Finnish telecommunications company Nokia plans to cut most of its workforce in mainland China and gradually close its facilities in the country by the end of 2026, the South China Morning Post reported, citing sources familiar with the matter.

According to them, the cuts will affect Nokia divisions involved in mobile networks and network infrastructure. The layoffs will be carried out in several stages, with the bulk of the reductions expected by the end of the year.

The exact number of employees affected by the changes is not yet known. According to the company’s annual report, as of the end of 2025, Nokia had about 7,200 employees in China, Hong Kong, and Taiwan.

The company has facilities in Beijing, Shanghai, Hangzhou, Chengdu, and Qingdao.

Reducing its presence in China will be one of Nokia’s largest steps to scale back operations in this market after more than 40 years of doing business there.