diff --git a/homeassistant/components/daikin/climate.py b/homeassistant/components/daikin/climate.py
index 2b02d139dc7..f372c2a2d0e 100644
--- a/homeassistant/components/daikin/climate.py
+++ b/homeassistant/components/daikin/climate.py
@@ -117,6 +117,11 @@ async def async_setup_entry(
     async_add_entities([DaikinClimate(daikin_api)], update_before_add=True)
 
 
+def format_target_temperature(target_temperature):
+    """Format target temperature to be sent to the Daikin unit, taking care of keeping at most 1 decimal digit."""
+    return str(round(float(target_temperature), 1)).rstrip("0").rstrip(".")
+
+
 class DaikinClimate(ClimateEntity):
     """Representation of a Daikin HVAC."""
 
@@ -163,9 +168,9 @@ class DaikinClimate(ClimateEntity):
             # temperature
             elif attr == ATTR_TEMPERATURE:
                 try:
-                    values[HA_ATTR_TO_DAIKIN[ATTR_TARGET_TEMPERATURE]] = str(
-                        round(float(value), 1)
-                    )
+                    values[
+                        HA_ATTR_TO_DAIKIN[ATTR_TARGET_TEMPERATURE]
+                    ] = format_target_temperature(value)
                 except ValueError:
                     _LOGGER.error("Invalid temperature %s", value)
 
diff --git a/tests/components/daikin/test_temperature_format.py b/tests/components/daikin/test_temperature_format.py
new file mode 100644
index 00000000000..d05efa98b8d
--- /dev/null
+++ b/tests/components/daikin/test_temperature_format.py
@@ -0,0 +1,20 @@
+"""The tests for the Daikin target temperature conversion."""
+from homeassistant.components.daikin.climate import format_target_temperature
+
+
+def test_int_conversion():
+    """Check no decimal are kept when target temp is an integer."""
+    formatted = format_target_temperature("16")
+    assert formatted == "16"
+
+
+def test_decimal_conversion():
+    """Check 1 decimal is kept when target temp is a decimal."""
+    formatted = format_target_temperature("16.1")
+    assert formatted == "16.1"
+
+
+def test_decimal_conversion_more_digits():
+    """Check at most 1 decimal is kept when target temp is a decimal with more than 1 decimal."""
+    formatted = format_target_temperature("16.09")
+    assert formatted == "16.1"