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Daikin signs deal with Chinese manufacturer

JAPANESE air conditioning manufacturer Daikin has signed a collaboration agreement with Chinese manufacturer Gree.
Under the terms of the deal-

Gree will manufacture Daikin's small inverter units under licence;
the two companies will jointly develop residential air conditioners;
there will be joint production of compressors, electric components and other key components;
joint procurement of materials and parts
joint production of moulds.

Initially, Gree will manufacture 500,000 small inverter air conditioners, which Daikin will market in Japan in 2009.

Daikin will plan and develop the products and Gree will manufacture for Daikin. The products will carry the Daikin brand. Gree will establish a production line and test equipment to Daikin's standard.

While nearly 100% of air conditioners in Japan have inverters, the ratio of the rest of the world is only 9%.

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