High € will tear down EU economy

[shrecher]

... at least EU major exporters (aka Finland) suffer from very expensive Euro. Nokia is just a first drop in heavy rain.

[sammy]

Alas, let us sit upon the carpet and tell sad stories...

[raamv]

hmmm!! I wonder if it really will!! Where is your proof?

and the main point to consider in this discussion is , what can the EU/Finland really do about it.
Interest rate drop is now out of the question as inflation is looking up from the ground!!
Its not Affected Nokia yet..( main issue was ASP of phones and rising costs which is mainly regional)
In the long run, this might be a better option as the pegs shift from $ to €

[Rosamunda]

... at least EU major exporters (aka Finland) suffer from very expensive Euro. Nokia is just a first drop in heavy rain.

So... what does Nokia "export" from Finland? Do they still make wellies?

[Mölkky-Fan]

If exports drop, then at least we can console ourselves by going on holiday to Florida where it is now nice and cheap!

[Travmies]

Market forces is what its all about, there will be winners and there will be losers.

This time its the EU, but what doesn't kill you will make you stronger...

[rob34]

Between Euro countries == No difference.
Between Britain? Maybe, can't say.
Between the US? Items exported from Finland aren't bought because they're cheap, it's because they're exotic. This will only serve to enhance the mystique.

[Paul_D]

... at least EU major exporters (aka Finland) suffer from very expensive Euro.

Still, I prefer to be working in an EU company than in an US company...

In EU, there may be economical problems in the future. In the US, it is said that the economics problems are already happening now, and no one knows how much the US economy is going to be shaken.

/Paul

[shrecher]

Between Euro countries == No difference.
Between Britain? Maybe, can't say.
Between the US? Items exported from Finland aren't bought because they're cheap, it's because they're exotic. This will only serve to enhance the mystique.

Asia. The emerging market is very desired by this EU country. 2nd largest phone maker Samsung gets extra benefit each time when Euro gets up.

USA. This is very big trade partner. Finland exports a lot to US: Nokia, Kone (I saw many times elevators, escalators, etc in US by Kone), UPM. Again each time when Euro makes inch high, this is counted against Finland's income.

[raamv]

Between Euro countries == No difference.
Between Britain? Maybe, can't say.
Between the US? Items exported from Finland aren't bought because they're cheap, it's because they're exotic. This will only serve to enhance the mystique.

Asia. The emerging market is very desired by this EU country. 2nd largest phone maker Samsung gets extra benefit each time when Euro gets up.

USA. This is very big trade partner. Finland exports a lot to US: Nokia, Kone (I saw many times elevators, escalators, etc in US by Kone), UPM. Again each time when Euro makes inch high, this is counted against Finland's income.

has it ever occurred to your stupid brain that those items are not necessarily exported from Finland, just because the Companies are Finnish..
Its in the "reporting" that the companies are affected by the exchange rate.

[Mark I.]

USA. This is very big trade partner. Finland exports a lot to US: Nokia, Kone (I saw many times elevators, escalators, etc in US by Kone), UPM. Again each time when Euro makes inch high, this is counted against Finland's income.

Actually USA is not a very big trade partner to Finland.

Also, euro and dollar finding their fundamental "right" value is ultimately good for the whole world's economy. Furthermore, the EU economy has such big internal markets, and trade with Asian (+other countries), that recession in the US economy does not mean a whole lot in the EU economy.

[Hank W.]

KONE's got factories atleast in Kentucky their oldest one they bought in the 90's...they got a big presence in USA and Canada after they bought Montgomery, was it 4th biggest at the time... they've been buying left,right & centre so what isn't owned by KONE these days is the question... all over EU, China, India, South Africa... so thats as global as it gets.

[Mark I.]

Here's the latest statistics, which should show the impact of declining dollar to the EU economy - well, the impact is surprisingly mild.

http://epp.eurostat.ec.europa.eu/pls/po ... -EN-AP.PDF

BTW, is UK the 51.st state of the USA? Look at their trade deficit.

[sinikala]

Also, euro and dollar finding their fundamental "right" value is ultimately good for the whole world's economy.

BTW, is UK the 51.st state of the USA? Look at their trade deficit.

Not sure how the same person that came up with the first statement can come up with the second.

Go to google and type in

uk deficit strong sterling

it will save me typing an answer here.

Actually USA is not a very big trade partner to Finland.

Perhaps not, but the EU is ... think of the bigger picture.

[Mark I.]

Also, euro and dollar finding their fundamental "right" value is ultimately good for the whole world's economy.

BTW, is UK the 51.st state of the USA? Look at their trade deficit.

Not sure how the same person that came up with the first statement can come up with the second.

Go to google and type in

uk deficit strong sterling

it will save me typing an answer here.

Well, if you have understanding deficit, you'd better make your face value less bold.

Actually USA is not a very big trade partner to Finland.

Perhaps not, but the EU is ... think of the bigger picture.

I was answering directly to the claim on this thread, how weak dollar would hurt Finnish economy. I also answered to the question - yes, USA is a major trading partner of the EU, but the recent dollar's value decline shows no remarkable impact on EU's trade with the USA.