Sales target for $10.5bn air conditioning-refrigeration systems by 2025
Mitsubishi Electric Corporation (TOKYO: 6503) will invest some 26.7 billion yen (about US$222.5 million) in a factory in India to produce 300,000 room air conditioner outdoor units from October 2025 and 650,000 compressors beginning from December 2025.
The new plant output is to meet growing demand in the Indian market, Mitsubishi said on 11 Jan 2023, adding that it has some 180 billion yen (about US$1.5 billion) investment plan for related facilities worldwide, including Europe and the United States.
Subsidiary Mitsubishi Electric India will make the investment for the Indian market.
The demand to replace older air conditioning and refrigeration systems with newer models is expected to continue growing as consumers and companies shift to energy-saving and low-GWP refrigerants.
Mitsubishi Electric’s Advance & Innovation 2025 strategy, introduced in November 2021, is targeting sales of air conditioning and refrigeration systems worth 1.26 trillion yen (about US$10.5 billion) and operating profit of 12% by the fiscal year ending March 2026.
Under the strategy, the company is accelerating its launch of high-performance, energy-saving and environmentally friendly products in order to offer natural refrigerants that meet local needs, expand production for stable product supply and shorter lead times, and introduce lifecycle solutions encompassing sales, service, facility management and product recycling. fiinews.com
