. Foreign trade has been a defining feature ever since the city of Gothenburg was founded in 1621. During the 18th century, the large, strategically positioned harbour welcomed East Indiamen from China, and today around 30 percent of all ’s foreign trade passes through the Port of Gothenburg. This is Scandinavia’s largest port, and one of the main reasons why Gothenburg has been named Sweden’s best logistical location for over 10 years running.

Gothenburg has also a proud tradition of investing in research and the commercialization of research findings. The region’s three science parks are a breeding ground for successful and innovative collaboration between industry, academia and the public sector. World-leading research within a number of strategic fields has also attracted many foreign investors.

This brochure provides a statistical overview of the foreign-owned businesses in Gothenburg. If you have any questions, please do not hesitate to get in touch – after all, we are the experts when it comes to Gothenburg.

Would you like to know which foreign-owned companies in your industry operate in Gothenburg? Or how many companies from a particular country are present in this region? Just do a simple search using our web service, a database of the region’s foreign-owned companies. Here, you can find companies such as Volvo Cars, AstraZeneca, Borealis, Huawei, Cochlear and many others. Search by, for example, country of origin, company name, parent company and municipality. You can find this service at our website; www.businessregiongoteborg.com/foreignownedcompanies

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Data in this report comprise the 13 municipalities that together form the Gothenburg region. These are: Ale, Alingsås, Gothenburg, Kungsbacka, Kungälv, , , Mölndal, Partille, , Tjörn and Öckerö

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FOREIGN-OWNED COMPANIES IN THE GOTHENBURG REGION 2016

Development in the Gothenburg region and Figure 1 shows how foreign-owned companies Sweden and establishments have developed during the period 1990-2015. In 1990, there was 618 Since 1990, foreign-owned companies and (714) foreign-owned companies (establish- establishments have increased significantly in ments) in the Gothenburg region. By the end of Sweden and Gothenburg region. Table 1 the period, the number of foreign-owned shows how foreign-owned companies, estab- companies (establishments) had increased to lishments and employed in companies have 2,274 (2,968), which is almost a three-doubling developed 1990-2015 and 2014-2015. of the region’s foreign ownership. Throughout the period 1990-2015, the per- Figure 1 Number of foreign-owned companies and centage change in both companies and establishments in the Gothenburg region, 1990-2015 establishments that are foreign-owned has 3 500 2 968 been greater for Sweden. However, the growth 3 000 Establishments in employed is considerably higher for foreign- 2 500 Companies 2 000 2 274 owned companies in the Gothenburg region. 1 500 1 000 714 Even if foreign-owned companies and estab- 500 618

0

1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 lishments in the Gothenburg region are slightly 1990 decreasing in number during 2014-2015, the number of employed is increasing. This Source: Statistics Sweden increase can be contrasted against Sweden, where the employment decreased. One reason for the development in the Gothenburg region is that several foreign-owned companies An establishment is a entered a period of boom in 2015. geographically defined address, property or group of Table 1 Percentage change in foreign-owned nearby properties where work companies and establishments 1990-2015 and activities are conducted at least 2014-2015 in the Gothenburg region and Sweden 20 hours per week with employed staff. A temporary work environment, a postal

Gothenburg region Sweden box, or a home address is not

counted as an establishment.

Period

Establishments Employed Companies Establishments Employed Companies

1990-2015 268% 316% 366% 446% 371% 213% The number of employed in foreign-owned

2014-2015 -1.0% -0.1% 3.8% 1.1% -0.1% -0.4% companies has increased more than three- folded since 1990 (see Figure 2). In 1990, Source: Statistics Sweden and Growth Analysis 18,029 persons were employed in foreign- owned companies in the Gothenburg region. In 2014, the number increased to 84,102 persons (which corresponds to a 366% increase).

