The Germany-headquartered air technology company is setting up a 13,826 square metre production facility in Maharashtra under Project GAGAN, targeting data centres, hyperscalers and industrial customers across India and Southeast Asia.
FläktGroup, a Samsung-owned HVAC and critical cooling company headquartered in Germany, is expanding its India manufacturing footprint with a new facility in Pune. The investment, valued at €5.7 million, is the company’s most significant production commitment in India to date.
The facility, located at Bhadalwadi in Taluka Maval, Pune, spans 13,826 square metres — with over 12,000 square metres dedicated to production. The plant is scheduled to go fully operational by June 2026.
What the Pune plant will make
The facility will manufacture Air Handling Units, Fan Wall Units, CRAH and CRAC units, Coolant Distribution Units, and heating and cooling coils — with an annual production capacity of up to 6,500 units. Products will serve both domestic demand and export markets across Asia and Southeast Asia.
Why Pune
FläktGroup’s choice of Pune reflects a broader pattern among foreign manufacturers entering India — proximity to industrial corridors, port access, and an established engineering talent base. For FläktGroup specifically, Pune’s growing position within India’s data centre and green energy supply chain made it the strategic fit.
India’s data centre sector has seen aggressive capacity expansion over the past two years, driven by hyperscaler investments from global cloud providers. Cooling infrastructure — FläktGroup’s core product — is a direct dependency for every data centre built.
Building for scale, not just presence
Beyond the physical plant, FläktGroup has structured a training programme that includes exposure at its global headquarters and existing Indian facilities, hands-on manufacturing training, and systems alignment to its global operating standards. The intent is to replicate the company’s global quality culture locally from day one — rather than treat the India facility as a lower-spec offshore operation.
The bigger picture
FläktGroup’s Pune investment is part of a wider shift in how global industrial manufacturers are approaching India — not as a cost play, but as a supply chain node serving high-growth Asian markets. The combination of data centre demand, government infrastructure push, and improving logistics connectivity is pulling in companies that would previously have served the region from Europe or China.
For India’s manufacturing sector, investments like Project GAGAN represent exactly the kind of deep, capability-building foreign participation that moves the needle beyond assembly into full-cycle production.
FläktGroup is a global air technology company and a Samsung subsidiary, headquartered in Germany. It operates production sites across Europe, Asia and the United States.
