Sweden said on Tuesday it will cancel a defence agreement with Saudi Arabia worth billions of crowns to its industry after criticism of Riyadh's human rights record sparked a diplomatic row.
Sweden's Social Democrat-led government, which came to power in October last year, has focused its foreign policy on human rights. But its more vocal stance has put it at odds with industry - Sweden is the world's 12th biggest arms exporter - and the coalition government itself has been divided on whether to renew the Saudi Arabia deal.