Nokia attacked over plant closure

The German government has called on Nokia to reconsider closing a plant in Germany, amid outrage about job losses and the facility's planned relocation to Romania

Germany's Economy Ministry said it was ready to hold "intensive discussions" with the Finnish mobile phonemaker over the closure, and had threatened to block European Union aid for the relocation. However, the EU Commission said Nokia would not receive any.

Nevertheless, the premier of North-Rhine Westphalia, the state where the factory is based, attacked Nokia for the move and said it risked appearing a "subsidy locust".

Arguing the plant was not competitive enough, Nokia said it may cut up to 2,300 staff as it moves production to Eastern Europe.

In a statement, deputy economy minister Hartmut Schauerte said he regretted that Nokia had not been able to profit from Germany's global competitiveness despite receiving state assistance. But he hinted the government might be prepared to make concessions if German jobs could be saved.

Image: Nokia is outsourcing production to Eastern Europe

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