Spring is coming to Scandinavia and, for many, this could represent the light at the end of the COVID tunnel. Expectations are that most Scandinavians will have been vaccinated by the early summer months. As seen in other parts of the world, the various lockdowns are testing the public’s patience.
Non-ferrous business activity in Scandinavia is still running at a healthy pace. Strong LME prices have been attracting many non-ferrous metals into the market, although there have been increasing price deductions when selling.
In Denmark, the sectors hardest hit by the lockdowns are restaurants, hotels and the travel industry, with a rising number of bankruptcies expected in the coming months. On the other hand, production industries are running well and Denmark’s unemployment rate is set to return to pre-COVID levels in early 2022.
In Sweden, economic stimulus packages are expected to drive a strong economic rebound and private consumption is set to increase significantly once the pandemic releases its grip.
Increased restrictions in Norway at the beginning of 2021 will keep a lid on growth in the early months of the year, but the vaccination programme and warmer weather are expected to result in a subsequent strong upturn in general economic activity.
The Finnish economy is in a good position and is expected to grow strongly in 2021 once the pandemic has eased its hold on the country. Increased household saving will probably boost the anticipated recovery of the domestic economy.
H.J.Hansen Genvindingsindustri A/S (DNK), Board Member of the BIR Non-Ferrous Metals Division