Daikin to Invest ₹10 Billion in India for First Global R&D Hub Outside Japan

The investment reflects the company’s long-term confidence in India’s growth potential. Drawing a parallel with Maruti Suzuki, Daikin aspires to replicate a similar scale of Japanese investment and success in the country.

According to a report by The Economic Times, Daikin Industries plans to invest ₹10 billion in India to set up its first global research and development (R&D) centre outside Japan, marking a significant expansion of its India strategy.

The proposed R&D facility will focus on developing software and advanced cooling solutions, including chillers and air-conditioning systems for data centres, residential, and commercial applications. The centre is expected to be located near Daikin’s existing manufacturing base in Neemrana.

KJ Jawa, Managing Director of Daikin Airconditioning India, told ET that the company aims to position India as a major global hub across manufacturing, exports, product development, and component production. He added that Daikin intends to hire around 500 engineers from leading institutions to support the new facility.

Globally, Daikin reported sales exceeding $33 billion, making it one of the largest air conditioning manufacturers. In India, the company estimates its FY26 revenue at around ₹130 billion, reflecting an annual growth of 8-9%, and has set a target of ₹150 billion for FY27.

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While erratic weather has impacted short-term demand for room air conditioners, Daikin expects future growth to be driven by emerging segments such as data centre cooling and commercial systems. The company is also planning an additional ₹2 billion investment to localise manufacturing of data centre chillers, with design inputs from Italy.

As part of its Vision 2030 roadmap, Daikin aims to expand exports from India to 100 countries and achieve $4 billion in revenue from its India operations, further strengthening the country’s role in its global value chain.

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Pratyush Kumar
Pratyush Kumar
Pratyush Kumar is a senior journalist at EFY covering business, tech, and markets. Pratyush has a background in TV reporting and has a keen interest in electronics and emerging gadgets.

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