Year: 2025

VAT increase heavily affected purchasing power – tax revenue EUR 700 million below expectations

The state's budget report shows that the government’s general VAT increase last year has not produced the desired result in terms of the state’s tax revenue. In the middle of general economic uncertainty, the VAT increase was also poorly timed, weakened consumer purchasing power and was burdensome to commerce in Finland in particular. The budding growth should now be strengthened in every possible way.

Circular trade has grown rapidly - does Chinese junk also threaten the second-hand market?

As many as 66 per cent of Finns and 81 per cent of people under the age of 30 have bought second-hand products during this year. In two years, the consumer market for circular trade has grown by 56 per cent to approximately EUR 1.4 billion. At the same time, however, Chinese junk, i.e. the selection of cheap online stores outside the EU, such as Temu and Shein, has also started to block the channels of circular trade. At worst, this threatens the implementation of the circular economy in commerce.

Chinese junk will be expensive for society – we will lose tax revenue and jobs

According to the Finnish Commerce Federation’s calculations, Finland will lose a significant amount of tax revenue due to the wave of e-commerce goods arriving from outside the EU. In addition to the loss of tax revenue, distance selling outside the EU threatens the employment of domestic commerce, consumer safety and the circular economy. Solutions can be found, for example, in the monitoring of distance selling, improving consumers' purchasing power and strengthening the competitiveness of domestic commerce.

Chinese junk will be expensive for society – we will lose tax revenue and jobs

According to the Finnish Commerce Federation’s calculations, Finland will lose a significant amount of tax revenue due to the wave of e-commerce goods arriving from outside the EU. In addition to the loss of tax revenue, distance selling outside the EU threatens the employment of domestic commerce, consumer safety and the circular economy. Solutions can be found, for example, in the monitoring of distance selling, improving consumers' purchasing power and strengthening the competitiveness of domestic commerce.

Domestic e-commerce recovering – growth of nearly five per cent in the second quarter

The sales of online stores operating in Finland increased by nearly five per cent in April-June when compared to the same period last year. Despite the worrying geopolitical changes, online stores expect growth, especially in the international market, in the future. Among other things, online stores see marketing resources and expertise as the largest obstacles to international growth. The pricing of e-commerce deliveries is also a source of concern.

A new apprenticeship model is being piloted in the commerce sector – salary increases as degrees progress

The Finnish Commerce Federation and the Service Union United PAM have launched a pilot for the new apprenticeship model. The aim of the pilot, which takes place in technical trade, is to attract students’ interest in technical trade and, thereby, meet the sector’s demand for labour. In addition, the pilot will test whether the new salary model can inspire students to participate in apprenticeship training and encourage companies to offer apprenticeships.

Finnish Commerce Federation: The budget session to make decisions to support growth and purchasing power 

The Finnish Commerce Federation emphasises the importance of the decisions made during the budget session in strengthening economic growth and purchasing power. The government must promote private consumption and support the introduction of innovations and economic reform. In addition, effective measures are needed to combat unfair competition in e-commerce and to streamline regulations in order to secure the competitiveness and renewal of the commerce sector.