“These measures are now having a heavy impact on all export industries, threatening jobs in Finland and eroding Finnish factories’ chances in international competition. This will weaken Finland’s reputation as a country that is able to deliver,” Kari Jordan continues.
AKT’s threatened strike is already halting forest industry shipments in ports and preventing deliveries from reaching clients. For example, the unlawful work stoppage underway today is obstructing the busiest day of the week at the port of Kotka. It will take a week to clear up the jam and this will further slow down deliveries to clients.
These actions will also increase the price consumers pay for imported goods because they weaken the effectiveness of the delivery chain.
Orders being transferred from Finnish factories
The threat of industrial action is already diverting deliveries away from Finland and new orders are being allocated to factories located in the other operating countries of forest industry corporations. This is also weakening the productivity of Finnish units. Goods, which are parked in warehouses or delivered too late, are of no value to the customer and cause losses to suppliers.
The ongoing unlawful industrial actions prevent ships from being loaded within the scheduled time and force them to return empty to the main markets in Central Europe. Harbour warehouses are beginning to fill up and some ports will no longer accept more railway carriages, causing company warehouses to fill up as well.
The harbour strike risks a situation where a portion of forest industry production will be transferred overseas permanently. An export halting strike would be a catastrophe for Finland in a situation where each order is subject to cut-throat competition.
If exports are halted, the Finnish forest industry will lose out on €30 million in export revenues each day, equalling some €200 million a week. In addition to short-term damages, this will also lead to long-term job losses for the industry because Finland’s ability to compete for investments will weaken.