Andhra Pradesh eyes global manufacturing hub status with Carrier Global facility at Sri City
Synopsis
Andhra Pradesh is not just attracting data centres — it is now manufacturing what powers them. With Carrier Global's chiller plant at Sri City, a $15 billion Google AI hub in Visakhapatnam, and a ₹6 lakh crore pipeline, the state is building one of the world's most ambitious digital infrastructure ecosystems.
Key Takeaways
IT Minister Nara Lokesh announced the groundbreaking of a Carrier Global Corporation chiller manufacturing facility at Sri City on 6 May 2025 .
Andhra Pradesh has a digital infrastructure investment pipeline estimated at over ₹6 lakh crore targeting ~6 GW of data centre capacity.
A $15 billion Google AI data centre hub with planned 1 GW hyperscale capacity has broken ground in Visakhapatnam .
Reliance Industries has proposed a ₹1.6 lakh crore, 1.5 GW data centre cluster in the state.
Sri City has seen ₹12,000 crore invested in cooling and AC manufacturing, creating 25,000 direct jobs , with the state targeting a 60% share of India's AC production by 2027 .
Andhra Pradesh is accelerating its push to become a global hub for next-generation manufacturing and digital infrastructure, with state Information Technology Minister Nara Lokesh on Tuesday, 5 May announcing the imminent groundbreaking of a chiller manufacturing facility by Carrier Global Corporation at Sri City in Amaravati. The development signals the state's strategic shift from merely hosting data centres to manufacturing the critical components that power them.
What the Carrier Global Facility Represents
The foundation stone for Carrier Global Corporation's new chiller manufacturing unit at Sri City is set to be laid on Wednesday, 6 May. According to an official government release, this investment marks Andhra Pradesh's pivot from being a data centre destination to becoming a full-stack digital infrastructure manufacturing hub. The facility will produce advanced cooling technologies described as
Point of View
Yet India has seen ambitious state-level industrial targets falter at the implementation stage before. The real differentiator will be whether Sri City's supplier ecosystem can absorb the manufacturing demand that global hyperscalers generate, or whether critical components continue to be imported. The 60% share of India's AC production target by 2027 is particularly ambitious and will require sustained policy consistency well beyond the current political cycle.
NationPress
14 Jul 2026
Frequently Asked Questions
What is Carrier Global Corporation building in Andhra Pradesh?
Carrier Global Corporation is building a chiller manufacturing facility at Sri City in Andhra Pradesh, with the foundation stone scheduled to be laid on 6 May 2025. The plant will produce advanced cooling technologies for next-generation data centres, AI infrastructure, and high-performance computing environments.
What is Andhra Pradesh's total data centre investment pipeline?
Andhra Pradesh's overall data centre investment pipeline is estimated at over ₹6 lakh crore, targeting approximately 6 GW of capacity. Key commitments include a $15 billion Google AI data centre hub in Visakhapatnam and a proposed ₹1.6 lakh crore data centre cluster by Reliance Industries.
What is Sri City's role in Andhra Pradesh's manufacturing strategy?
Sri City is central to Andhra Pradesh's manufacturing ambitions, particularly in HVAC and electronics. The industrial zone has attracted ₹12,000 crore in cooling and AC manufacturing investments, generated 25,000 direct jobs, and is part of the state's plan to capture 60% of India's AC production by 2027.
Who is Nara Lokesh and what did he announce?
Nara Lokesh is Andhra Pradesh's Minister for Information Technology, Electronics & Communications and Human Resources Development. On 5 May 2025, he announced the upcoming groundbreaking of Carrier Global's chiller plant at Sri City, framing it as a milestone in the state's push to build a full-stack data infrastructure ecosystem.
How does Andhra Pradesh plan to reduce import dependency in digital infrastructure?
The state is focusing on building a complete value chain encompassing cooling and thermal management systems, power and energy management solutions, precision engineering components, and electronics and control systems. By integrating manufacturing with digital infrastructure, the government aims to reduce import dependency and boost exports in data infrastructure components.
