Daikin has announced a $28.6 million manufacturing facility in Chipping Norton, NSW, as part of its ongoing investment in Australian manufacturing and local jobs.
In a news release, the company said the new Factory 2 will support the production of customised Air Handling Units and Rooftop Packaged Air Conditioners as part of Daikin’s “local products for local markets” strategy, while also creating more than 60 full-time roles.
“Our decision to invest locally stems from Daikin Australia’s strong market position, our confidence in our people, technology and network, and our plans to broaden our range of locally designed and produced products,” said Hideaki Furihata, Managing Director of Daikin Australia.
Furihata said the facility enhances the company’s ability to deliver Australian-designed and manufactured products and supports its target of carbon-neutral manufacturing by 2030.
“This new factory strengthens our ability to meet the needs of Australian customers with products that are designed, engineered and built here,” he said.
Construction began in early 2024 and concluded in August 2025, supported in part by a grant through Investment NSW in recognition of the factory’s contribution to skilled manufacturing jobs in Western Sydney.
Daikin said Factory 2 features autonomous mobile robots, expanded solar photovoltaic generation and digitalised sale-to-manufacture processes to improve efficiency and reduce environmental impact.
The company has also brought printed circuit board manufacturing onshore and achieved Australian Made certification for most locally built products.
All ducted systems, rooftop packaged units and air-handling units produced in Australia now carry the Australian Made mark, with Daikin noting they draw much of their value from Australian-sourced components.
Nicholas MacDonald, Daikin Australia’s Manufacturing General Manager, said the additional capacity will support long-term growth.
“The new factory gives us room to innovate and increase our locally manufactured offering in key residential and commercial segments,” he said.
“Combining advanced automation, a strong supplier network and continuous skills development means we can respond faster to customer needs and keep manufacturing strength here in Australia.”
Daikin said it now employs more than 700 people nationwide, including 240 living within 10 kilometres of its Chipping Norton headquarters, and works with more than 20 local suppliers.
The opening ceremony was attended by senior Daikin executives from Japan, NSW Government representatives, the Consul General of Japan, and Daikin’s suppliers, dealers and partners.
