STOCKHOLM Dec 9 Swedish home appliance maker
Electrolux expects demand for its products to grow on
both sides of the Atlantic next year, but at a slower rate than
The maker of Electrolux, Frigidaire, AEG and other household
appliance brands, forecast demand for appliances would grow 1
percent in 2017 in Europe and by 2-3 percent in North America.
"Market demand in Electrolux's largest markets, Europe and
North America, is expected to grow moderately," it said in a
Electrolux, a rival of Whirpool of the U.S and Asian
firms such as LG Electronics and Haier Group
, noted market demand had been positive in Europe this
year, although there had recently been signs of softer demand in
some markets, including Britain.
Shares in the company traded 2.7 percent higher by 0815 GMT.
At its third-quarter earnings report in late October,
Electrolux stuck to a broad forecast for 2-4 percent growth in
Europe this year, but said signs of weakness in markets such as
Britain, which voted in June to leave the European Union, meant
growth was likely to come in at the lower end of that range.
It also forecast market demand for appliances in North
America to grow by 3-4 percent in 2016.
The Swedish firm said on Friday it expected market demand in
Argentina and Brazil together, the majority of its business in
Latin America, to decrease by approximately 5 percent in 2017.
Raw material costs were expected to increase by
approximately 900 million crowns in 2017.
Electrolux said it expected improved cost efficiencies to
give a boost of 1.6 billion crowns next year, excluding the
impacts of raw materials and currency swings.
(Reporting by Johannes Hellstrom; Editing by Keith Weir)