A company is defined as Figure 2 Number of employed in foreign-owned foreign-owned if more than half companies in the Gothenburg region, 1990-2014 of the company’s voting rights 100 000 are controlled by a foreign 84 102 owner. If the company is part of 80 000 a group with a foreign-owned 60 000 parent company, this company 40 000 is also considered to be 18 029 Employed in foreign- foreign-owned. 20 000 owned companies

0

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Source: Statistics Sweden

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FOREIGN-OWNED COMPANIES IN THE GOTHENBURG REGION 2016

Foreign-owned companies, establishments Table 3 presents the ten countries with most and employment: top 10 countries foreign-owned establishments in the Gothen- burg region 2014 and 2015 (the table is sorted Table 2 presents the ten countries with most based on most foreign-owned establishments foreign-owned companies in the Gothenburg in 2015, the full list of foreign-owned establish- region 2014 and 2015 (the table is sorted ments by country of origin is presented in based on most foreign-owned companies in Table A2 in the Appendix). 2015, the full list of foreign-owned companies by country of origin is presented in Table A1 in Similar to the former case with foreign-owned the Appendix). companies, Norway has most foreign-owned establishments, followed by Germany. Diff- Norway tops the list of foreign-owned erent from Table 2 above is that and companies, followed by Germany and USA. the United Kingdom have more establishments United Kingdom shows the largest increase in than USA. Finland has the largest increase in foreign ownership (both in number and foreign-owned establishments (both in number percentage), followed by Finland. Luxembourg and percentage), followed by Denmark. drops one position on the top 10 list as 19 Finland’s increase is record high as 79 more companies (-13.3%) changed ownership in establish-ments were acquired in 2015 2014-2015. (+49.1%). Luxembourg goes in the opposite direction and reduces its ownership by 68 Table 2 Number of foreign-owned companies in the Gothenburg region, top 10 countries 2014-2015 establishments (-29.3%). Most countries in the top-10 list reduce the number of establish- Companies Change ments in 2015, including Norway and USA, but Country of origin 2014 2015 # % also Germany.

Norway 461 463 2 0.4% Table 3 Number of foreign-owned establishments in Germany 280 275 -5 -1.8% the Gothenburg region, top 10 countries 2014-2015

USA 227 221 -6 -2.6% Establishments Change Denmark 214 215 1 0.5% Country of origin 2014 2015 # % United Kingdom 173 191 18 10.4% Norway 584 563 -21 -3.6% Netherlands 142 141 -1 -0.7% Germany 329 320 -9 -2.7% Luxembourg 143 124 -19 -13.3% Denmark 260 284 24 9.2% Finland 111 115 4 3.6% United Kingdom 256 275 19 7.4% France 86 81 -5 -5.8% USA 278 258 -20 -7.2% Switzerland 66 64 -2 -3.0% Finland 161 240 79 49.1% Gothenburg region 2,297 2,274 -23 -1.0% Netherlands 177 178 1 0.6%

Source: Statistics Sweden Luxembourg 232 164 -68 -29.3%

France 134 137 3 2.2%

Switzerland 77 76 -1 -1.3%

Gothenburg region 2,971 2,968 -3 -0.1%

Source: Statistics Sweden

In 2015 there were foreign- owned companies from 54 Chinese ownership dominates when it comes different countries in the to number of employees in foreign-owned Gothenburg region. companies in the Gothenburg region. Yet, also Norwegian and American companies have many employees in the region (see Table 4). The largest positive change in number of employees occurs within Chinese companies, where the increase corresponds to approxi-

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FOREIGN-OWNED COMPANIES IN THE GOTHENBURG REGION 2016 mately 1,700 employees, followed by Den- Source: Statistics Sweden mark (+700), Netherlands (+646) and USA (+638). China also has the largest percentage increase with an employment growth of approximately 14 percent. Norway drops a position during the period 2014-2015 as USA The number of ”companies” climbs to the second place in the top 10 list. is lower than the number of Also, France and Netherlands climb on the list ”establishments” since a and pass Finland. Luxembourg shows the company can have several establishments in one or many largest percentage decrease in employees. municipalities. E.g. the company Lindex can have Table 4 Employed in foreign-owned companies in many establishments in one or the Gothenburg region, top 10 countries 2014-2015 more municipalities within the Gothenburg region. Employed Change Country of origin 2014 2015 # %

China 12,155 13,887 1,732 14.2%

USA 8,255 8,893 638 7.7% Norway 8,779 8,612 -167 -1.9% Foreign-owned establishments per sector Germany 7,274 7,396 122 1.7% in the Gothenburg region

Denmark 5,977 6,677 700 11.7% In the remaining parts of this report only United Kingdom 5,589 5,766 177 3.2% establishment data will be presented for France 4,997 5,439 442 8.8% municipality and sector-wise statistics. The Netherlands 4,633 5,279 646 13.9% reason for the exclusion of company data is

