In November 2020, Midea Group signed an investment agreement with the Wuhan Economic and Technological Development Zone Steering Committee to invest 800 million yuan (US $ 121 million) in the construction of a central air conditioning production line for residential premises, which will start operation in 2021 with an expected volume production from 10 to 12 billion yuan (1.5 to 1.8 billion US dollars).
In recent years, sales of central VRF Midea systems have grown rapidly in both domestic and foreign markets. The current production capacity cannot provide the required number of central air conditioning systems for housing. The construction of a new production line can effectively reduce the production load, logistics and warehousing costs.
Wuhan has been selected as the location for a new central air conditioning production line for residential premises in order to increase the overall production capacity. Prior to that, back in 2015, Midea invested 200 million RMB (US $ 30 million) in the intelligent transformation of the Wuhan plant, and the already existing highly intelligent manufacturing capabilities are the main strength of the Wuhan base.