India, backed by the world’s largest population and a steep economic growth rate, is seeing its middle-class consumer market expand and is emerging as a key strategic hub in the global air-conditioner market. The Indian air-conditioner components market is considered a high-potential segment that is expected to record annual growth of over 50% going forward. In response, SCD (CEO Oh Gil-ho), a domestic specialist in control device solutions, has moved to establish a local production base aimed at pre-empting the Indian market by leveraging the manufacturing capabilities it has accumulated to date.

SCD announced that on 29 June it signed a “Drain Pump India Production and Sales Agreement” with FOCUSTEK, an Indian local electronic components manufacturer, at its office in Yongin, Gyeonggi Province. SCD plans to invest approximately KRW 3 billion in equipment and molds for FOCUSTEK and establish a mass-production system in India for drain pumps, a core control component used in air conditioners. Through this investment, the company expects to generate initial sales of about KRW 3 billion in 2027 and subsequently expand its top-line growth each year.

The “air-conditioner drain pump,” positioned by SCD as the core product for penetrating the Indian market, is a device that discharges condensate generated at the heat exchanger to the outside during indoor unit operation. It is an essential component mainly installed in system air conditioners and duct-type air conditioners and reflects SCD’s advanced control technologies and quality management capabilities.

On the back of these technological strengths, SCD has secured the Indian subsidiary of global HVAC specialist Daikin (DAIKIN) in advance as a new customer. Subsequently, from the second half of last year, the company sought a contract manufacturer with the goal of securing price competitiveness through tariff reductions and pre-empting the local market, and ultimately signed an agreement with FOCUSTEK, a local company operated by a Korean national.

Building on the establishment of a local mass-production system through collaboration with FOCUSTEK, SCD plans to actively expand its market share by securing as customers not only the air-conditioner production plants of Samsung Electronics and LG Electronics that have entered India, but also major local Indian air-conditioner manufacturers such as Blue Star (BLUESTAR).

SCD CEO Oh Gil-ho stated, “Through the manufacturing outsourcing agreement with FOCUSTEK, we have secured an advantage in quality and price competitiveness in the Indian market and established a foundation for the company’s sustainable growth,” adding, “Based on SCD’s proprietary manufacturing technology that has been recognized in global markets, we will continue to concentrate our key capabilities on product research and system development to expand our presence in the global market.”

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