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FinnCham China - Beijing

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VIEW DIRECTORY

Greetings from the Ambassador and the Chairman of the FinnCham Board

Dear Members and Friends of FinnCham,

 

In Beijing the new year has started with brisk and sunny winter weather. 2024 was in many ways an unexceptional year here in China. The economy continued to face headwinds with challenges in the realestate sector and consumer consumption. As a result the Chinese government started to implement several policy easing measures. At the end the real GDP growth of 2024 was estimated to be 4,9%, undoubtedly lower than expected a year ago. (Goldman Sachs: China’s economic stimulus to partially offset US tariffs in 2025)

 

According to McKinsey & Company’s Economic conditions outlook, December 2024, a major change in the global executives’ attitudes towards 2025 is the rise of trade policy changes as risk factor for the global economy. Trade policy changes are now viewed as second biggest disruptive force for global economy, behind only geopolitical instability. This change certainly is brought on by the result of US presidential election. Globally the year starts with stable but cautious sentiment towards the global economy. But regional differences are clear. Executives in Asia-Pacific region, including China, are more positive on the economy improving in the region, whereas European executives remain pessimistic. (To read the whole Outlook report, click here).

 

For China 2025 is expected to continue to be challenging when it comes to the economy. The country is determined to swift toward a technology-driven and self-reliant growth model. This naturally means that China has given up on high growth figures trying to replace it with higher quality growth. The most likely tariffs to be cast by the new US leadership will create further challenges to the Chinese economy, which will most likely lead to more stimulus by the Central Government. All in all, the growth of Chinese economy is expected to slow also in 2025, Goldman Sachs predicting it to land around 4,5%. (Goldman Sachs: China’s economic stimulus to partially offset US tariffs in 2025)

 

The Team Finland Quarterly Pulse Survey results were published last week. According to the data collected in December Finnish companies’ overall expectation for the China market has turned slightly positive after the previous survey in September. This is despite the fact that most respondents do not expect new government measures to help their business. You can find the link to the whole Pulse Survey report later in this newsletter.

 

These Team Finland surveys that are done together with Business Finland, the Embassy and Consulates are important tools for us to understand how Finnish companies are doing in China and what are the challenges they face in the market. We will be launching the annual business confidence survey in February and I hope you will find the time to fill it in after receiving the link. We will be sharing more details a bit later.

 

In the last Annual General Meeting in April our members approved the establishment of FinnCham China. Starting May 1st 2024 FinnCham Beijing became FinnCham China – Beijing. Together with FinnCham China – Shanghai we have been planning the practical rollout of FinnCham China. As the year 2025 starts we are starting to implement the rollout and will be informing you in beforehand when changes are coming. So stay tuned to our emails, newsletters and wechat groups for more information!

 

Finally, to start off 2025 our guest writer this month is Ambassador Mikko Kinnunen. Be sure to checkout his greetings below!

 

With these words, on behalf of FinnCham China I want to wish You all Happy New Year 2025 as well as Best of Luck for the Year of the Snake!

 

Juha Tuominen

Chairman

FinnCham China - Beijing

Greetings from Chairman Tuominen

2025: 75 years of diplomacy between Finland and China

 

The year of 2025 marks 75 years of diplomatic relations between Finland and the People’s Republic of China. This historic occasion underscores the deep bilateral connections that our two nations have cultivated over the decades.

 

There could have hardly been a better starting point for this year, as just recently, October 2024, President of the Republic Mr. Alexander Stubb paid a state visit to China. This high-level visit not only highlighted the importance of our bilateral relationship but also directly supported the interests of Finnish businesses operating in China. Certainly, the state visit will continue to pay dividends throughout this year. The Embassy strives to facilitate more exchanges and high-level visits in 2025.

 

During the state visit, China expanded its visa exemption policy to Finland. The 30-day visa-free entry will undoubtedly ease travel for business professionals, facilitating closer collaboration, enhancing efficiency, and reducing barriers for companies that contribute so significantly to our economic relations.

 

In 2025, we will continue our trade promotion activities in close cooperation with FinnCham China. Our most recent pulse survey suggests that the outlook of Finnish companies in China is becoming cautiously more optimistic. We are grateful to all the members of FinnCham China that take their time to fill out the regular surveys. These surveys provide valuable insights for all of us, and I sincerely hope that companies have time to participate also this year.

 

For the Foreign Ministry’s Team Finland work, 2025 will be a year of reform, as Business Finland’s operations abroad will be integrated into Finland’s embassies and consulates general. For companies, our internal arrangements should not be a factor, as serving you will anyway be our priority, despite changes in our organizational structure.

 

Right now is a good time of the year: we have just celebrated Christmas and Western New Year – and are anticipating yet another remarkable celebration, Chinese New Year. I want to wish Happy New Year to all the members of FinnCham China. May it bring us all success, good fortune, prosperity, and peace!

 

Greetings from Ambassador Mikko Kinnunen

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FinnCham Beijing (芬兰商会)
Kerry Centre, South Tower, Level 24, Business Finland Office
1 Guanghua Road, Chaoyang District
Beijing 100020, PRC

北京朝阳区光华路1号
嘉里中心南楼24层 Business Finland 办公室
邮编 100020
Phone: 13264106340
Email: ulla@finnchambj.org
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