In short
- Sweden has been an EU member since 1 January 1995 and is inside the EU customs union and VAT area, but its currency is the Swedish krona, not the euro.
- Goods in free circulation move from Sweden to other EU countries with no customs, so one Swedish warehouse can serve euro and non-euro countries alike.
- The krona matters in two places: prices for Swedish consumers must be stated in kronor including VAT, and Swedish VAT is paid in kronor while One Stop Shop returns for other EU countries are filed and paid in euros.
Is Sweden in the EU?
Yes. Sweden has been a member of the European Union since 1 January 1995, according to the EU's country profile for Sweden. It is inside the EU customs union and the EU VAT area, like Germany and the Netherlands. Goods in free circulation in the EU move between member states without customs duties at internal borders, although VAT rules still apply to each sale.
Norway and Switzerland are outside both, and so is Great Britain. From a warehouse in Sweden, shipments to those three countries are exports and go through customs.
Does Sweden use the euro?
No. Sweden's currency is the Swedish krona (SEK). Sweden is not part of the euro area. The European Commission notes that it has no target date for adopting the euro, although under the EU Treaty it will do so once it meets the necessary conditions.
What does the krona mean for EU fulfillment from Sweden?
Very little for the logistics. Your stock sits inside the EU, so orders to Germany, Finland or France travel with no customs on the way, whatever currency the customer paid in. From our warehouse in Gothenburg, parcels typically take 1–2 business days to the Nordic EU countries (Sweden, Denmark, Finland), 2–3 to Germany and Benelux, and 3–5 to the rest of the EU. That is why one warehouse in Sweden can serve the whole EU.
The krona shows up in two other places:
- Prices for Swedish shoppers. Sweden's Price Information Act defines the price shown to consumers as the final price expressed in kronor, including VAT. Shoppers in euro countries will expect euros. Your checkout currencies follow your customers, not your warehouse.
- Your VAT returns. If you sell from stock in Sweden, you normally register for VAT there. Sales to consumers in Sweden go in your Swedish VAT return, and your payments of Swedish VAT are credited to your tax account in kronor. Sales to consumers in other EU countries can go through the One Stop Shop, which you register for in Sweden. Its amounts are reported and paid in euros, and sales made in other currencies are converted at the European Central Bank's rate for the last day of the quarter.
Our EU VAT guide for non-EU sellers covers the registration, the VAT agent and the import VAT on your stock.
Weighing Sweden against other countries? Compare where to fulfill in Europe, or ask us for a quote for your products and markets.