Finland 5,046 4,881 -165 -3.3% that a company can be established in a municipality that is not the municipality where Luxembourg 4,480 4,020 -460 -10.3% economic activities occur (i.e. sales of goods Gothenburg region 81,025 84,102 3,077 3.8% and services). On the other hand, establish- Source: Statistics Sweden ments refer to a geographic location where physical work occurs, and thus provide a more The employed in foreign-owned establish- detailed overview of the economic activities ments follow a similar development as the carried out within a municipality. employed in the region’s foreign-owned Foreign-owned establishments distributed by companies (see Table 5). sector seem to be robust for any larger Table 5 Employed in foreign-owned establishments changes over the period 2014-2015 (see Table in the Gothenburg region, top 10 countries 2014-2015 6). The sectors with largest share of foreign- owned establishments in the Gothenburg Employed Change Country of origin region are commerce (38%), business services 2014 2015 # % (17%) and Property (11%), which together China 12,155 13,887 1,732 14.2% makes up approximately two thirds of the USA 8,255 8,893 638 7.7% foreign ownership in the region. Norway 8,753 8,594 -159 -1.8% In 2015, the commerce sector had 1,141 Germany 7,262 7,393 131 1.8% foreign-owned establishments in the Gothen- Denmark 6,024 6,659 635 10.5% burg region. The corresponding figure for United Kingdom 5,572 5,763 191 3.4% business services is 492 and for the property France 4,997 5,432 435 8.7% sector it is 321. The largest increase in number Netherlands 4,500 5,270 770 17.1% of foreign-owned occurs in commerce, which

Finland 5,042 4,879 -163 -3.2% increases by 36 establishments. In several sectors the number of establishments falls and Luxembourg 4,454 4,014 -440 -9.9%

Gothenburg region 80,862 84,037 3,175 3.9%

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FOREIGN-OWNED COMPANIES IN THE GOTHENBURG REGION 2016 the largest decrease occurs in property (-24) mately 70 percent, and is followed by Mölndal and health and social care (-9). (8%) and Kungsbacka (5%).

Information and communication is the sector The number of foreign-owned establishments with largest percentage increase in foreign- is increasing in most of the municipalities in the owned establishments (+9.7%), followed by Gothenburg region. Foreign-owned establish- manufacturing and mining industries (+6.1%). ments have increased mostly in Alingsås (+10) Aside from agriculture, forestry and fishery, the and Mölndal (+10), but also in Kungsbacka sectors that have the largest percentage (+8). The municipalities in where foreign- decrease in foreign-owned establishments are owned establishments decrease are Gothen- health and social care (-14.8%), energy and burg (-35) and Partille (-5). the environment (-12.5%) and financial services and insurance (-8.8%). Lilla Edet has the largest percentage change with a 50 percent increase in the foreign Table 6 Foreign-owned establishments per sector in ownership. Moreover, in Alingsås the foreign the Gothenburg region 2014-2015 ownership increases with 16 percent, whereas it decreases in both Tjörn and Partille with 10 Establishments Change Sector percent and nearly 6 percent, respectively. 2014 2015 # % Table 7 Foreign-owned establishments per munici- Commerce 1,105 1,141 36 3.3% pality in the Gothenburg region 2014-2015 Business Services 498 492 -6 -1.2%

Property 345 321 -24 -7.0% Establishments Change Municipality Transportation 197 199 2 1.0% 2014 2015 # %

Information and 165 181 16 9.7% Ale 35 34 -1 -2.9% communication Manufacturing and Alingsås 61 71 10 16.4% 163 173 10 6.1% mining industry Gothenburg 2,118 2,083 -35 -1.7% Hotels and restaurants 122 114 -8 -6.6% Härryda 73 72 -1 -1.4%

Construction 93 87 -6 -6.5% Kungsbacka 155 163 8 5.2% Financial services and 80 73 -7 -8.8% insurance Kungälv 67 71 4 6.0% Education 57 55 -2 -3.5% Lerum 45 46 1 2.2%

Health and social care 61 52 -9 -14.8% Lilla Edet 6 9 3 50.0% Personal and cultural 30 31 1 3.3% Mölndal 241 251 10 4.1% services Energy and the Partille 79 74 -5 -6.3% 32 28 -4 -12.5% environment Stenungsund 74 78 4 5.4% Unknown 21 20 -1 -4.8%

Agriculture, forestry Tjörn 10 9 -1 -10.0% 2 1 -1 -50.0% and fishery Öckerö 7 7 0 0.0% Gothenburg region 2,971 2,968 -3 -0.1% Gothenburg region 2,971 2,968 -3 -0.1% Source: Statistics Sweden Source: Statistics Sweden Note: The table is sorted by sector with most foreign-owned establishments in 2015.

