Eltechnika Finland, subsidiary of the Russian company Eltechnica based in St. Petersburg, is planning to invest EUR 200,000 in a painting facility in Joutseno, eastern Finland. The paint shop could be operational by the end of the summer this year, pending an environmental permit for the project.
Eltechnica manufactures components for power switches and switchboards from sheet metal. About 95% of the output is exported to Russia for the needs of the parent company. According to Eltechnica Finland’s CEO Lauri Arminen, the company’s next investments will be in automated welding and bigger machinery.
Benefits for Russian companies
Arminen believes that Finland offers many benefits for Russian companies who are interested in locating their production facilities across the border. For example, Finland has high quality raw materials, and the maintenance and service of machines work out better in Finland.
He also points to differences in working cultures between the two countries which make production in Finland more efficient. According to Arminen, Finland also has less bureaucracy, the society is more stable and finance is available on better terms than in Russia.