AGP Executive Report

EU Chips Push: Brussels is moving to strengthen semiconductor independence with express permits for gigafactories, as the Commission drafts a second Chips Act to cut reliance on advanced chip supply. Energy Storage Boom: A new wave of battery investment is reshaping power systems, with storage now the fastest-growing electricity technology as costs keep falling. Finland-Russia Assets: Finland has seized about €3.7m in Russian state funds tied to Naftogaz compensation claims, adding pressure to enforcement after Russia’s Crimea-era actions. Tech & Markets: TCS is expanding its partnership with Euroclear to modernise Sweden’s central securities depository, with a platform built for tokenised assets and faster settlement. Security & War Spillover: Ukrainian drones hit Russia’s St. Petersburg oil terminal and a Baltic Fleet corvette in Kronstadt, underscoring how energy and naval targets are now within reach. Cyber Risk: Ultrahuman says hackers accessed internal analytics via stolen credentials from a malware-infected employee laptop, affecting a small slice of users. NATO Deterrence Debate: The US is considering expanding NATO nuclear-sharing eastward, a move that could shift deterrence closer to Russia.

Russian Asset Seizures: Finland confiscated about €3.7m in Russian funds tied to Naftogaz compensation, with the enforcement authority saying the total seized since 2024 now tops €40m. OECD Leadership: Prime Minister Petteri Orpo is chairing the OECD Ministerial Council Meeting in Paris, focusing on industrial renewal, open markets, sustainable growth and social wellbeing. Student Debt Pressure: Finland’s enforcement data shows more young people are struggling with study loans, with average enforcement debt rising and one in eight debtors in proceedings under 29. Baltic Air Cargo Deal: 4RCargo was named Finnair Cargo’s general sales agent for Estonia, Latvia and Lithuania, aiming to boost Baltic shippers’ access to Finnair’s global network via Helsinki. Space Sector Momentum: Seraphim Space reported a record quarter as Finnish radar satellite firm ICEYE drives portfolio gains, highlighting continued investor appetite for space tech. Food Tech Expansion: Solar Foods’ Solein protein is entering the US market through Ambrosia Collective’s Planta brand, with a wider rollout planned later this summer. Cybersecurity Alert: McAfee says a MaaS operation called WeedHack is targeting Minecraft users, with infections reported across multiple countries including Finland.

Russia-Ukraine Finance: Finland has seized about €3.7m in Russian assets tied to a defunct EU border cooperation programme, with the money held in Finland and now taken to help compensate Naftogaz for losses from Russia’s 2022 invasion. Energy & Industry: Fortum filed permits in Sweden for two pumped-hydro storage projects totaling about 864 MW, aiming to add long-duration grid flexibility. Tech & Investment: Oxford Quantum Circuits raised £260m ($350m) in a Series C, highlighting renewed investor appetite for quantum computing. Crypto Markets: Virtune completed its monthly rebalancing of the Virtune Crypto Altcoin Index ETP, adding Toncoin and exiting Avalanche. Digital Transport: Finland’s Fintraffic is expanding cooperation with Uzbekistan on digital transport logistics, real-time data and smart mobility. Business & Trade: Five foreign firms submitted bids to build Kazakhstan’s KazSat-3R satellite, including Finnish ReOrbit. Sports & Culture (local angle): Finland’s sauna accessory trend is spreading abroad, with a Nordic sauna-hat brand expanding into Australian wellness spaces.

Uzbekistan–Finland Digital Push: Tashkent and Finland’s Fintraffic are teaming up on digital transport, real-time logistics data, and open API/GovTech links between Central Asia and Europe. Telecom Expansion: Finnish consultancy Omnitele is in talks with Uzbekistan on broadband upgrades, 5G rollout, fiber build-out, and network planning. IT Ecosystem Link-Up: IT Park Uzbekistan visited Finland to explore IT outsourcing, startup exchange, and “soft-landing” routes for Finnish firms. Defense Budget Debate: A Finnish parliamentary working group says defense spending should rise from €7.7bn this year to over €14bn by 2029, citing Russia and faster tech change. Energy/Finance Watch: Reuters reports Uniper’s stake sale could draw interest from CPPIB and Czech EPH, with a process that may value the group above €10bn. Local Economy Signal: Finland’s unemployment jumped—48,000 more unemployed in a year and the rate up to 11.6%—raising pressure on growth and public finances. Nuclear Milestone: Finland’s Onkalo spent-fuel repository is nearing a regulator’s final assessment, with potential licensing later this year. Business Innovation: Raisio secured Business Finland funding for upcycling grain side streams into functional fiber ingredients. Safety & Infrastructure: A Helsinki Kalasatama apartment fire spread fast due to gaps in fire barriers, according to an emergency services report.

