November 12, 2024 — Despite global geopolitical uncertainties and the rise of protectionism, China and Finland are intensifying their collaboration in green technologies, which officials say will play a crucial role in driving sustainable growth globally. This message was prominently echoed during the 2024 Finland-China Business Summit held in Shanghai in late October, where Finnish President Alexander Stubb led a delegation of 25 Finnish companies to explore new opportunities in China.
The summit marked a pivotal moment in Sino-Finnish relations, with President Stubb underscoring the importance of free trade and international cooperation, particularly in the context of environmental sustainability. Over 10 memorandums of understanding (MOUs) and around 20 business agreements were signed, signaling robust future cooperation between Finnish and Chinese businesses.
Strengthening Green Technology Partnerships
President Stubb highlighted the growing interest among Finnish companies in China, noting that around 250 Finnish firms, including 130 in Shanghai, are contributing to China’s economic landscape. He emphasized that Finland is a reliable trade partner, renowned for its integrity, adherence to the rule of law, and commitment to expanding its operations in China.
While acknowledging the rise of protectionist sentiments in many countries, Stubb emphasized that the future of economic growth hinges on free trade. He pointed out that without open trade and international collaboration, neither growth nor welfare can be achieved. “Economic growth does not happen only inside borders,” Stubb said. “Without free trade, we will not have growth. And without growth, we will not have welfare.”
Both nations are now looking to bolster their cooperation in addressing global climate change. Green technologies, including those in renewable energy, electric vehicles (EVs), energy storage, and smart logistics, are seen as key areas where Finnish innovation can combine with China’s manufacturing capabilities to drive progress in sustainable development.
Pioneering Green Solutions for Global Impact
Patrick Zhong, founding managing partner of M31 Capital and one of the summit organizers, remarked on the long-standing Finnish commitment to sustainability. He pointed out that Finnish companies have deep expertise in markets, innovation, and geopolitics, making them well-positioned to contribute to green transitions in China. Similarly, Chinese companies are increasingly making strides in sustainable development, particularly in the areas of new energy, EVs, and energy storage, with major firms advancing the green transition within their sectors.
Kari Hietanen, executive vice-president of Finnish marine and energy solutions provider Wartsila, pointed to the significant potential for collaboration in the maritime industry. Hietanen highlighted a recent agreement where Wartsila is supplying methanol-fueled engines for new container vessels operated by COSCO Shipping Lines and Orient Overseas Container Line — a key milestone in China’s push toward sustainable shipping practices. This deal marks the largest order to date in China for methanol-powered vessels.
Hietanen further emphasized that the cooperation between Chinese and Finnish firms in sectors like solar energy and green maritime technologies would contribute to the broader global green transition.
The Future of Sino-Finnish Cooperation
Chinese companies have also expressed interest in Finnish innovations, particularly in battery technologies. Wang Haijun, chairman of Tsingshan Industry, indicated that the company is exploring potential collaborations with the Finnish Minerals Group in battery production, an area crucial to China’s electric vehicle and renewable energy sectors.
Zhang Chuanwei, chairman of Mingyang Smart Energy Group, also praised the technological innovation capabilities of Finnish companies. He noted that long-term partnerships between Chinese and Finnish firms in areas like computer numerical control (CNC) equipment have already proven successful, and there is a strong foundation for future collaboration in the green technology sector.
The 2024 Finland-China Business Summit underscored the growing importance of Sino-Finnish cooperation in driving green technology innovation and sustainable growth. As both countries confront global challenges like climate change, their partnership in developing clean technologies presents an opportunity not only to support economic growth but also to contribute to the global green transition.
In a world increasingly shaped by geopolitical and economic uncertainties, the commitment of Chinese and Finnish businesses to open trade and sustainability provides a hopeful model for international collaboration. The initiatives launched at the summit are expected to bolster both countries’ green energy sectors while creating opportunities for businesses in both nations to lead the way toward a more sustainable future.