Samsung has committed to invest Rs 1,588 crore in India to set up a new compressor manufacturing plant in Sriperumbudur, near Chennai.
The new facility, spread over 22 acres, will have a capacity to produce 8 million compressor units a year, which will be expanded in the future.
Compressors produced at the plant will be used in refrigerators that Samsung manufactures in India and also be exported.
On Tuesday, the company signed a memorandum of understanding (MoU) with the government of Tamil Nadu for the new plant, expanding and strengthening the component ecosystem in the state.
“Samsung has been a shining example in Tamil Nadu’s industrial growth story, driving investments and creating jobs. This new investment is yet another step by Samsung towards strengthening the manufacturing ecosystem in the state,” said M.K. Stalin, Chief Minister of Tamil Nadu.
Ken Kang, president and CEO, Samsung Southwest Asia, said that the new compressor manufacturing facility will help the company cater to the growing demand for Samsung’s innovative digital appliances across the country and also drive exports.
Set up in 2007, the manufacturing facility in Sriperumbudur is one of two factories that Samsung operates in India. Some of Samsung’s flagship consumer electronics products like QLED TVs, lifestyle TV The Frame, Curd Maestro Refrigerators, AI Ecobubble Washing Machines, and WindFree air conditioners are manufactured at this plant. Some of these digital appliances are exported to other countries.
Since its entry into India in 1995, Samsung has set up two factories, in Noida, near New Delhi and in Sriperumbudur, five R&D centres and one design centre. These are supported by a strong network of over 200,000 retail outlets and over 3,000 customer service points.