Finnish IT giant Nokia announced in a press release on Monday it would invest 60 million euro to build a mobile telephones factory in Romania. Nokia chose the city of Cluj to host its new plant due to the availability of highly skilled work force, good domestic and international logistics links, general efficiency and the long industrial tradition in the area.

Works at the plant will start in spring 2007 and production is expected to start in the first half of 2008. Nokia plans to build the factory gradually and recruit some 500 employees before the end of the year.

Its plans also include the building of an industrial park in the area to allow a number of providers and partners to develop their operations in the Transylvanian city.

The plant would add to Nokia’s current production facilities in Europe: Bochum (Germany), Komarom (Hungary) and Salo (Finland).