Finland, Sweden Urge EU to Loosen Land-Use, Forestry Climate Rules

(MENAFN) Finland and Sweden have called on the European Union to relax stringent climate regulations on forestry, warning that inflexible land-use mandates threaten their economies and disrupt timber supplies across the continent.

In a statement released Wednesday, the Finnish government revealed that Prime Minister Petteri Orpo and Swedish Prime Minister Ulf Kristersson jointly sent a letter earlier this week to European Commission President Ursula von der Leyen, expressing serious concerns over the current rules.

The EU’s Regulation on Land Use, Land Use Change and Forestry (LULUCF) requires member states to ensure that carbon absorption by forests and land sectors exceeds emissions, compelling Finland and Sweden to keep their extensive forests as net carbon sinks.

However, the leaders highlighted growing challenges: “forest growth slows due to age structures, drought, pests and other climate-related disturbances.” The Russia-Ukraine conflict has intensified pressures by halting Russian timber imports and boosting demand for Nordic wood.

Orpo and Kristersson warned that adhering to existing LULUCF targets may force “sharp cuts in harvesting,” which could severely harm rural jobs, exports, and the EU’s overall biomass supply.

"Significantly decreasing felling volumes is not a viable option, as this would have dire consequences for our economies. Furthermore, it would severely affect the supply of timber and forest biomass throughout the EU," Orpo said, stressing the need for flexibility amid “uncertain times.”

The forestry sector employs over 200,000 people in Finland and Sweden combined, representing close to 20% of Finnish exports and more than 10% of Swedish exports.

While praising the Commission’s willingness to collaborate on compliance, the letter urged greater flexibility to accommodate natural fluctuations, forest disturbances, and geopolitical impacts. It also called for stronger acknowledgment of forest products’ role in replacing fossil-based materials and bolstering the bioeconomy.

LULUCF is a cornerstone of the EU’s climate strategy, particularly after the Commission’s July 2025 proposal to reduce net greenhouse gas emissions by 90% by 2040, with forest carbon removals as a key component. Finland and Sweden warned that any decline in their forest carbon sinks could jeopardize reaching this ambitious target.

The two prime ministers expressed support for the 2040 goal, conditional on the framework incorporating “uncertainties in the land-use sector, technology neutrality, cost-effectiveness and technological sinks.”

"Finnish and Swedish forests and forestry play a crucial role in achieving the EU's climate goals. Climate action and competitiveness are not opposing goals, they are complementary," Orpo emphasized.

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