TikTok, the popular social media platform owned by China's ByteDance, has announced plans to invest 1 billion euros in building its first data centre in Finland. This move is part of the company's broader strategy, dubbed 'Project Clover,' aimed at addressing privacy concerns and securing European user data on the continent. The initiative reflects TikTok's response to increasing scrutiny from European and U.S. lawmakers over data security and the potential for Chinese government access to user information.

The decision to locate the data centre in Finland is strategic, leveraging the Nordic country's cool climate and access to carbon-free power, which are critical for energy-efficient data centre operations. While TikTok has not disclosed specific details about the facility's location, capacity, or timeline, the investment underscores the company's commitment to complying with European data protection standards and mitigating geopolitical tensions surrounding data sovereignty.

Under Project Clover, TikTok has already established data centres in Norway and Ireland, with the Norwegian facility becoming fully operational recently. The expansion into Finland is a continuation of this effort, aiming to create a dedicated European data enclave that reassures users and regulators about the safety and privacy of their data. TikTok's initiative comes at a time when several countries and institutions have restricted the app on government devices, citing security concerns.

Despite these challenges, TikTok continues to grow its user base in Europe, with over 175 million users. The company's significant investment in European data infrastructure highlights its determination to maintain its presence in the region amidst regulatory pressures. As TikTok navigates these complexities, the development of the Finland data centre represents a critical step in its strategy to balance global expansion with compliance and user trust.

Shares in European automakers Volvo Cars and Stellantis surged on Thursday as stronger-than-expected U.S. sales figures alleviated investor concerns that tariffs might dampen demand. The positive performance came despite ongoing worries about higher import duties imposed by U.S. President Donald Trump as part of his administration's broader push to boost domestic manufacturing. Automakers across the industry have been implementing strategies to mitigate potential tariff impacts, including focusing on higher-margin vehicle segments.

Stellantis reported its first quarterly growth in the U.S. market this year, with new car sales rising 6% in the third quarter. The French-Italian-American automaker's shares climbed as much as 7% following the late Wednesday announcement. The company noted that all of its major brands—Jeep, Chrysler, Ram, and FIAT—experienced sales growth during the period, indicating broad-based strength across its product portfolio despite the challenging trade environment.

Volvo Cars similarly posted encouraging results, with shares rising 5% after the Swedish automaker reported a 3% increase in third-quarter U.S. sales. The company's sales composition revealed that non-electrified models continued to dominate its U.S. business, with nearly 70% of September volumes consisting of mild hybrids and other internal combustion engine vehicles. This sales mix highlights how traditional powertrains remain central to the company's American market strategy even as it expands its electric vehicle offerings.

The Swedish carmaker, majority-owned by China's Geely Holding, faces significant exposure to U.S. tariffs since most of its U.S.-bound vehicles are manufactured in Europe. Currently, Volvo produces only its electric EX90 SUV in the United States, but the company has announced plans to begin local production of its popular XC60 plug-in hybrid by the end of 2026. An additional hybrid model is scheduled for production at its South Carolina factory before 2030, representing a strategic shift toward localized manufacturing to reduce tariff vulnerability.