Emergency Preparedness: Finland will roll out the FI-Alert emergency warning system by end of October 2026, using cell broadcast to send faster, more targeted alerts to mobile phones without needing a separate app. Arctic Strategy & Security: Sweden unveiled a new Arctic Strategy in Boden, linking security, resilient communities, the economy and the environment, and stressing NATO-era deterrence and military mobility in the High North. Arctic Shipbuilding Push: Davie Defense broke ground on a $1bn Gulf Copper shipyard modernization in Texas to build U.S. Coast Guard Arctic Security Cutters, with Finland and Canada tied into the supply chain and jobs. Nordic Business Deal: Ryan is buying Sweden’s Svalner Atlas in a deal reported at about $400m, expanding Ryan’s European tax and advisory footprint. Tech & Telecom: Nokia shares jumped 8.45% on optimism around 5G infrastructure and AI-driven network solutions. Mining Automation in Finland: Sandvik and Rio Tinto are teaming up to develop autonomous drilling for open-pit operations, starting in Finland and moving to trials in Australia. Energy Transition: St1 expanded Finland’s heavy-duty liquefied biogas network with new LBG stations in Liperi and Imatra, bringing the total to nine.

Crypto Markets: Virtune says it has completed the May 2026 rebalancing of its Virtune Coinbase 50 Index ETP, with Bitcoin cut to 50% while Ethereum, XRP and Solana weights rise. NATO & Defence: Finland hosted Exercise Northern Star 26 in Kainuu, bringing together Finnish conscripts and allied troops from the UK, US and others to train forest air-and-land operations. Public Safety Tech: Finland’s FI-Alert emergency warning system is set for rollout by end-October, using cell broadcast to send targeted alerts to phones without an app. Mining & Exploration: European Resources reports new rare-earth anomalies at Korsnäs in Finland after Phase 2 spectral radio surveying, and is seeking to expand the exploration area. Industrial Deal: Hiab (Finland) agreed to buy Canada’s Labrie Environmental Group for $1.035bn in cash, aiming to strengthen its North American refuse-vehicle business. Retail Expansion: Frasers Group opened Sports Direct’s first Nordics flagship in Helsinki, adding a bike zone and workshop alongside major sports brands. EU Rules & Green Claims: The European Commission opened infringement steps against Finland and 19 other states over incomplete transposition of EU green-claims rules. Energy & Security Infrastructure: Finland’s Onkalo spent nuclear fuel repository is nearing readiness, with STUK approval expected in June.

Finland’s Rohingya Aid: Finland pledged EUR 2m to UNHCR for Rohingya refugees in Bangladesh as funding cuts leave gaps in protection and skills support. EV Tax Push: Transport & Environment says only nine EU states clearly incentivise companies to buy electric cars; Finland is among those with weaker, partial support. Helsinki-Ukraine Security: President Nataša Pirc Musar visits Helsinki to discuss political and economic cooperation and hybrid threats, including a stop at a hybrid-threats centre. Russia Tech Hunt: European officials warn Russia is intensifying efforts to steal Western technology, using shell firms and cyber operations. Corporate Travel & Mobility: Lufthansa adds 11 new Allegris destinations for winter 2026/27, including Kuala Lumpur and multiple US routes. Energy Sanctions Watch: The EU is considering freezing Russia’s oil price cap to avoid an automatic rise that could boost Kremlin revenues. Nuclear Supply Chain: Doosan Enerbility lands Rolls-Royce SMR work tied to Europe’s first SMR projects, supporting long-lead reactor components. Sports Spotlight: Finland won the men’s ice hockey world championship, beating Switzerland 1-0 in overtime.

Rohingya Aid Boost: Finland pledges €2.23m more to UNHCR for Rohingya refugees in Bangladesh as global funding cuts worsen camp conditions, with UNHCR saying the money will plug gaps including skills and resilience support. Sanctions & Tech Theft: Finland warns Russia is using procurement networks on Finnish soil to dodge Western sanctions and obtain restricted know-how, targeting optics, maritime tech, quantum-related capabilities and key spare parts. Undersea Infrastructure Security: Seventeen countries, including Finland, launch voluntary guidelines to protect critical submarine cables and energy links after incidents in the Baltic and Taiwan Strait, focusing on shared norms and crisis response. Customs Costs for Online Bargains: Finland moves to charge fees on low-value non-EU online orders from July, including a €3 per-declaration-item charge and ending a low-value exemption, with further EU processing fees planned for November. World Cup Warm-Up: Germany hosts Finland in a key tune-up match ahead of the 2026 World Cup, with Finland aiming to build momentum after a tough qualifying run.

