Year: 2025

The government is proposing an increase in VAT on chocolate and sweets from 14 per cent to 25.5 per cent. The Finnish Commerce Federation warns that the change would be impossible for companies to implement within the proposed time-frame and would cause an enormous administrative burden. There are also problems related to EU legislation. The federation contends that the government proposal should be dismissed.

The decline in retail trade's sales volume continued last year for the third consecutive year and will continue early this year. However, the Finnish Commerce Federation predicts that the sales volume will increase by approximately half a per cent this year and the growth will accelerate to approximately 1–1.5 per cent next year. The multiple tax wedge of services is burdensome to the international competitiveness of specialty goods trade in particular by weakening purchasing power and raising prices. The government’s mid-term review should focus on a tax policy that genuinely creates growth and supports the operating conditions of companies.

Today, after a long wait, the Commission published a communication on e-commerce, presenting measures to ensure safe and sustainable e-commerce outside the EU. The commerce sector is disappointed by the Commission’s measures, and Nordic commerce sector organisations have jointly taken a stand for more effective measures.

Last year, the number of parcels worth less than EUR 150 arriving in Finland from outside the EU, mainly from China, increased by more than 800 per cent. This explosive increase challenges product safety, the circular economy and fair competition. The situation calls for quick response from both the European Commission and the Finnish government.

Today, Friday 31 January 2025, PAM announced that it will start massive strikes in the commerce sector. The strikes will particularly target the largest logistics and daily consumer goods trade operators in the commerce sector. The Finnish Commerce Federation has actively sought a joint solution through negotiations throughout January. PAM’s strike announcement means that the joint work will go to waste.