Nokia's Strategic Shift Towards US Manufacturing

Under the leadership of its newly appointed Chief Executive, Justin Hotard, Nokia Corporation is exploring the expansion of its manufacturing operations in the United States. This move is aimed at mitigating the adverse effects of tariffs imposed during the Trump administration, as revealed during the company's first-quarter earnings announcement.

US Market's Critical Role for Nokia

Hotard underscored the significance of the US market, highlighting that approximately 90% of communications in the country depend on Nokia's technology. "Strengthening our manufacturing presence in the US could not only enhance our market growth but also provide resilience against tariff-related challenges," Hotard remarked.

Financial Performance and Future Outlook

The telecom giant reported a slight downturn, with a 1% year-on-year decrease in net sales, totaling €4.39 billion for the first quarter. Additionally, Hotard cautioned about a projected €20 to €30 million impact on the company's comparable operating profit in the upcoming quarter, attributing this to the existing tariffs.