(Reuters) -A strike by labour unions affecting ports and the rail system is expected to hit the country’s exports and imports.
The two-week strike, which began on March 11 and follows others since October, is in protest over government plans to reform the labour market and reduce social welfare, changes which the government argues are necessary.
Here is what companies are expecting:
BOLIDEN
The Swedish metals maker said the strike would affect it negatively, although it will try to limit the impact on customers.
If the strike is carried out as announced, Boliden sees a 300 million Swedish crown ($29 million) hit to its first-quarter profit, of which 100 million crowns would be due to reduced production and 200 million crowns due to delayed deliveries.
FINNAIR
Finland’s national carrier expects disruptions to its refuelling services.
“We are prepared for disruptions in fuel supply, and aim to minimise the impact on our customers’ travel plans,” a spokesperson told Reuters.
Preparations include frontloading, refuelling at stations outside Finland, the spokesperson added.
The airline’s long-haul flights will need additional stop-overs for refuelling that are expected to prolong flight times by around an hour, Finnair told local media.
FORTUM
The Finnish energy company does not expect a major impact on its operations for now as its power plants are not targeted, a spokesperson said.
METSA BOARD
Finnish paperboard producer Metsa Board said on March 11 it expects to temporarily shut down its Joutseno mill as a result of the strike due to raw material shortages.
Employees will conduct maintenance work in the meantime, a spokesperson said.
NESTE
The Finnish oil and biofuels group said the strike could force it to stop production at its Porvoo oil refinery a few days after it starts, cutting off raw material transportation and leading to storage facilities being full.
Porvoo’s output was hit by a two-day strike in January.
OUTOKUMPU
The Finnish steel maker cut its first-quarter guidance.
“Assuming the strike will last for 14 days, the negative impact on adjusted EBITDA for Outokumpu is estimated to be approximately 40 million euros,” Outokumpu said.
SSAB
The Swedish steelmaker said the strike would impact SSAB Europe’s first-quarter operating result by some 300 million crowns.
It will seek to mitigate any impact on customer shipments.
STORA ENSO
The Finnish forestry firm said the strikes could delay customer deliveries.
“The strike may in some cases lead to curtailment of production or a temporary shutdown of individual lines or mills,” a spokesperson said, adding that could mean extra costs.
UPM
Finnish forestry firm UPM said on March 11 it expects to close its Kumi paper mill in Kouvola due to the strike.
The impact of the strike vary from one production site to another but will “in due time affect all our paper and pulp mills in Finland,” a spokesperson said.
UPM is not publicly estimating the financial impact at this stage but said it will explore the possibilities of alternative transport.
($1 = 0.9152 euros)
($1 = 10.2320 Swedish crowns)
(Reporting by Elviira Luoma and Elsa Ohlen; editing by Milla Nissi and Jason Neely)