Which countries are represented among the foreign-owned establishments in the region’s 13 municipalities? Table 8 lists the three most Foreign-owned establishments per common countries among foreign-owned municipality in the Gothenburg region establishments in each municipality within the Table 7 shows the number of foreign-owned Gothenburg region. establishments per municipality in the Gothen- Across all municipalities in the Gothenburg burg region in 2014 and 2015. Gothenburg’s region, mostly Norwegian owned establish- share of the total foreign ownership is approxi- ments occur among the foreign-owned

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FOREIGN-OWNED COMPANIES IN THE GOTHENBURG REGION 2016 establishments (7 out of 13 municipalities), Source: Statistics Sweden followed by establishments from Denmark. Note: The table is sorted alphabetically. Scandinavia occurs most frequently, but in Figure 3 (a-c) shows the number of foreign- Härryda the foreign-owned establishments are owned establishments per municipality in the mainly from Germany and USA. Also Öckerö Gothenburg region over the period 2011-2015. has non-Scandinavian ownership in its top 3 For better comparison and overview (the with establishments owned by the US and variances differ largely between municipalities) United Kingdom. the number of establishments, in each municipality and year, is presented in three Of approximately 2,100 foreign-owned estab- separate figures. lishments in Gothenburg, about one fifth is Norwegian. Other countries with many foreign- Figure 3 a-c Foreign-owned establishments, per owned establishments in Gothenburg are municipality in the Gothenburg region 2011-2015 Germany and United Kingdom. Similar to Gothenburg, about one-fifth of the foreign- a) owned establishments in Mölndal is Nor-

Kungsbacka Mölndal Gothenburg Gothenburg region

wegian. Also, establishments from Germany

3 500

are frequent, but unlike Gothenburg Mölndal 2989

2971

2968

2941

2871

has a higher share of American establish- 3 000

2150 2118

2 500 2108 2083 ments. 2036 2 000

Table 8 Top 3 countries among foreign-owned est- 1 500

1 000

ablishments, per municipality 2015

251

241

238

236

221

163

155

151 140 500 137 0 Frequency foreign-owned establishments 2011 2012 2013 2014 2015 Municipality Highest 2nd highest 3rd highest b) Ale Denmark Finland Norway

# 5 5 4

Alingsås Kungälv Härryda Stenugsund Partille

Alingsås Denmark USA Netherlands

90

100 89

84

83 83

82

79

90 78

# 10 10 8

75

74 74

73

72

71 71 71

70

80

67

65

64

63 61

Gothenburg Norway Germany United Kingdom 70 60 58 60 56 # 406 235 211 50 Härryda Germany USA Norway 40 30 # 11 9 7 20 Kungsbacka Denmark Norway Finland 10 0 # 24 24 19 2011 2012 2013 2014 2015 Kungälv Norway Finland United Kingdom

# 20 12 8 c)

Lerum Norway Denmark Hong Kong Öckerö Lilla Edet Tjörn Ale Lerum

# 10 7 5

48

46 46

50 45

Lilla Edet Luxembourg Denmark Belgium 44

35 40

# 4 2 1 34

32 32 31

Mölndal Norway Germany USA 30

# 54 33 31 16

20 15

10

Partille Norway Finland Denmark 10

9 9

7 7

6 6

10

4 4

# 15 11 10

1 1 1

Stenungsund Norway Denmark Finland 0 2011 2012 2013 2014 2015 # 13 9 7 Tjörn Norway Denmark France Source: Statistics Sweden # 2 1 1

Öckerö USA United Kingdom -

# 6 1 -

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FOREIGN-OWNED COMPANIES IN THE GOTHENBURG REGION 2016

Iceland 2 …

Lithuania 2 … Appendix Panama 2 …

Table A1 shows the distribution of foreign- Sweden 2 … owned companies and employed in foreign- South Korea 2 … owned companies, per country in the Gibraltar 1 0 Gothenburg region in 2015. Mali 1 0

Table A1 Foreign-owned companies and employed Netherlands Antilles 1 0 in foreign-owned companies, by country 2015* Portugal 1 0

