Mitsubishi Electric announced a $63 million investment to launch a new plant in Turkey to meet increasing air conditioner demand in the Turkish and European markets. As part of plans to expand operations, Mitsubishi Electric announced that Turkey's western province of Manisa will be home to its new plant - worth $63 million - for the production of home-style air conditioners, making it the second plant in Europe.

At a press conference organized in Istanbul on Thursday, the president of Mitsubishi Electric Corporation Turkey, Masahiro Fujisawa, said the plant, which is expected to be fully operational in January 2018, will have the capacity to produce 500,000 air-conditioning units annually.

"As a company with operations in 43 countries, we believe in the growth potential of the Turkish market, and the plant will also serve as a regional production hub in home-style air conditioners sales to neighboring countries and Europe," he said. According to Fujisawa, Turkey's geopolitical location, its young population and its economic potential for high growth carries many advantages for the company, in addition to those offered in-country such as government incentives, the supply of parts and a skilled labor force.

The plant will operate under a newly founded firm titled Mitsubishi Electric Air-Conditioning Systems Manufacturing, and it is expected to employ 400 workers. The company was launched to focus on production and development of designed-for-home air conditioning units and their ability to meet local needs, preferences and environmental requirements specific to target markets.

Mitsubishi Electric is also known for taking part in major projects developed by the government, including the Marmaray undersea subway system that connects the European and Asian sides of Istanbul, as well as other high-speed train projects and the launch of communication satellites produced by Türksat, and providing services such as automated support, control, management and monitoring systems.