HOUSTON – Daikin Industries the world’s largest manufacturer of heating, cooling and refrigerant products, will build a massive, 4 million square-foot, $417 million manufacturing and logistics campus on the northwest side of Houston that will employ 4,000 people.
Daikin, which owns Goodman Global, will build the campus off of U.S. 290, approximately three miles west of the Grand Parkway, also known as Texas State Highway 99.
The new Houston campus, slated to open in mid-2016 will relocate the company’s operations from Tennessee and Texas.
“Our goal is to treat our current employees fairly and equitably when the transfer of manufacturing operations begins,” said Kari Durham, senior vice president human resources. “Total employment in the Houston area will increase to approximately 4000 employees.”
Osaka, Japan-based Daikin acquired Houston’s Goodman Global in 2012 for $3.7 billion. Goodman has a 525,000-square-foot air conditioner factory near the intersection of Loop 610 and U.S. 290. That building will be closed when the new project is completed.
The new northwest Houston facility, when finished, will include “one of the largest and most technologically advanced HVAC (Heating, Ventilating, and Air Conditioning) manufacturing facilities in the country,” Daikin said in a press release.
“Houston is well known as the energy capital of the United States. Soon it will be recognized as the energy-savings capital with regard to the production of high-efficiency heating and cooling systems for residential, commercial and industrial applications,” Daikin said.
“Our selection of Houston as the location for our new campus was a result of careful analysis and business considerations. We know that Houston is one of the best cities in the United States for this type of expansion program. It offers an outstanding combination that includes the ability to provide an educated workforce, economic growth, and a favorable year-long climate necessary for manufacturing and operational excellence,” said Takeshi Ebisu, President and CEO of Goodman Manufacturing Co.
The facility will manufacture both ducted and ductless HVAC products, which is a first for Daikin. Ducted heating and cooling systems are considered the standard in the United States. Ductless systems are installed extensively around the world. Ductless systems have gained rapid acceptance in the North American marketplace and have become one of the fastest growing HVAC market segments.
Texas and Tennessee operations that will be relocated to the new business campus include engineering, logistics, procurement, manufacturing, and marketing. Manufacturing operations at this new campus will consist of residential and commercial heating and cooling systems marketed primarily under the Daikin, Goodman and Amana brand names.
“Our successful growth has fueled the need for additional manufacturing capacity. The new campus will allow us to dramatically increase our production efficiencies and enable us to continue to serve our customers better than ever before from the leading market position that we hold today, ” said Sam Bikman, SVP Global Supply Chain for Goodman. “The integration of our engineering, procurement, logistics, manufacturing and marketing functions at the same location will facilitate and expedite our ability to respond proactively to customer needs.”