Daikin Begins Mass Production of Residential Air Conditioners in Indonesia
- brg_news_room
- 5 days ago
- 1 min read
Indonesia: Japanese manufacturer Daikin has commenced mass production of residential air conditioners at its first full-scale manufacturing facility in Indonesia, operated through PT Daikin Industries Indonesia. The locally produced units are expected to be introduced to the Indonesian market in July 2025. The facility, located in the GIIC Industrial Parks area, has received an investment of approximately IDR 3.3 trillion (USD 210 million / EUR 193 million) and has a projected annual production capacity of 1.5 million units. The Indonesian Ministry of Industry expressed support for the initiative, noting its potential to reduce reliance on imported products and strengthen Indonesia’s position in the regional manufacturing sector.
The new factory is also expected to employ between 950 and 1,000 workers. Despite this development, the electronics sector in Indonesia continues to depend on imported components, particularly air conditioning compressors, with imports valued at USD 244.29 million (EUR 224.5 million) in 2024. The government is encouraging PT Daikin to gradually localise production of essential parts to strengthen domestic supply chains. Additionally, all air conditioning products produced in Indonesia, including those by PT Daikin, must comply with the Indonesian National Standard (SNI) regulations, with stricter technical requirements scheduled to take effect from July 2025 under new industry regulations.
Source: VOI
