Taiwanese A/C manufacturer, Elaraby to build USD 33 mn factory

Taiwanese manufacturer Rechi and Elaraby Group will partner to build a USD 33 mn A/C compressor factory with an eventual annual production capacity of 6 mn units, cabinet said in a statement yesterday. The factory is expected to start production in 2024 with an annual production capacity of 2 mn units. This will rise to 6 mn within five years.

All part of the localization push: Local components will make up 50% of the product in a first stage, with more local parts to be incorporated later, the statement read. Around half of the factory’s output has been earmarked for export to regional and international markets.