Toshiba Carrier to establish manufacturing base in Europe

By Daniel Brightmore
Toshiba Carrier is establishing a factory in Europe to produce air conditioning and heat pumps for the European and UK market. The new factory, based in...

Toshiba Carrier is establishing a factory in Europe to produce air conditioning and heat pumps for the European and UK market. The new factory, based in Poland, is scheduled to start production later in 2020.

The establishment of a new manufacturing subsidiary in Gniezo, a mid-western city of Poland, will see the heating, ventilating and air-conditioning (HVAC) joint venture between Toshiba Corporation and Carrier Corporation invest approximately 3 billion Japanese yen to enhance its business foundation and presence in Europe.

Commenting on the news, David Dunn, TCUK’s managing director sales, said: “The announcement of our new European factory is excellent news for TCUK customers. The 3 billion Japanese yen investment reflects our continued commitment to the development of innovative and energy efficient heating, ventilating and air conditioning products. 

“The European market is a key growth driver for Toshiba Carrier, and having a factory on our doorstep so close to our customers will mean more influence on ensuring our future offering meets and exceeds UK and European customer expectations and industry requirements.”

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Europe has seen sound HVAC growth for the last three years (2016-2018) with a Compound Annual Growth Rate (CAGR) over 6%, and is expected to enjoy sustainable growth driven by solid demand for energy efficient HVAC products to address environmental concerns and legislation. 

Europe is also witnessing a recent surge in sales of heating and hot water supply equipment using heat pumps, or air to water (ATW) equipment as an alternative for heating and hot water supply equipment using gas and other conventional boilers. 

The new manufacturing facility will allow Toshiba Carrier to reduce product lead time by one-third, reduce product cost, and bolster its product lineup catering to particular needs in Europe. 

Poland’s quality workforce, proximity to Western European nations and attractive investment incentivesare the major factors for Toshiba Carrier to locate its first European manufacturing base in the country. 

The establishment of the new subsidiary will boost Toshiba Carrier’s global manufacturing and engineering portfolio, which includes on-going programs such as a new global R&D centre at Fuji Operations and the relocation and expansion of development and manufacturing facilities at Toshiba Carrier Air Conditioning (China) Co., Ltd., in Hangzhou, China.

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