The government of India is researching the possibility of loosening the regulations with a regarding joint ventures in the compressor manufacturing sector are being established by Indian and Chinese companies to address the increasing demand. The temporary relaxation of BIS certification requirements and a review of PLI incentives, the focus of policymakers is on enhancing domestic production while ensuring strategic oversight of essential components in the air conditioning and refrigeration market.
The rise in demand and a particularly hot summer expected in 2025, the Indian government is assessing a more adaptable strategy for joint ventures (JVs) involving Indian and Chinese manufacturers of compressors for air conditioning and refrigeration and it will increase the production in the Indian market. The goal is to strengthen local production capabilities and decrease dependence on imports.
In response to industry shortages, the Bureau of Indian standards (BIS) certification requirements for the importation of compressors from china and other markets have been temporarily relaxed by the government for duration of one year. The manufacturers of air conditioners and refrigerators have been encouraged to increase the domestic production of compressors. It has been reported by industry leaders that investment proposals are being sought by the government, including those that involve partnerships with Chinese firms, to enhance local manufacturing and services.