Daikin Europe has invested $A19.57 million (13 million euros) to start the production of VRV systems at its Turkish factory.
Production of the VRVs, which are mainly aimed at the Turkish and Middle Eastern markets, began this month.
The investment decision is based on Daikin’s strategy to manufacture close to the market, which shortens supply lead times and enables the company to respond to demand in a flexible manner.
The Europe, Middle East and Africa (EMEA) region is set to see strong growth, particularly demand for heat pumps.
VRV systems are air conditioning appliances which can heat or cool medium to large commercial buildings.
They use heat pump technology and allow multiple indoor units to be connected to one outdoor unit.
VRV allows each room to be heated or cooled individually rather than a full building at once, realizing considerable higher energy efficiencies.
Daikin Europe vice president, Hiromitsu Iwasaki, said its Turkish factory is equipped with the latest cutting edge technology.
They use the Module Line principle, which was designed by Daikin Industries of Japan.
Iwasaki said each production line consists of individual four-metre modules for each production process, such as assembly, refrigerant filling, inspection and packaging, depending on the factory's production volume and production items.
He said it has been introduced at Daikin’s factory in Japan, the United States and other countries to standardize production for uniform, high-quality production.
The factory has also been equipped with an energy saving exhaust-heat-recovery system.