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Daikin to build its biggest A/C plant in China

Daikin Industries Ltd has announced it is to set up its largest air conditioner plant in eastern China,

Daikin Industries Ltd has announced it is to set up its largest air conditioner plant in eastern China, and start production in April 2012 to tap growing demand in local cities.

Annual production capacity of the new plant, which will manufacture air conditioners for houses and retail shops, will be 1.5 million units, the Osaka-based company said. A new company, Daikin Air-Conditioning (Suzhou) Co., capitalized at about 15 billion yen (£130m), will be set up in Jiangsu Province to manage the plant.

Daikin said it will enhance the cost competitiveness of the new plant by using an increased amount of parts produced internally and by introducing more efficient production lines.

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