Expanding production in key growth areas to grow A/C and refrigeration businesses

Mitsubishi Electric Corporation (TOKYO: 6503) announced today that it will invest some 26.7 billion yen (about U.S.$ 222.5 million), in its subsidiary company Mitsubishi Electric India Pvt. Ltd. to establish a factory for the production of room air conditioners and compressors in India. Local production, targeted to start in October 2025, is expected to help the company meet growing demand in the Indian market. Initial annual capacity will total 300,000 room air conditioner outdoor units and, beginning in December 2025, 650,000 compressors.

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 U.S.$ 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. Mitsubishi Electric expects to invest some 180 billion yen (about U.S.$ 1.5 billion) in related facilities worldwide, including Europe and the United States, over a five-year period ending in March 2026.

For the full text, please visit: www.MitsubishiElectric.com/news/

View source version on businesswire.com: https://www.businesswire.com/news/home/20230110005470/en/