Daikin Industries has formed a joint venture with Rechi Precision Co. Ltd. to manufacture rotary compressors for air conditioners in India. Daikin Airconditioning India will hold a 51% stake, while Rechi Precision will own 49%. The partnership will establish a 33-acre facility in Sri City, Andhra Pradesh, with an investment of ₹1,000 crore over the next 4-6 years.
The JV, set to begin operations in FY 24-25, aims to combine Daikin’s market leadership and technical expertise with Rechi’s rotary compressor technology. This collaboration seeks to meet the growing demand for cost-effective air conditioning solutions in India.
KJ Jawa, Chairman & Managing Director of Daikin India, emphasized the JV’s role in expanding Daikin’s product range with advanced rotary compressors for residential HVAC solutions. Initially, the focus will be on supplying compressor samples to Indian air conditioner manufacturers.
Shoji Uehara of Daikin Industries noted that the partnership aligns with Daikin’s strategy to establish a major manufacturing hub in India, supporting the “Make in India” initiative. Rechi Precision will bring its R&D and manufacturing expertise, with plans for sales and service operations in India.
Founded in Taiwan in 1989, Rechi Precision is a leader in rotary compressors and energy-efficient technologies. The company’s mission emphasizes environmental responsibility and innovation in the HVAC industry.
Daikin India, a subsidiary of Daikin Japan, is a leading player in the Indian air conditioning market, known for its energy-efficient and sustainable products. This JV strengthens Daikin’s position in India, providing advanced, affordable cooling solutions.
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