Andhra Pradesh is set to strengthen its position as a major industrial and digital infrastructure hub with Carrier Global announcing a ₹1,000 crore chiller manufacturing facility at Sri City in Tirupati district.
The foundation stone for the project will be laid by Nara Lokesh on Wednesday, marking another significant investment in the state’s fast-growing manufacturing ecosystem.
Major Manufacturing Facility Planned at Sri City
The upcoming facility will be developed across 39 acres in the Satyavedu constituency of Tirupati district and will be completed in three phases by 2028.
Officials said the project is expected to:
- Generate employment for over 3,000 people
- Create advanced manufacturing capabilities
- Introduce smart and future-ready production technologies
The plant will manufacture chillers and advanced cooling systems critical for modern infrastructure sectors.
Boost for India’s Data Centre and AI Ecosystem
The investment comes at a time when Andhra Pradesh is rapidly emerging as a leading destination for hyperscale data centres and AI infrastructure.
The state has already attracted major proposals, including:
- A $15 billion AI data centre project by Google in Visakhapatnam
- A proposed ₹1.6 lakh crore data infrastructure cluster by Reliance Industries
With an investment pipeline exceeding ₹6 lakh crore and a targeted 6 GW data centre capacity, Andhra Pradesh is positioning itself as a major digital infrastructure hub.
Strategic Importance of Carrier’s Investment
Carrier’s new facility is expected to play a crucial role in supporting the rapidly growing demand for cooling systems used in:
- Data centres
- AI infrastructure
- Cloud computing facilities
- High-performance computing ecosystems
The project will also strengthen Sri City’s manufacturing ecosystem by promoting supplier networks, exports, and innovation in HVAC and electronics manufacturing.
Sri City Emerging as Cooling Manufacturing Hub
Officials highlighted that Sri City has already attracted nearly ₹12,000 crore in investments related to cooling and air-conditioning manufacturing.
The industrial zone has:
- Created around 25,000 direct jobs
- Emerged as a key HVAC manufacturing cluster
- Been projected to contribute nearly 60% of India’s AC production by 2027
Andhra Pradesh’s Vision for Full-Stack Infrastructure
Speaking ahead of the groundbreaking ceremony, Nara Lokesh said Andhra Pradesh aims to build a complete ecosystem around digital infrastructure rather than merely hosting data centres.
“Nara Lokesh said Andhra Pradesh is determined to become the engine powering data centres by developing capabilities across cooling systems, thermal management, power solutions, electronics, and precision engineering.”
The state government believes integrating manufacturing with digital infrastructure will help reduce import dependence, boost exports, and position India as a global leader in next-generation data infrastructure manufacturing.
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A Major Step for Industrial Growth
The foundation ceremony is expected to witness participation from senior government officials, industry leaders, and global partners, highlighting Andhra Pradesh’s growing reputation as a destination for advanced manufacturing, AI infrastructure, and industrial innovation.