Saab Secures 582-Car Order from China to Pay Wages
A €13 million order from a Chinese buyer will allow Saab to pay overdue wages and some supplier debts, but the company’s long-term future remains uncertain.
Saab confirmed on Monday that it has received an order for 582 vehicles from a Chinese company, valued at €13 million. The deal provides the Swedish manufacturer with enough cash to pay its employees’ overdue wages and address some outstanding supplier debts, following weeks of suspended production at its Trollhättan plant.
Production at Saab’s main factory has been largely idle since early April, as the company struggled to pay suppliers and workers. The new order offers a temporary reprieve, allowing the automaker to clear wage arrears and make partial payments to creditors. However, the company’s management acknowledged that the cash injection addresses only immediate needs and does not resolve Saab’s broader liquidity crisis.
Short-term relief, but uncertainty remains
Saab’s financial difficulties have mounted over the past two years, and the company has repeatedly sought new investment to stay afloat. The €13 million order is not enough to restart full-scale production or settle all outstanding debts. Saab management continues to negotiate with suppliers, many of whom have refused to deliver parts without payment in advance.
The company is also exploring other options to secure funding. A proposed sale and leaseback of the Trollhättan factory to Swedish real estate firm Hemfosa remains under discussion, but the complexity of Saab’s finances has delayed any agreement. Without a larger capital injection or new equity partner, analysts remain sceptical about Saab’s ability to survive in the long term.
Impact on workers and suppliers
For Saab’s workforce, the Chinese order means overdue wages can finally be paid, easing immediate pressure on employees. Some suppliers will also receive partial payments, but uncertainty persists over when or if normal production will resume. The company’s management has stated its commitment to resolving the situation, but has warned that further funding will be needed to reach agreements with all suppliers and restart the assembly lines.
While the Chinese order provides a short-term solution, Saab’s future remains deeply uncertain. The company continues to seek new investors and funding sources to stabilise operations and avoid further disruption. For further developments on Saab’s financial struggles and the impact on its workforce, seeSaab May Delay Wages Again Union to File for Bankruptcy.
