China’s economic growth and opening up offer new opportunities for Finland

The five millionth visitor to the Finnish pavilion at EXPO 2010 in Shanghai was awarded an airline ticket to Helsinki.The five millionth visitor to the Finnish pavilion at EXPO 2010 in Shanghai was awarded an airline ticket to Helsinki.

China is no longer merely a production site for Finnish companies. Broader partnership is now sought in environment technology and the energy sector. Finland, too, attracts interest in China, as evidenced by the high number of visitors to the Finnish pavilion at EXPO 2010 in Shanghai – the five millionth guest was welcomed to the pavilion during Minister Väyrynen’s visit to Shanghai.

The shortest route from Asia to Europe is via Finland

Minister for Foreign Trade and Development Paavo Väyrynen visited Hong Kong, Shenzhen and Shanghai on 10–16 October 2010. The minister was accompanied by a business delegation of 25 people, who mainly represented companies in the sectors of information technology and financing.

This year marked the 60th anniversary of diplomatic relations between the People’s Republic of China and Finland. At the same time, many features of the Finnish societal model, such as the transparency of administration, social security and technological development attract increasing interest in China. Together with increased domestic demand, China’s growth and opening up offer new opportunities for Finland.

The aim of the cooperation and integration project between the cities of Hong Kong and Shenzhen, each with millions of inhabitants, is to grow into a world-class metropolitan area by the year 2020. The region’s advantageous geographical location – half of the world’s population lives within a radius of five hours’ flight time – enhances its preconditions for growth. According to Minister Väyrynen, the possibilities offered by the special economic zone have hardly been utilized to the full. Opportunities in the region are available to Finland not only in business partnerships but also as a potential investment site and channel giving the Chinese access to markets in Europe and Russia. One must remember, too, that the shortest flight route to Europe from both Hong Kong and Shanghai is by way of Helsinki.

EXPO 2010 in Shanghai an unprecedented success for Finland

Kirnu, the Giant Kettle, Finland’s pavilion at EXPO 2010 in Shanghai.Kirnu, the Giant Kettle, Finland’s pavilion at EXPO 2010 in Shanghai.

The EXPO 2010 world’s fair in Shanghai has been an unprecedented success for Finland. During his visit, Minister Väyrynen awarded a prize to the five millionth guest to the Finnish pavilion. Kirnu, the Giant Kettle, has had an average of 30,000 visitors per day. “The large number of visitors is fine proof of Finland’s ability to communicate with EXPO visitors, most of whom are Chinese. When one remembers that there are more than 90 pavilions on the fair grounds, this result is heartening for our country,” Minister Väyrynen stated. Kirnu, the Giant Kettle, has attracted many domestic and foreign dignitaries, the most recent being the visit of Crown Princess Victoria of Sweden on Wednesday.

The Finnish pavilion has been an exceptional success not only with regard to the number of visitors but also from the perspective of Finnish business. Finnish companies have got tremendous impetus from the world’s fair in their own customer events, and Chinese customers have actively taken part in events organized by Finns. In sectors where there are as yet no business dealings proper, companies have had the opportunity to present themselves, for instance in the health care, renewable energy and elderly care sectors.

The world’s fair may also bring completely new possibilities to promote demand for Finnish products in China. The Finnish shop in the Kirnu pavilion has so far been the second most successful on the entire fair grounds. Moreover, the New York Times has chosen the Finnish pavilion with its assorted materials as one of the most interesting, listing it environmentally among the five most ecological pavilions.

Finland can take part in building a bridge to more sustainable economic development

In Shanghai, Minister Väyrynen opened the Helsinki Region’s Innovation Days, investment and finance seminars and the Cleantech Smart Days arranged on the Finnish pavilion. In addition, a letter of intent between Invest in Finland and OID, the Chinese partner, was signed in Shanghai.

According to the companies participating in the export promotion trip, the importance of China as a market area will increase markedly with economic growth and rising domestic demand. China is no longer a mere production site for Finnish companies; broader and more equal partnerships are sought, based on growth and opening up of Chinese markets. At the same time, competition on Chinese markets is increasing and Finland, too, must increase the country’s own competitiveness and must sharpen the country’s special expertise.

China’s vigorous industrialization and economic growth cause problems associated with the environment and energy supply. Finland can offer know-how to deal with this challenge and can take part in building a bridge to more sustainable development. The aim is varied use of Finnish expertise. ICT is a central common denominator. The ministerial visit gave Finnish companies the opportunity to showcase various models for ICT applications in China’s present development phase.

Positive results are also expected with regard to obtaining Chinese investments in Finland and benefiting from Finland’s position in trade and investments between China and Europe.