Daikin opens residential AC factory in Indonesia

INDONESIA: Production of residential air conditioners has commenced at Daikin’s new $220m factory in Indonesia. 

The new plant, built on an area of 204,000m² at the Greenland International Industrial Centre in Cikarang, West Java, is expected to launch locally manufactured residential AC units to the Indonesian market by July.

Operated under PT Daikin Industries Indonesia, the new facility has an annual production capacity of up to 1.5 million units. It will manufacture three main inverter-based residential AC models. 

Speaking at the factory inauguration ceremony, representative director, chairman of the board, and CEO of Daikin Industries, Masanori Togawa emphasised that the new facility would play a strategic role in Daikin’s regional growth roadmap.

“Indonesia is a vital part of our Asia expansion strategy. With this new facility, we can now deliver products more quickly and reliably to the Indonesian market as well as reinforcing Daikin’s leadership in air conditioning industries across Asia and globally,” he stated.

The factory aligns with Daikin’s strategy of establishing a strong presence in each country and region. It also supports Indonesia’s efforts to reduce its reliance on residential AC imports that were valued at $420.46m in 2024.