Sri City, April 7, 2022: – Daikin Air-conditioning India Pvt. Ltd., a 100% subsidiary of Japanese multinational air-conditioning (AC) manufacturing company, Daikin Industries Limited, held foundation laying ceremony in Sri City on Thursday marking the start of construction of its third unit in the country at Sri City. Mr. Kanwaljeet Jawa, MD & CEO, Daikin India performed pooja and laid the foundation stone in the presence of Mr. Satoshi Suzuki, Ambassador of Japan to India, Mr. Masayuki Taga, Consul General of Japan in Chennai, Mr. Ravindra Sannareddy, Founder Managing Director, Sri City, and a host of other invitees.
Speaking on the occasion, Mr. Satoshi Suzuki said, “I would like to express my sincere appreciation to Daikin for their continuous efforts for increasing their focus on Indian market that is witnessing rapid growth, and establishing their 3rd unit in the country. I wish the team Daikin ‘all the best’ with their new plant.” He thanked both the State and Central Governments for extending their cooperation to the Japanese investors, and said that 2022 marks the 70th Anniversary of the Establishment of the Diplomatic Relations between Japan and India.
Commenting on the occasion Mr. Jawa said, “This investment is an essential part of the long-term growth strategy of – ‘Fusion 2025’ – aiming to expand and balance our global manufacturing footprint to best serve customers worldwide. Our long-term strategy is to operate with an agile set-up to swiftly react and adapt to dynamic market requirements by enhancing capacities and R&D capabilities. All this makes Sri City factory strategically very important for us. It going to be a manufacturing marvel having all Industry 4.0 digitisation standards. We continue to investment in expanding our sales and marketing operations in India & export regions to enhance product & service backbone,” affirmed Mr. Jawa.
Mr Jawa appreciated Mr. Ravindra Sannareddy for creating this wonderful place, also lauded the excellent cooperation extended by Sri City team. He said that they have preferred sri city because of the existing ecosystem for manufacturing industries.
Congratulating the Daikin team, Ravindra Sannareddy said, “We are very pleased to welcome Daikin Group, the world’s leading Japanese air-conditioning and Refrigeration Company, into Sri City’s Japanese Enclave. As an endorsement to the ‘Make in India’ vision, and in line with the Government of India’s Production Linked Incentive Scheme (PLI), Daikin preferred Sri City to set up its first manufacturing base in Southern India, owing to its world standard infrastructure and thriving Japanese Ecosystem.”
“On this momentous occasion we are happy to highlight that Daikin is the 27th Japanese company in Sri City Japanese Industrial Township. We are also pleased to announce that, Daikin is the first major brand to join Sri City this year, with the potential to create over 3000 jobs. This reaffirms the fact that with an inspiring leadership at helm and a business friendly environment, Andhra Pradesh and Sri City remain at the top of mind recall for investors from around the globe and across various sectors,” he stated.
In line with Dakin’s vision of Skilling India and women empowerment, Sri City’s Japan-India Institute for Manufacturing’ (JIM), has been a model for technical training and skill development for past three years, focusing on the employability of youth. As of today, Sri City industries have created job opportunities for over 50,000 people, with more than 50% of employees being women.’,” Ravindra Sannareddy added.
Daikin will invest Rs 1,000 crore over two to three years to set up the plant which will be spread over 75.5 acre land in the Domestic Tariff Zone (DTZ) in Sri City. The plant which is expected to be commissioned by July 2023 will have a potential to create over 3000 jobs. It will have the capacity to manufacture 1.5 million AC units per year as well as compressors, controller boards and other spare parts. It would be the biggest among the three plants of Daikin in the country. This factory will serve the growing domestic & international demand with its cutting-edge products. In line with Daikin’s aspiration to achieve Net Zero CO2 emissions by 2050, the company will develop climate friendly ACs to serve export markets such as West Africa, Sri Lanka, Bhutan, Nepal, Bangladesh, Middle East, South America and East Africa.
With India gaining a status of a reliable manufacturing destination, favourable policies, bold government reforms and ease of doing business, Daikin India took the first move towards a significant investment over the next two – three years. Daikin’s Sri City plant will serve both domestic & international markets with its cutting edge India-manufactured products. Daikin aims to achieve aggressive market growth in the AC exports over the next few years, and wants to make India its manufacturing hub to serve markets such as West Asia, Sri Lanka, Middle East, South America and Africa.
About Daikin Air-conditioning India Pvt. Ltd.:
Daikin Air-conditioning India Pvt. Ltd.( Daikin India) is a 100% subsidiary of Daikin Industries Ltd., Japan, a global leader in the manufacturing of commercial-use and residential air conditioning systems. Backed by the superior technology, the organisation offers a wide range of energy efficient air conditioning solutions to the Indian customers. It has been successfully offering premium air conditioning solutions in the Indian market for residential and large-scale projects.
About Sri City :
Sri City (www.sricity.in), India’s leading integrated business city, spread over 7500+ acres and consisting of a multi-product a Special Economic Zone (SEZ), a Domestic Tariff Zone (DTZ), an Electronic Manufacturing Cluster (EMC) and a Free Trade Warehousing Zone (FTWZ) along with well-planned social infrastructure, all within its precincts, stands out as one of the best places for long term development and growth. Developed on the concept of ‘Work, Live, Learn, Play’, Sri City with its world-class infrastructure hosts nearly 200 companies from 28 countries, and it is the second largest hub for Japanese manufacturers in India. Identifying Sri City as one of the ten ‘Great Places for Manufacturing’ in the country, Invest India featured in its recent publication that it has high potential to attract investments from other countries.