Undersea Security Pact: Seventeen countries, including Finland, launched “GUIDE” at the Shangri-La Dialogue to set shared principles for defending critical underwater infrastructure like undersea cables and energy links. Tech & Sanctions Pressure: European intelligence officials say Russia is stepping up efforts to steal Western technology and dual-use know-how via front companies, intermediaries and cyber operations as sanctions bite. AI Market Mood: Nokia shares surged again as investors re-rate the Finnish telecom group as part of the AI infrastructure buildout, even as debate continues over how much AI drives sales. AI at Work in Finland: A survey finds only about 11% of Finnish firms use AI strategically for customer value, while many treat it mainly as cost cutting. Public Safety: Finland will test public warning sirens on Monday at noon, with residents told no action is needed during the routine signal. Energy Prices Watch: Cyprus fuel data show diesel falling while unleaded rises, reflecting uneven crude-price moves. Business & Diplomacy: Finland appoints a roving ambassador for Central Asia, with a mandate covering trade and support for Finnish business abroad.

Nokia’s AI rebound: Nokia shares have surged more than 140% this year, with investors revaluing the Finnish telecom gear maker as key infrastructure for data centres—though AI/cloud still makes up only a small slice of sales, leaving a “second leg” question for markets. EU startup scoreboard: The European Commission’s first Startup and Scaleup Scoreboard links pro-founder policy to stronger scaleup performance, with Estonia, Sweden, Finland, the Netherlands and Denmark leading. Finland-Ukraine support: Finland approved its 33rd military aid package for Ukraine worth about €128m, bringing total Finnish military materiel support to €3.4bn. Finland immigration shift: Immigration to Finland fell in 2025 as labour-market conditions weakened and rules tightened, even as citizenship grants hit a record. Energy prices in focus: EU petrol and diesel prices rose sharply by late May amid Strait of Hormuz disruption, with Finland among the biggest movers. EV charging expansion: Kempower and Blink Charging are expanding EV fast-charging across the US East Coast with 14 new sites planned through 2026. Oura health push: Oura launched AI-enabled Ring 5 health features, including new blood-pressure related signals, ahead of its IPO plans.

Finland Economy: Finland’s GDP grew 0.9% in Q1, with broad-based momentum from investments, exports and private consumption, and faster activity in forest/chemical industries and services. Trade & Industry: Finnish Customs reported a €252m goods trade surplus in March; exports rose 14% year-on-year while imports grew 7.4%. Immigration & Labour: Migri says fewer people immigrated in 2025, but work-based permits are rebounding in early 2026 as industrial projects bring in international workers; family ties still dominate approvals. Competition Watch: Finland’s competition authority alleges a berry-picking cartel that coordinated picker prices and information for about a decade, seeking €9.4m in penalties. EU Policy: EU ministers raised concerns over the proposed “EU Inc” business entity, especially around worker rights and safeguards against misuse. Security & Markets: A Russian drone strike in Romania injured two and drew EU condemnation, while Baltic officials warn of provocations and escalating hybrid threats. Business Deals: Baylin Technologies completed its acquisition of Sweden’s Kaelus AB to expand wireless infrastructure and defence communications capabilities. Tech & Regulation: DTU-led SafeNov aims to speed up EU approval of novel foods by 6–12 months without lowering safety standards.

Anti-Money Laundering: Finland has published its first national strategy to tackle money laundering, terrorist financing and sanctions evasion, with overall money-laundering risk judged “significant” and terrorist-financing risk “moderately significant,” aiming to steer risk-based actions across authorities. EU Competition: The European Commission has unconditionally approved Arla’s acquisition of DMK and DOC, finding no competition concerns across key dairy and whey markets including Finland. Tech & Energy: Elisa Estonia deployed Gridle’s AI battery optimization to improve mobile network resilience during power disruptions and to help balance Estonia’s electricity system, with potential revenue from wholesale and balancing markets. Higher Education: Finland’s English-taught intake is shrinking again: applicants to Finnish higher education in English dropped further for spring 2026 after an application fee. Smart Wearables: Finnish Oura unveiled Ring 5, a 40% smaller smart ring with predictive cardiovascular and respiratory monitoring, as it heads toward an IPO. Security & Industry: Finland is pushing “comprehensive security” with Japan on advanced tech and supply-chain security, especially for drones and quantum.

