Nokia launches cell phone production in Cluj, Romania 2008

Nokia: Production of mobile phones in Romania to reach ten million until October
Nine O’Clock September 25, 2008

Juku – Nokia company estimates that the production of the factory from Jucu, Cluj county, to reach around ten million mobile phones until October, according to the executive vice president of Nokia, Anssi Vanjoki, quoted by Mediafax. “In Romania we have very dedicated employees and I am pleased to announce that next month, in October, we expect the factory to reach the level of ten million devices,” Vanjoki told a press conference yesterday, after the inauguration of the factory. According to him, Nokia is the only producer of mobile devices that has ten factories in nine countries around the world. Nokia executive vice president also stressed that there are no plans for a relocation “more eastward” of Jucu factory, as it happened with Bochum, Germany. “It is important to know that at local level the situation is no longer based on cheap labour. We are not trying to bribe anybody. We must be careful about the production costs, the distribution network, the transport costs of the components and finished products,” Vanjoki said.

In his turn, Nokia Romania manager, John Guerry, declared that the development of the factory has advanced in compliance with the initial plans. “First, we produced a single model, and in time we diversified their range,” Guerry said. According to him, Nokia collaborates with several universities from Cluj and will extend the area of partnerships also to departments with the profile of communications. Referring to Nokia suppliers who should invest in production units in Tetarom III park, from Jucu, Guerry said that they could begin the construction of the factories at the end of this year or the beginning of 2009.

Presently, Nokia factory from Jucu has over 1,600 employees, and the company estimates the total number to reach 3,500 when the production arrives at the maximum capacity.

The Jucu Municipality will collect RON 1.2 M in property and wage taxes from Nokia every year, money that can be spent on investment, said Jucu Mayor Dorel Pojar, quoted by Mediafax.

At the formal opening of the new Nokia factory, yesterday, the mayor of Jucu told Mediafax that the local administration of the commune was planning comprehensive infrastructure developments. ‘This is money from local council taxes, about RON 1.2 M per year. We will invest the money in sewerage, roads, and infrastructure in general. The money will start being paid to the Jucu Municipality budget after the official opening of the Nokia plant’ aid Mayor Pojar. According to him, of the 1,600 Nokia factory employees, only 120 were Jucu locals.

Tariceanu: Nokia factory contributes to a new dimension of the future of Romania

Nokia factory from Jucu contributes to a new dimension of the future of Romania, to modernization and to aligning the Romanians to the other developed countries of Europe, PM Calin Popescu Tariceanu said. “The presence of Nokia in the region of Cluj and of Transilvania assures not only jobs, it assures something more, namely an economic activity with value added based on the state-of-the-art technology and which helps the country to enter the outposts of the economic development,” the Premier said. He pointed out that the central authorities will further do their best in order to support such important investments, starting from the premise that a modern industrial base assures also a platform for the development of research and innovation. According to him, the volume of foreign investments for this year is estimated to reach EUR eight bln, a prediction which matches the forecasts of the Romanian Investment Agency, but which is below the estimates of the Economy Ministry. “Investments like Nokia, Renault and Ford shape up a bundle of major companies which contribute to the figure of EUR eight bln of direct investments for 2008, and is 30 per cent bigger than in 2007,” Premier added.

by Adriana Popescu

Nokia to Start Production in Cluj
NineOClock, February 12, 2008
by Alexandra Spanu.

Nokia starts phone production in Cluj County

The Finnish company began yesterday to assemble the model 1200 for the markets from Europe, Africa and the Middle East.

published in issue 4118 page 9 at 2008-02-12

Jucu – Nokia company began the production of mobile phones at the factory from Jucu, a commune in Cluj County. Present at the launching ceremony, Nokia Vice-President, Juha Putkiranta called the Ambassador of Finland in Romania, Tapio Saarela, on one of the phones made at Jucu, informs Mediafax.

Putkiranta declared that Cluj County was chosen for the Nokia factory because the labour is skilled and the area is close to the selling markets targeted by Nokia, namely Eastern Europe, Africa and the Middle East.

“We chose Jucu for its closeness to the selling markets, and also because in Cluj County there is an industrial tradition which helped us to select the employees. In the coming years, this area will change radically, becoming a technological area. Nokia is proud of being the engine of development in the zone,” said Putkiranta.

The same also stressed that the process was quick, the construction of the factory starting seven months before, and now the first phones are already produced. “The factory at Cluj will become an important segment of our global network of productive centers and will operate according to the same processes, quality requirements and standards which exist in all the Nokia factories,” added Juha Putkiranta.

In his turn, Nokia Romania manager, John Guerry, declared that 350 employees work now at Nokia, at both production and management levels. In the first stage of the production, Nokia will hire 500 persons at Cluj, while in 2009 the factory will have 3,500 employees. A worker from the Nokia factory from Cluj will be paid around RON 800 per month, and will receive a meal.

Nokia has already announced in 2007 that it would set up a mobile phone factory in Romania, the investment being estimated at EUR 60 M. The decision to locate a new Nokia factory in Romania is due to the increased request of mobile devices on the market from Eastern Europe and Africa. Cluj was chosen as a result of the availability of skilled labour, and also thanks to the possibility to build an industrial park to host Nokia suppliers and partners. The construction works began in July 2007, and the official inauguration of the factory is estimated to take place in the third quarter this year. According to the officials from Cluj, the agreement with Nokia has a validity of 30 years. During this period the investor will be exempted from the real estate tax.

The people of Jucu, celebrate, the germans continue protests

The arrival of the Finnish investor was felt also in the real estate domain, the price of the lands from Jucu being 60 times higher than two years ago, to EUR 120 per sq m, informs Rompres. If the affairs of the Romanians from Jucu have started to improve, the Germans continue to protest at Bochum, where Nokia decided to close down the plant and transfer its activity to Romania. Over 6,500 persons rallied on Sunday in a human chain to manifest their disapproval with Nokia’s decision. 2,300 workers will turn unemployed further to the closing of the factory. The authorities are trying now to exert pressure on Nokia to go back on its decision or to offer financial compensations. The meeting was attended by unionists, but also by politicians, among whom Norbert Lammert, Speaker of the German Parliament. However, according to The Money Channel, the German firms are also attracted by the countries from Eastern Europe and by China. A survey shows that one fifth of them have already relocated their activities, opting for the last 12 states that have joined the Union or for China.

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