Daikin Industries To Set Up JV In India

New Delhi: Daikin Industries, Osaka, a Japan-based global manufacturer of air conditioning and refrigeration systems, will set up a joint venture with Taiwan’s Rechi Precision to manufacture compressors in India at Sri City, Andhra Pradesh.

Daikin through its local subsidiary, Daikin Airconditioning India and Rechi Precision, announced setting up a JV to “manufacture, design and sale” rotary compressors for inverter & non-inverter ACs in India and some overseas markets, according to a joint statement.

Though the company has not announced the investment, it said Daikin will be the majority part-ner in the JV. According to industry insiders, around Rs 1,000 crore will be invested in the JV in the next 5-6 years.

“The joint venture is expected to become operational by the 4th quarter of FY24-25. The manu-facturing facility shall be established at Sri City, Andhra Pradesh,” it said. Established in 1989 in Taiwan, Rechi Precision is a global leader in the manufacturing of rotary compressors, motors and other components.