PERSPECTIVES OF
RUSSIAN-FINNISH INVESTMENT
COOPERATION
Dr. Valery A. Shlyamin,
Trade representative of Russia in Finland
Helsinki,
November, 28th, 2013
1
Russian-Finnish trade of goods
in 2008-2013
Bn. USD
25
22,4
18,8
20
17,0
16,8
15,7
13,8
15
13,1
12,2
13,2
9,2
10
8,6
6,6
5,7
4,0
5
12,2
12,0
9,8
5,0
4,6
3,6
4,0
Jan-Sep
2012
Jan-Sep
2013
0
2008
2009
2010
2011
Russian exports to Finland
Source: Federal Customs Service, November 2013
2012
Russian imports from Finland
Turnover
2
Russian-Finnish trade of services
in 2008-2013
Bn. USD
4,8
5
4,5
3,7
4
3,6
3,4
3,5
3
2,7
2,8
2,7
2,6
2,3
2,5
2,2
2,1
2,0
2
1,5
2,0
1,6
1,1
1,1
1
0,7
0,9
0,6
0,5
0,6
Jan-June
2012
Jan-June
2013
0,5
0
2008
2009
2010
2011
Russian exports to Finland
2012
Russian imports from Finland
Source: Federal Customs Service of Russia, Bank of Russia
Turnover
3
Russian-Finnish Foreign Trade (Goods and Services)
in January-June 2013
Business trips;
0,3 bn. USD
Private trips;
1,6 bn. USD
Trade in goods;
9,0 bn. USD, 77,5%
Trade in services;
2,6 bn. USD, 22,5%
Other business
services; 0,3 bn.USD
Transportation;
0,2 bn. USD
Construction;
0,1 bn. USD
Other services;
0,1 bn. USD
Source: Federal Customs Service of Russia, Bank of Russia
4
Direct investments stock
in the Russian-Finnish cooperation
(mill. EUR, at the end of relevant year)
3500
3 197
2 978
3000
2 783
2 348
2500
2000
2 467
2 328
1 676
1500
1 097
1000
500
374
559
338
366
378
413
538
365
506
503
634
583
0
2003
2004
2005
2006
2007
Finnish direct investments to Russia
Source: Bank of Finland, November 2013
2008
2009
2010
2011
2012
Russian direct investments to Finland
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Investments stock at 01.01.2013
Russian accumulated
direct investments in
Finland
Finnish accumulated
direct investments in
Russia
Mill. EUR
700
Mill. EUR
4000
583
600
3197
3000
500
400
2000
300
200
100
1722
1000
73
0
0
Rosstat
Finnish statistics
Sources: Rosstat, Bank of Finland
Rosstat
Finnish statistics
6
FDI stock in Finland by country at the end of 2012
France
1,4%
Norway
1,5%
Belgium
1,5%
Austria
1,4%
Russia
0,8%
(11th place)
Other countries
5,7%
United States
1,6%
United Kingdom
1,6%
Sweden
46,7%
Luxembourg
4,7%
Germany
5,7%
Denmark
5,9%
Netherlands
21,5%
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Source: Bank of Finland, November 2013
Finnish accumulated direct investments abroad
by country at the end of 2012
Singapore
1,8%
China
2,0%
Other countries
12,3%
Sweden
25,6%
United Kingdom
2,0%
Russia
2,8%
(8th place)
Germany
5,4%
United States
8,5%
Netherlands
21,4%
Belgium
8,5%
Ireland
9,7%
Source: Bank of Finland, November 2013
8
Advantages and challenges of business start-up
in Finland
Advantages
• Good infrastructure,
sustainable financial
market, developed startup and export support
system;
• Finland can become a
“bridge” to other wide
markets.
Challenges
• Long market entry and
project pay-off period;
• Very high competition
level;
• High production and
distribution costs.
If you pass “the Finnish exam”, your
product will be successful elsewhere
9
Main Finnish companies with Russian decisive
ownership or supervision
Residence
Sector
Turnover
2012
Mill. EUR
Personnel
Vantaa
Oil products trade
2425
237
Harjavalta
Mining
861
275
OY SCANICA AB
Helsinki
Trade
199
5
OY NIZHEX SCANDINAVIA
Helsinki
Oil and chemical
products trade
158
44
ARCTECH HELSINKI SHIPYARD OY
Helsinki
Shipbuilding
116
404
LIQVIA HOLDINGS OY
Vantaa
Logistics
93
398
OILTEX LTD OY
Espoo
Oil products trade
82
n.a
LUKOIL LUBRICANTS EUROPE OY
Vantaa
Oil and chemical
products trade
59
58
CRUDEX OY
Espoo
Oil products trade
57
n.a
AIRFIX AVIATION OY
Vantaa
Transport and
logistics
50
n.a
RAO NORDIC OY
Helsinki
Electric energy
distribution
45
74
OY TEBOIL AB
NORILSK NICKEL HARJAVALTA OY
Source: Pellervo Economic Research, Kauppalehti, Finnish Trade Register, 2013
10
Main Russian companies with Finnish decisive
ownership or supervision
Owner
Sector
Turnover
2012
Mill. EUR
Personnel
JSC Fortum
Fortum Oyj
Energy production and
distribution
929
~4000
Nokian Tires
Nokian Renkaat Oyj
Chemical industry
666
40
Oriola-KD Oyj
Pharmaceutical industry
590
1735
Panasonic Marketing
SNG
Electronic equipment
528
878
Fazer Oy
Food industry
290
2490
Stockmann Oyj
Retail trade
312
1030
Valio Oy
Food industry
307
1166
Neste Oil Oyj
Oil products trade
297
443
YIT Oyj
Construction
233
97
Rautaruukki Oyj
Metallurgy
197
1169
Nokia Oyj
Electronic industry
192
1012
Tikkurila Oyj
Chemical industry
186
634
Oriola
Panasonic Rus
Fazer
Stockmann
Valio
Neste Saint
Petersburg
YIT Saint Petersburg
Ruukki Rus
Nokia Siemens
Networks
Tikkurila
Source: Pellervo Economic Research, Official information of companies, 2013
11
Action program within the
“Partnership for modernization” initiative
(Turku, 27th March 2103)
• Medical and biotechnologies;
• Telecommunications;
•Energy efficiency and energy
saving;
•“Clean” technologies;
• Maritime cluster;
•Machinery engineering
20 projects in these areas
The wide list of cooperation directions and it`s not complete...
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Thank you for attention!
www.rusfintrade.ru
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