14 DAY TRIAL // After information revealing that Nokia is considering what location to choose to open a new factory, the Finish mobile phone manufacturer has officially announced its plans to set up a new mobile phone manufacturing facility in the county of Cluj in Romania.
Nokia anticipates investing around 60 million Euro in the plant, which will be the manufacturer's 11th such production facility worldwide. Cluj was selected as a location for the plant due to the county's availability of skilled labor, good inbound and outbound logistics connections and long industrial tradition in the area.
Due to several factors including Nokia's strong volume growth globally and increasing demand for handsets in areas like Europe, the Middle East and Africa, it was to be expected that the mobile phone manufacturer would establish a new factory. The facility in Cluj is located at about 400km north-west of Bucharest and the construction work will start this spring with production expected to begin around the beginning of 2008.
According to Nokia, around 500 employees will be recruited by the end of this year and the factory will be ramped up gradually. The Finish manufacturer is also looking to establish an industrial village in the area, enabling a number of suppliers and partners to locate their operations there. According to previous information, by the agreement the city council will provide Nokia with land, road access and utilities for the 159-hectare industrial park.
The agreement was signed today in Bucharest. At the signing, Raimo Puntala, Senior Vice President for Nokia's Operations and Logistics, said: 'As the global market leader for mobile devices, Nokia is committed to ensuring good product availability and smooth deliveries to important markets in Europe, the Middle East and Africa.'