Daikin India will set up its third manufacturing plant in Andhra Pradesh. This expansion is part of its investment proposal for the recently announced PLI scheme for AC components.

The company inked a land purchase deal at Sri City in Andhra Pradesh to set up a facility that will manufacture ACs and components. The plant will cater not only to domestic demand, but also establish India as a regional hub that will serve international markets.

The company will be making a significant investment over the next two-three years on this facility. It is acquiring land of over 75 acre and the plant is expected to become operational by 2023.

Daikin India’s manufacturing facility in Andhra Pradesh has the potential to create over 3,000 jobs.

The company currently has two manufacturing facilities in Rajasthan and had been scouting for a possible location for its third plant in Southern India.