Working with millimeter scale

I’ve started learning my way around UE Editor and have a question about scale between Blender and UE 5.3. The real world size of my objects are in millimeters. So when I import into UE navigating, zooming etc just flies past my object. Am I supposed to scale everything up to work in UE? Does working in millimeters affects physics? Is there a way to scale down the movement and zoom snapping to work with millimeter size objects?

I guess, what are best practices when working with small objects that are going to require accurate physics?

You can change the size of the Unreal Unit from Centimeters to Millimeters or even Micrometers in Project Settings - Editor - Appearance.
See also this very good article:
Scale and Measurement Inside Unreal Engine - techarthub