Oura IPO watch: Finnish wearable maker Oura launched the Ring 5, billed as the world’s smallest smart ring—40% smaller, “week-long” battery life, and new Health Radar features for sleep, stress and heart health—priced from $399 with a $5.99 monthly subscription as the company eyes an IPO later this year. EU enforcement: The European Commission fined Temu €200 million under the Digital Services Act for failing to properly assess and curb illegal and unsafe products, ordering a revised risk plan by 28 August. Finland business & policy: Finland will streamline residence permits for startup entrepreneurs, while Finland’s producer price inflation climbed to a 38-month high, adding pressure to the cost outlook. Industry wins: Metso booked a EUR 10m railcar dumper upgrade order in Asia-Pacific, and Basemark teamed with KPIT to speed up automotive HMI deployments. Baltic power: Estonia’s electricity prices have been far lower than Latvia and Lithuania, driven by successful bids on the Baltic frequency reserve market. Travel & consumer demand: ITB China closed with 23,500 attendees and a 20% rise in net exhibition area, while Irish spending abroad softened amid heightened geopolitical concerns.

Startup Immigration: Finland plans to streamline the residence permit process for startup entrepreneurs by folding Business Finland’s growth-potential assessment into the permit application (with a fee), aiming to curb abuse and better target genuine growth firms; comments are due July 8, with changes targeted for early 2028. Energy & Industry: Outokumpu warns about Finland’s future electricity supply, raising pressure on the country’s industrial competitiveness. EU Chemicals: ECHA reports a steady shift under REACH toward non-animal testing, with adaptations still used most often and in vitro methods gaining ground. Trade & Consumer Policy: Finland will introduce customs fees on cheap non-EU online orders, charging per item and starting duties below €150, plus an additional processing fee from November. AI & Telecom Markets: Nokia’s AI-infrastructure push continues to lift investor interest after Nvidia’s investment, while EU ICT specialist employment data shows Finland among the higher-share countries. Geopolitics: Zelenskyy urges the US for urgent air-defence supplies, warning Russia’s ballistic-missile advantage could shape negotiations.

Laos Rescue: Five of seven villagers trapped in a flooded cave in Xaysomboun, Laos, were found alive on Wednesday; Finnish specialist diver Mikko Paasi said teams were “racing against time” to reach the remaining two. Energy & Industry: Outokumpu warns Finland’s rising electricity demand—especially from data centres—could deter long-term industrial investment, stressing the need for stable baseload power. Telecom & Fraud: Telenor’s Finnish unit DNA rolls out a free scam protection service (DNA Numerovahti/Number Guard) to flag fraudulent voice calls and spam. Competition Watch: Finland’s competition authority proposes fines totalling about €9.4m for a berry-picking cartel involving four companies, alleging price coordination and information sharing. Consumer Mood: Statistics Finland reports consumer confidence improved slightly in May but remains very weak, with pessimism highest in Eastern Finland. EU Budget Pressure: Germany’s EU ambassador warns Berlin’s net contributions could rise by around 80% as Brussels negotiates the next long-term budget. Bilateral Trade: Finland and Morocco vow to boost bilateral trade, with a focus on maritime and mining solutions.

Youth Jobs Pressure: New Zealand’s youth unemployment is stuck around 15%—about triple the overall working-population rate—pushing renewed focus on school-to-work pathways, apprenticeships, wage subsidies and mental-health support. AI Market Mood: Nokia shares surged 140% year-to-date after AI-and-cloud momentum, with Nvidia’s investment and growing optical networking demand putting the Finnish telecom giant back in the spotlight. Nordic Industry Push: Wärtsilä is adding 30% more technical production capacity at its Vaasa hub, while Sandvik rolls out AutoMine® Aura to boost underground mining output with 3D perception. Finland’s Border Reality: Reporting highlights how the Russia border closure is quietly eroding the Nordic model in eastern regions, with shuttered businesses and strained public finances. EU Security Tension: Lithuania warns Russia has expanded GPS spoofing infrastructure in Kaliningrad, turning sporadic interference into a persistent regional problem. Tourism Move: Sri Lanka cuts tourist visa/ETA fees for arrivals from 40 countries, aiming to lift demand.