SWEDEN Law and Practice Contributed by: Annika Blomqvist, Sanna Frånlund, Henrik Lindstrand and Viktor Eriksson, Advokatfirman Cederquist
3.5 Criteria for Granting or Refusing Licences Under the Military Equipment Act, a licence may only be approved if there are security or defence policy reasons for the export, and the export does not con - flict with Sweden’s foreign policy or international obli - gations. In addition, there is a list of absolute obsta - cles to a licence such as conflicts with international obligations. Considerations for granting or refusing licences for dual-use items include international obligations and sanctions, national foreign and security policy, the intended end use and the risk of diversion or unau- thorised re-exportation. 3.6 End-User Controls and Post-Shipment Verification For permanent exports or transfers of military equip - ment to recipients abroad, ISP requires original end- user documentation. For dual-use items, appropriate end-user documentation may be required depending on the authorisation and transaction. ISP may conduct post-shipment verification in select - ed cases to confirm that exported military equipment has reached and remains with the authorised end user. 3.7 Brokering and Intermediary Activities Brokering of military equipment falls within the con - cept of supply, which includes, among other things, sale, lease, loan, donation and brokering. Conduct - ing such activities professionally requires authorisa - tion from ISP. In addition to the general rules under the EU Dual-Use Regulation, requiring a licence for Annex I items that may be intended for a weapons-of-mass-destruction end use, Sweden has extended this to also include brokering for non-Annex I dual-use items if the author - ity has informed the broker that the items may be intended for such use. The broker also has an obliga - tion to notify the authority if there is reason to suspect such end use. 3.8 Intra-Company and Intra-Group Transfers There are no general exemptions in relation to intra- company or intra-group transfers of controlled items
or technology. The important aspect is whether there is a cross-border transfer of the items or technology. 3.9 Enforcement, Penalties and Voluntary Disclosure Penalties for breach of export control legislation can be of both a criminal and civil nature. There are criminal penalties for exporting without a licence, as well as possible administrative fines for administra - tive breaches. ISP imposes the administrative fines, whereas criminal charges are brought by the prosecu - tors’ office. Voluntary disclosure to ISP in relation to military equipment is possible if a company identifies a pos - sible breach. Such voluntary disclosure is considered a mitigating factor when ISP determines the admin - istrative fine. 4. Compliance, Sanctions and Embargoes 4.1 Sanctions Legislation and Regulatory Framework The international sanctions applicable in Sweden are those adopted by the EU or the UN. Breaches of applicable sanctions are primarily reg - ulated in the Swedish Act on International Sanc - tions (2025:327). The Act implements Directive (EU) 2024/1226 by establishing criminal liability for breach - es and circumvention of international sanctions. In the assessment of whether an offence is aggravated, whether the action related to military or dual-use items is expressly relevant. Sanctions for legal entities are covered by the provi - sions of the Swedish Criminal Code and its provisions on corporate fines. Several authorities are responsible for different tasks in relation to international sanctions, depending on the applicable sanction’s regulation and provisions therein. The Security Policy Department of the Ministry for For - eign Affairs co-ordinates Sweden’s sanctions policy.
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