Leading AC, Refrigerator Makers Line Up Investment To Expand Manufacturing Capacity And Reduce Dependency On China

In a big boost for the Government's Make in India programme and Prime Minister (PM) Narendra Modi's clarion call for the building of an Atmanirbhar Bharat, the nation's leading air conditioner and refrigerator makers like LG, Voltas, Godrej Appliances and Blue Star have embarked on a mission to expand their domestic manufacturing capacities by 50-100 per cent with a cumulative industry investment of more than Rs 1,500 crore, reports Economic Times.

The move by the industry comes as it looks to reduce its dependency on China, and also as it looks to take advantage of the production linked incentive (PLI) scheme of the Government for the sector. Furthermore, the industry is also expecting a good year for their products ahead.

India's largest maker of air conditioners, Voltas is scouting for a 100 acres land to set up a new manufacturing unit in South India. Its managing director Pradeep Bakshi says that the industry has to reduce its dependency on China with the Government making it clear to be self-reliant by hiking import levies.

Meanwhile, LG India has also expanded its domestic manufacturing capacity by almost 35 per cent for air conditioners and by 10 per cent for refrigerators. Blue Star has also lined up Rs 200 crore expansion of its manufacturing facilities in addition to projects it is pursuing towards localisation.