Economic relations between Finland and the United States must be deepened

Press release 88/2009
23 March, 2009

Economic relations between Finland and the United States must be deepened

"Of countries outside Europe, the United States is Finland's most important trade partner, and the country also has a key position in efforts to promote Finnish exports. Central sectors in export promotion efforts are information and communications technology, energy and environment technology, biotechnology and the chemicals industry."

"The framework for trade and economic cooperation between Finland and the United States is created within the sphere of the World Trade Organization, the WTO, and in transatlantic negotiations. In the conditions of the current economic crisis, it is extremely important that the EU and the United States refrain from protectionist measures and effectively promote efforts to reach a new WTO agreement."

"Work is done to deepen transatlantic cooperation relations also in development policy. The EU development ministers have approved Finland's initiative aiming at a Transatlantic Partnership for Sustainable Development. The United States also takes a positive view of the initiative. The goal is effective efforts to eliminate poverty by acting in way that is ecologically, economically and socially sustainable. Effort is made to deepen cooperation both in global negotiations on development, economy, trade and the environment, and in practical development cooperation."

These observations were made by Minister for Foreign Trade and Development Paavo Väyrynen at the press conference held on 23 March, where the Ministry for Foreign Affairs released the study on economic relations between Finland and the United States commissioned from ETLA, the Research Institute of the Finnish Economy.

Managing Director Sixten Korkman of ETLA considers that the United States still has a central position in development of the entire global economy. He also predicts that, thanks to its active and decisive economic policy, the United States will be able to emerge from the present crisis faster than Europe.

Markku Kotilainen, Head of Unit at ETLA, stressed the importance of the large American market and high technology to Finnish exports, investments and innovation cooperation. According to the survey of companies conducted by ETLA, the greatest problems on the American market are the country's bureaucracy and juridical complexity. The system of economic relations between Finland and the United States in principle is well-functioning, but is characterised by a relatively small number of actors and concentration of activities. Nearly half of exports consist of ships, petrol and various paper products. The contact points of economic relations should be expanded to encompass all areas of economic cooperation: trade, investment, student and researcher exchanges, and innovation cooperation.

The study commissioned from ETLA is linked with the work done by the Ministry for Foreign Affairs to promote transatlantic relations both bilaterally and through the EU, in line with the Government Programme. There was a wish to obtain a clearer overall picture of the mutual economic dependence between Finland and the United States, which statistics on foreign trade and investment do not reflect adequately. The financial and economic crisis that has spread from the United States to the world economy makes the study all the more topical.

Additional information: Counsellor Matti Aaltola, Ministry for Foreign Affairs, tel. +358 9 1605 5527, Päivi Nevala, Adviser to the Minister for Foreign Trade and Development, tel. +358 9 1605 6171, Riikka Manner, Press Attaché to the Minister for Foreign Trade and Development, tel. +358 9 1605 5356, and Markku Kotilainen, Head of Unit, ETLA, tel. +358 09 609 90 206