Nidec India’s New Plant in Sri City went on stream 

Strengthens the Air Conditioner Manufacturing Ecosystem of Business City

Nidec India Private Limited, a wholly-owned subsidiary of Japan-based Nidec Corporation, went on stream with its new manufacturing facility in Sri City yesterday, marking a significant milestone in Sri City’s evolution as a major hub for air conditioners (AC) manufacturing in India. The event was graced by distinguished guests, including Mr. Takahashi Muneo, Consulate General of Japan in Chennai, Mr. Hiroshi Kobe, Founding Member & Chairman of Nidec, Dr. S. Venkateswar, Collector & District Magistrate of Tirupati District, and Dr. Ravindra Sannareddy, Founder and Managing Director of Sri City, among others. 

This facility, strategically situated in Sri City’s Domestic Tariff Zone (DTZ), will go for mass production in January 2025. With an initial investment of approximately Rs. 50 crore and creating around 200 jobs, the plant will manufacture air conditioning motors with an annual capacity of 6 million. It supports all  leading AC brands such as Daikin, Amber, Voltas, and Havells, amplifying the local supply chain and manufacturing ecosystem, according to Mr. Keiji Oshima, Managing Director of Nidec India. 

Mr. Takahashi Muneo congratulated Nidec India on selecting Sri City for their new plant and praised it as one of India's premier business locations, especially for Japanese investments, highlighting its secure environment for expatriates. 

AP Government’s Support and Vision amazing 

Speaking at the event, Mr. Hiroshi Kobe emphasised that the new facility underscores Nidec's dedication to the Indian market and the region's demand for high-quality motors for home appliances. "We’re proud to partner with Sri City and be part of its thriving industrial community," he remarked. Reflecting on the 2014 invitation from Andhra Pradesh Chief Minister Mr. N. Chandrababu Naidu, Mr. Kobe shared, “We’re thrilled to launch our plant here and have ambitious growth plans ahead.” He expressed appreciation to the AP Government and the District Collector for their continued support, crediting the state's pro-investment policies and infrastructure growth as key drivers behind Nidec's expansion in India. 

Dr. S. Venkateswar welcomed the Nidec team, emphasising Sri City’s rise as a leading business destination and emerging hub for air conditioner manufacturing. He expressed confidence in Tirupati district's growth into an electronics hub, crediting the AP government’s visionary leadership and investor-friendly policies. 

Strengthening Sri City’s Role in India’s AC Manufacturing Sector 

Sri City’s Founder and Managing Director, Dr. Ravindra Sannareddy, highlighted the impact of Nidec’s entry on the region’s industrial ecosystem, stating, “Sri City is now home to over 220 prominent brands in different manufacturing sectors, including a significant cluster in the air conditioning. Nidec’s investment strengthens our vision to make Sri City a leader in AC manufacturing. With top-tier AC brands and component suppliers co-located here, we anticipate Sri City will soon contribute to over half of India’s AC production.” 

Dr. Sannareddy also emphasised Sri City’s role in promoting a symbiotic ecosystem, where companies benefit from proximity to both suppliers and clients, allowing efficient logistics, reduced costs, and fostering innovation. The combined presence of global and domestic brands positions Sri City as a pivotal contributor to India’s AC production targets.