Zhuhai-based Gree Electric Appliances, has signed a strategic agreement with Daikin Industries and, according to the agreement, the two sides will cooperate and to jointly develop high efficient and energy saving air conditioners in China.

The two sides reached agreement on five projects, including producing inverter residential air conditioners for the Japanese market, setting up a joint venture on key components such as compressors and electrical components, setting up a joint venture on precision mold design, joint production of raw materials and parts, and joint development of inverter residential air conditioners that can penetrate the global market. The two joint ventures are said to involve a total investment of up to CNY910 million and both of them will be managed by Gree.

The cooperation of is expected to bring more environmentally-friendly and energy-saving products for global consumers and encourage the popularity of inverter air conditioner technology world wide.