Nokia invests EUR 60 M in production plant, research centre in Cluj

March 27th, 2007

resized_shutterstock_919365.jpgNokia, the world’s leading mobile phone supplier and a leading supplier of mobile and fixed telecom networks decided to open a production unit and a research centre in Romania, in Cluj County.

The memorandum of understanding for the establishment of the plant was signed at Victoria Palace between representatives of the Cluj County Council and the Finish mobile phone producer.

The two associates will open a mobile phone production plant and a research centre in Cluj. According to a communiqué by the Government, the signing of the Memorandum was preceded by a meeting between the Prime Minister Calin Popescu Tariceanu and Nokia Vice President Raimo Puntala.

The representative of Nokia showed his gratitude for the support of the Cluj District Council and of the Romanian Government. Prime Minister Calin Popescu Tariceanu pointed out the importance of the project for Romania on the background of a highly developed area such as the industry of informatics and communication. This project, the PM stated for Rompres, will be added to the Ericsson and Microsoft research and innovation centres or to the Renault design centre.

Nokia counts on Cluj plant to cover worldwide demand

Raimo Puntala underlined that Nokia wants the new factory to shortly become host for his suppliers and partners and that the industrial park will have to be developed to this purpose. He also said that the new factory in Cluj is meeting the need to increase his company’s production capacity. Nokia, said Puntala, sold 350 million mobile phones lin 2006, up by 30 per cent as against the previous year. The mobile telephony market is expected to grow by ten per cent in 2007 so that, besides the Nokia factories in Hungary, China and India, the one in Cluj will ensure the demand for Nokia phones on the international market.

Puntala also said that the construction of the new factory in Cluj was based on the city’s excellent geographical location, the qualified labour force and the area’s industrial tradition.

PM: we must consider extending Cluj airport

Prime Minister Tariceanu assured the Nokia representative and the president of the Cluj County Council that the project will have the entire supported of the cabinet as regards infrastructure. Tariceanu underlined that, besides developing modern infrastructure for the project, the extension of the Cluj airport will also have to be taken into consideration, so that logistics operations are conducted properly, given that Nokia delivers its products all over the world.

Moreover, the PM suggested that Romanians will benefit from better mobile phones from now on. “I hope this won’t turn out as happens nowadays with second-hand cars, I hope I won’t hear various voices pleading for import of second-hand phones, when we will be manufacturing new Nokia phones in Romania,” said the Premier.

The plant will be built in Jucu village, 18 kilometres away from Cluj, where the Industrial Park Tetarom III will be set up. Nokia will receive free of charge ha 90 out of the total surface of the park, estimated to ha 159.

The park will have ha 50 available for the companies attracted by the opportunities in the area. The President of the Cluj County Council, Marius Nicoara, previously stated for Mediafax that investments of EUR 33 M will be made for utilities. “If Nokia will make this investment in Jucu, the North-East side of the district will become attractive as well”, Nicoara told Rompres.

The local and district authorities will ensure EUR 10 M of the total amount, while the rest of the amount will be granted by Government funds.

The main suppliers of Nokia will join the Finish brand on the location and will form together Nokia Village. For the development of the project Nokia will set up a commercial company located in Cluj.

Local authorities hope that the Finnish investment will have a great impact on the County’s economic development. 15,000 jobs will be created and the plant will become operational by January 2008.

The total investment of Nokia in Cluj amounts to M EUR 60 and approximately 15,000 new jobs will be created here by the opening of the company. According to Viorel Gavrea, the manager of the park, the negotiations started at the beginning of 2006 and were stopped in August as Nokia had in view other locations such as Poland.

The president of the County Council said that Nokia intends to start the production in Cluj in January 2008. The president also added that the investments of Nokia will have a major contribution to the balanced development of the County. Nokia selected Cluj as the location for the new plant due to the workforce availability, the high quality of internal and external logistic connexions and the general efficiency of the industrial tradition in the area.
by Corina Ilie

Source: Nine O’Clock

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