New study: Export industry brings half of Finland's welfare
The contribution of the export industry to the Finnish national economy is approximately 47 per cent of the value added and approximately 42 per cent of the employed. In terms of taxes, the impact is approximately one third of the total tax revenue. These figures come from a new study, which examined the effects of the export industry on the Finnish economy and employment. The export industry promises continued success if certain conditions are met.
- In public debate, it is good to remember where welfare funding comes from. This report tells us about it. Especially as elections are approaching, there are many claiming their slice of the pie, but without the success of the export industry, there would not be much to go around, says the Director General of the Finnish Forest Industries Federation, Paula Lehtomäki.
The export industry generated a total of EUR 257.6 billion in annual turnover in Finland in 2021 through continuing operations and investments. This added EUR 101.5 billion in value to Finland's GDP (47 per cent). In 2021, the export industry employed approximately 1,151,800 people (42 per cent) and resulted in a tax revenue of approximately EUR 35.4 billion.
These figures come from a new study conducted by KPMG, which examined the effects of the export industry on the Finnish economy and employment. The impact of the export industry has been assessed from the perspective of continuing operations and investments. The study is based on the most recent available data for the year 2021 and on calculation based on the input-output model.
Export industry creates sustainable growth
Finnish industry actively strives for carbon neutrality and makes the green transition a good business. Companies are striving towards carbon neutrality both by reducing their carbon footprint and by increasing their carbon handprint. The low-carbon roadmaps drawn up by Finnish industry federations in 2019 have been a unique project, even internationally.
- The trump card of Finnish industry is a large positive handprint and a small footprint. The green transition offers promising export potential worth tens of billions, says Jaakko Hirvola, CEO of Technology Industries of Finland.
To guarantee the export industry's success in the future, three things above all are necessary.
1. We need a lot of new talent. A high level of competence and a sufficient number of experts play a key role in creating the growth required to finance our welfare.
2. We need to have the courage to be more creative. RDI funding must be increased in the long term for both world-class public research and business-led, market-oriented innovation activities.
3. The third key to success is ensuring competitiveness. A coherent, target-oriented and market-driven long-term industry policy is needed.
- The aim must be to build an internationally competitive operating environment that attracts investments. In Finland, industry costs should not be increased by means of political decisions in our own hands or by means of EU regulations. In addition, Finland’s permit process needs an overhaul from the ground up, and the price and availability of electricity is important for attracting investments, says Mika Aalto, Director General of the Chemical Industry Federation of Finland.
- If the operating environment of the export industry is favourable in Finland, our industries will create sustainable growth, added value, export and tax revenues and jobs in Finland in the future as well. This is done by manufacturing climate-friendly and desirable products for the world, with ever lower emissions, the Directors General assure.
The three largest export industry federations in Finland, the Chemical Industry Federation of Finland, the Finnish Forest Industries Federation and the Technology Industries of Finland, will embark on an extensive joint influencing tour to all constituencies in the beginning of the year. The aim is to increase the candidates' understanding of the importance of industry and exports to the entire national economy and to Finland. It is also intended to provide the representative candidates with concrete proposals for the future government programme. The export federations will organise a total of 20 information sessions across Finland.
Mika Aalto, Director General, Chemical Industry Federation of Finland. tel. +358 (0)50 438 9247, email@example.com
Jaakko Hirvola, CEO, Technology Industries of Finland. tel. +358 (0)400 633 751, firstname.lastname@example.org
Paula Lehtomäki, Director General, Finnish Forest Industries Federation tel. +358 (0)9 132 6600, email@example.com
More information about the tour:
Taru Jussila Executive Director of Communications and Public Affairs, Technology Industries of Finland. tel. +358 (0)40 051 0853, firstname.lastname@example.org
Mika Mäkinen Director of Communications, Finnish Forest Industries Federation tel. +358 (0)50 555 3425, email@example.com
Juha Vainio Director of Communications, Chemical Industry Federation of Finland. tel. +358 (0)40 688 2609, firstname.lastname@example.org