Mitsubishi Electric to Establish Heat Pump Compressor Factory in the U.S.

Expanding production in key growth areas to grow A/C and refrigeration businesses

Mitsubishi Electric to Establish Heat Pump Compressor Factory in the U.S.

Customer Inquiries
Overseas Air-Conditioning & Refrigeration Systems Div.
Global Strategy & Business Planning Department
Mitsubishi Electric Corporation
www.MitsubishiElectric.com/bu/air-conditioning-systems/
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Takeyoshi Komatsu
Public Relations Division
Mitsubishi Electric Corporation
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Mitsubishi Electric Corporation (TOKYO:6503) announced today that it will invest U.S.$ 143.5 million to retrofit a U.S.-based factory to make variable-speed compressors that are a key component of high-efficiency heat pumps. As part of Mitsubishi Electric US Holdings, Inc., the Maysville, Kentucky-based factory of Mitsubishi Electric Automotive America, Inc. currently manufactures and sells automotive electrical equipment. Production of the compressors, targeted to start in October 2027, is expected to help the company meet growing demand in the United States for low-greenhouse-gas-impact and energy-efficient HVAC solutions. Initial estimated annual capacity will total 1,000,000 compressors.

When complete, the revamped factory will represent the first time that variable-speed compressors using twin rotary technology for highly efficient ductless heat pumps will be manufactured in the United States. More than 90% of these compressors for in-demand ductless heat pump systems are currently built in China and other countries in Asia.

While the company will make a significant investment in this project, its U.S. subsidiary, MELCO HVAC US, Inc., is pleased to receive a $50 million award from the U.S. Department of Energy (DOE)’s Office of Manufacturing and Energy Supply Chains (MESC) for the domestic production of high-efficiency heat pump technology. This funding will be allocated over three years for the retrofitting of the U.S. factory. MELCO HVAC US will also utilize the economic assistance programs of the Commonwealth of Kentucky. Mitsubishi Electric appreciates support from DOE/MESC as well as economic assistance from the Commonwealth of Kentucky that were key factors in the decision to site the factory in the U.S.

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