Nokia's Strategic Shift Towards US Manufacturing

In a significant move to mitigate the impact of tariffs imposed during the Trump administration, Nokia Corporation's new CEO, Justin Hotard, announced the company's consideration of expanding its manufacturing footprint in the United States. This strategic pivot underscores Nokia's commitment to the US market, where an estimated 90% of communications rely on its technology.

Financial Performance and Future Outlook

Despite a slight 1% year-on-year decline in net sales for the first quarter, amounting to €4.39 billion, Nokia remains optimistic. Hotard highlighted the potential for growth through enhanced local manufacturing, which could offer "additional resiliency" against tariff pressures. However, the company anticipates a €20 to €30 million impact on its comparable operating profit in the upcoming quarter due to existing tariffs.