In this article, the author scrutinizes the impacts of globalization on the Swedish national defence industry prompted by the end of the Cold War through the 1990s. Through analysing the data from international, Swedish government and industrial sources, the author establishes that the Swedish defence industry, due to its overreliance on arms exports as a result of post-Cold War globalization, has become increasingly irrelevant to Swedish defence needs. We may see the end of a ‘national’ defence industry in the Swedish case. The author further argues that overreliance on arms exports to extra-European markets leads to the erosion of Swedish national security and Swedish defence readiness. The author concludes that multinational business-interest analysis is needed to generate a closer examination of the export-oriented Swedish defence industry in the context of globalization.