Japanese companies Hitachi, Ltd., Mitsubishi Heavy Industries, Ltd., and Hitachi Air Conditioning Systems Co., Ltd., a subsidiary of Hitachi, have reached a basic agreement aimed at strengthening air-conditioning and refrigeration operations. The agreement calls for MHI's Air-Conditioning & Refrigeration Systems Headquarters (excluding the automotive thermal systems business) and Hitachi Air Conditioning Systems to be integrated and run under a joint venture company owned by Hitachi and MHI.
The integration is scheduled for April 1, 2005. Hitachi and MHI will manage the joint venture as equal partners. The companies said further details of the joint venture would be decided at a later date.
MHI, Hitachi, and Hitachi Air Conditioning Systems said they reached the agreement after deciding that integration would be essential to leverage each other's strengths to achieve growth and conduct operations efficiently in response to the external operating environment in Japan and overseas. Beyond fusing each company's technology strengths, the companies say the joint venture will build a more efficient global operating structure, extending from development through manufacturing, sales, and maintenance.
The joint venture also plans to expand its business by leveraging the strengths of its two shareholders, the companies said. As a comprehensive air-conditioning and refrigeration company, the joint venture will have the ability to supply a broad range of products from commercial-use air-conditioners to large central air-conditioning systems.
to Daily News