It’s official: Nokia to build factory in Romania

A full two weeks after I blogged about the rumour, it finally happened:

Nokia (NYSE: NOK) today announced that it will set up a manufacturing facility for mobile devices in the county of Cluj in Romania. Nokia anticipates investing an estimated EUR 60 million in the Cluj plant, which will be the company’s 11th mobile device production facility globally.

The Memorandum of Understanding was signed today in Romania’s capital, Bucharest. At the signing, 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.’

Nokia’s new facility in Cluj is located about 400 kilometers north-west of Bucharest. The construction work at Cluj will start in spring 2007 and production is expected to begin in the first half of 2008. Nokia foresees ramping up the factory gradually and will recruit approximately 500 employees there by the end of 2007. As part of the plans, Nokia is looking to establish an industrial village in the area, enabling a number of key suppliers and partners to locate their operations there.

Source: Nokia Press Release

My numbers were off. I reported 200 million when it’s really 60 million, but let’s just celebrate the fact that Nokia is opening up yet another plant!

In my home country!