Industry Aims to Change Finland’s Course and Promote the Clean Transition – Finlandia Declaration Paves the Way

The Finnish industry has a clear ambition: to get the country’s economy back on its feet and create a better world step by step through the clean transition.

This is why more than 200 companies from the forest, chemical, technology, and energy industries have signed the Finlandia Declaration.

The declaration outlines actions that can create new jobs in Finland that support the clean transition. It describes how, together with the Nordic countries, we can build sustainable value chains that contribute to the success of both small and large companies.

The preconditions for success are favorable. Several clean transition projects are already underway in the industrial sector. The battery ecosystem, renewable biomaterials and products, bio- and pharmaceutical industries, and hydrogen economy solutions—such as fossil-free steel—are all opportunities that can help position Finland as a global leader in sustainable industry.

Investments Are Long-Term Commitments

Industrial projects and investments are long-term commitments that create jobs and production for decades. They are also commitments to cleaner production and emissions reduction.

Competition for investments has been exceptionally tough in recent years. The United States, Germany, and France, for example, have provided businesses with hundreds of billions in direct and indirect support.

Finland cannot afford to be a bystander. Efforts must be made to attract investments to Finland so that we can keep up with international productivity growth and continue to offer high-value jobs.

Taking Action – Steps Toward Sustainable Growth

The Finlandia Declaration includes nine growth measures. Here are a few key highlights:

• The green transition needs demand. Domestic markets must be created for new products, enabling Finnish innovations to reach global markets. This can be achieved through tax incentives, public procurement, and reference projects.
• Industrial parks must be developed with streamlined permitting processes and flexible regulations to maximize the synergy benefits of business clusters, such as resource efficiency and innovation networks.
• Electricity is a fundamental requirement for industrial operations. Finland’s electricity grid must keep pace with growing demand. Wind, solar, and nuclear power, as well as solutions to balance production variability, must be promoted.
• More EU funding and investments must be attracted to Finland. The government’s investment task force should become an active player, a contact point, and a problem-solver for investment-related challenges.
• Carbon management must be taken seriously. Carbon capture and utilization need regulations and incentives. Clear rules can help establish a new industry that reduces carbon emissions.

The Green Transition Can Ease Economic Challenges

The green transition presents Finland with an excellent opportunity to overcome its prolonged economic stagnation. The industry is full of good ideas and initiatives for sustainable development. Notably, Finland ranked first in the European Commission’s Eco-Innovation Index in 2024.

To advance investments and the green transition, we need incentives and a competitive business environment. Now is the time to implement the measures outlined in the Finlandia Declaration!

Liisa Hurme
CEO of Orion and Chair of the Board at Kemianteollisuus ry