Country Companies Employed Czech Republic 1 0

Norway 463 8,612 Afghanistan 1 …

Germany 275 7,396 Brazil 1 …

USA 221 8,893 Greece 1 …

Denmark 215 6,677 Israel 1 …

United Kingdom 191 5,766 Cape Verde 1 …

Netherlands 141 5,279 Kuwait 1 …

Luxembourg 124 4,020 Monaco 1 …

Finland 115 4,881 Russia 1 …

France 81 5,439 Serbia 1 …

Switzerland 64 3,422 Taiwan 1 …

Japan 37 1,457 Thailand 1 …

Italy 34 514 Turkey 1 …

Belgium 32 514 Gothenburg region 2,274 84,102

Cyprus 32 335 Source: Statistics Sweden Unknown 29 278 * The table is sorted by largest number of foreign- Guernsey 21 1,621 owned companies in 2015. If (…) occurs in a cell it Malta 21 70 refers to that the information is confidential as the number of observations is less than 3. If the number Austria 19 1,161 of employees amounts to 0, the company or Canada 15 1,414 companies consist only of sole proprietorships. The Ireland 14 250 reason for Sweden being part of the list is due to companies that are not majority-owned by China 13 13,887 foreigners. There are two scenarios in this case: Spain 13 200 i) Two countries with equally split ownership: 50 Bahamas 12 29 percent of the company is owned by Sweden and Jersey 11 448 the remaining 50 percent by another country. Hong Kong 9 112 ii) More than two countries: Sweden has less than Poland 9 38 50 percent of the shares in the company, however still the highest share compared to the other Australia 7 250 countries with ownership. Observe, the majority India 6 82 share (i.e. >50%) must be held by one and same Bermuda 5 293 country for the company to be counted as foreign- owned. Singapore 5 24

British Virgin Islands 5 16

Saudi Arabia 3 277 Liechtenstein 3 23 Estonia 2 …

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FOREIGN-OWNED COMPANIES IN THE GOTHENBURG REGION 2016

Estonia 2 …

Iceland 2 … Table A2 shows the distribution of foreign- owned establishments and employed in Kuwait 2 … foreign-owned establishments, per country in Panama 2 … the Gothenburg region in 2015. South Korea 2 …

Table A2 Foreign-owned establishments and Gibraltar 1 0 employed in foreign-owned establishments, by Mali 1 0 country 2015* Netherlands Antilles 1 0

Portugal 1 0 Country Establishments Employed Czech Republic 1 0 Norway 563 8,594 Afghanistan 1 … Germany 320 7,393 Brazil 1 … Denmark 284 6,659 Greece 1 … United Kingdom 275 5,763 Israel 1 … USA 258 8,893 Cape Verde 1 … Finland 240 4,879 Lithuania 1 … Netherlands 178 5,270 Monaco 1 … Luxembourg 164 4,014 Russia 1 … France 137 5,432 Serbia 1 … Switzerland 76 3,411 Taiwan 1 … Guernsey 49 1,621 Thailand 1 … Japan 39 1,457 Turkey 1 … Italy 35 514 Gothenburg region 2,968 84,037 Unknown 34 291

Belgium 33 514 Source: Statistics Sweden

Cyprus 33 335 * The table is sorted by largest number of foreign-

Canada 31 1,414 owned establishments in 2015. If (…) occurs in a cell it refers to that the information is confidential as Jersey 23 448 the number of observations is less than 3. If the Malta 21 70 number of employees amounts to 0, the

Austria 19 1,161 establishment or establishments consist only of sole proprietorships. The reason for Sweden being part Hong Kong 16 112 of the list is due to establishments that are not Bermuda 15 293 majority-owned by foreigners. There are two

Ireland 15 250 scenarios in this case:

Spain 15 200 i) Two countries with equally split ownership: 50 China 14 13,887 percent of the establishment is owned by Sweden and the remaining 50 percent by another country. Bahamas 11 29

Poland 9 38 ii) More than two countries: Sweden has less than Australia 7 250 50 percent of the shares in the establishment, however still the highest share compared to the India 6 82 other countries with ownership. Observe, the Singapore 5 24 majority share (i.e. >50%) must be held by one and British Virgin Islands 5 16 same country for the establishment to be counted as foreign-owned. Saudi Arabia 4 277

Liechtenstein 4 23

Sweden 3 279

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