Finland Maritime | Transportation and Freight Forwarding Legislation

Finland – Maritime, Transportation and Freight Forwarding Legislation

1. Overview of transportation volumes in Finland

Finland’s transportation infrastructure is integral to its role in international trade. Over 90% of Finnish exports and around 70% of imports rely on maritime transport, while domestic goods are predominantly moved by road. Rail transport plays a vital role in domestic traffic and trade with neighbouring countries, and air transportation mainly focuses on passenger services and high-value cargo. The legal framework for transportation in Finland is strongly based on international conventions, with distinct laws governing each mode of transport.

2. Maritime transport – Finnish Maritime Code

The Finnish Maritime Code (674/1994) forms the backbone of Finland's maritime law. Developed in close co-operation with other Nordic countries, it provides a largely harmonised legal framework across Sweden, Norway, Denmark and Finland. The Maritime Code governs key aspects of sea transport, including:

1. Carriage of goods: Liability for loss of or damage to cargo is primarily based on the Hague-Visby Rules, supplemented by elements of the Hamburg Rules.
2. Chartering of vessels: While carriage of goods is subject to mandatory provisions, chartering of vessels is largely governed by freedom of contract.
3. Liability and limitations: Carriers are generally liable for damage caused by negligence, with limitations on liability unless gross negligence or wilful misconduct is proven.
4. Maritime liens and salvage: Rules ensure equitable treatment and priority of claims against vessels.
5. Special shipping terms: The Finnish Standard Shipping Terms (2008) apply to deliveries at Finnish ports and define the responsibilities of carriers and consignees.

The Maritime Code also addresses passenger transportation liability based on the Athens Convention framework, subject to certain national exceptions.

3. Road transport regulations – Road Transport Agreements Act

Road transportation is Finland’s primary mode for domestic movement of goods. The Road Transport Agreements Act (345/1979) and the Act on Commercial Road Transport (693/2006) govern commercial road transport. Key aspects include:

• Permit requirements: Commercial road transport generally requires permits, with limited exemptions for small vehicles and non-commercial purposes.
• Liability framework: Carriers are strictly liable for goods under their care, with force majeure as one of the few available defences.
• Successive and sub-carrier liability: All carriers involved in a shipment may share liability, with the primary carrier typically bearing ultimate responsibility vis-à-vis the cargo interest.
• Statute of limitations: Claims must generally be filed within one year from delivery or the date when delivery should have taken place.

These laws incorporate core principles of the CMR Convention, ensuring consistency with international road transport standards while allowing for national specificities.

4. Air transport – international conventions

Air transport in Finland is governed by a series of international conventions, forming a robust legal foundation:

• Warsaw Convention of 1929: Established the basic liability regime for international air carriers.
• Montreal Convention of 1999: Modernises and harmonises air transport rules and introduces stricter and clearer liability limits for carriers.
• Domestic regulations: Legislation such as the Act on Transportation on Aircrafts (1937) and subsequent acts and amendments adapt international standards to Finland’s legal system.

Key principles include carrier liability for goods during transit, monetary limitations of liability based on cargo weight and strict limitation periods, typically two years for claims.

5. Rail transport – domestic and international rules

Rail transport is governed by distinct legal frameworks for domestic and international carriage:

• Domestic rail transport: The Act on Railway Transports (1119/2000) sets out the rights and responsibilities of rail carriers and customers.
• Finland–Russia rail traffic: A bilateral agreement governs railway traffic between the two countries.
• International carriage: The COTIF Convention and its appendices (CIM and CIV) regulate cross-border rail transport and passenger carriage.

Liability rules are broadly similar to road transport, with strict carrier responsibility for goods. The liberalisation of rail freight in 2007 allowed competition on the Finnish rail network, although state-owned VR has retained exclusive rights for freight services with Russia.

6. Multimodal transport in Finland

Multimodal transportation involves combining two or more modes of transport under a single contract. In Finland, there is no single statute dedicated exclusively to multimodal carriage. Instead, existing legislation for individual modes applies, typically as follows:

• Road transport legislation: Applies when goods remain in a vehicle during sea transport.
• Montreal Convention: Applies only to the air segment of a multimodal journey.
• COTIF Convention: Includes limited provisions relevant to multimodal rail-related transport.

To address regulatory gaps and allocate risks, parties often adopt standard contractual frameworks such as the UNCTAD/ICC Rules for Multimodal Transport Documents (1991) and the Nordic Association of Freight Forwarders’ General Conditions (NSAB).

Freight forwarding – managing multimodal logistics

Freight forwarding in Finland is typically governed by NSAB 2000 (and, where adopted, NSAB 2015), created by the Nordic Association of Freight Forwarders. These general conditions establish, among other things:

• Forwarder liability: Freight forwarders may be liable as carriers if they use their own means of transport or issue transport documents in their own name.
• Risk allocation: Liability often depends on the transport mode in use when loss or damage occurred.
• Special provisions: NSAB aligns with applicable transport statutes and sets out rules on packing, defective goods, instructions, documentation and customer obligations.

7. Sustainability in Finnish transportation law

Finland’s transportation laws increasingly reflect the country’s commitment to sustainability and the EU’s climate objectives. By aligning with international conventions and promoting the use of rail and sea over road where feasible, the Finnish framework supports more environmentally friendly transport solutions and encourages businesses to reduce their carbon footprint in logistics.

8. Key takeaways for businesses

1. Comprehensive legislation: Finland’s transportation laws are closely harmonised with international conventions, providing clarity and predictability for cross-border trade.
2. Mode-specific rules: Each transport mode operates under distinct regulations, carefully balancing carrier liability and operational flexibility.
3. Freight forwarding flexibility: NSAB-based conditions provide robust contractual frameworks for multimodal and international logistics chains.
4. Sustainability focus: Legal frameworks increasingly support sustainable transport choices and long-term environmental goals.

Overall, Finland’s transportation and freight forwarding laws offer a cohesive yet adaptable framework that supports its role as a global trade hub.

9. Contact us – expert legal assistance in transport and freight forwarding law

Navigating the complexities of Finland’s transportation and freight forwarding laws can be challenging. Whether you are dealing with maritime, road, air, rail or multimodal logistics, working with an experienced legal partner helps ensure compliance, minimises risks and streamlines operations.

Contact us today
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Our expert legal team specialises in transportation law, freight forwarding agreements and liability management. We provide tailored, business-savvy advice to help you operate confidently in Finland’s dynamic trade environment.

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Disclaimer: This article is for informational purposes only and does not constitute legal advice.