In 2024, China's Home Appliance Exports Reach New High as Global Strategy Taps High-End Markets | Going Global · Consumer (AI Translation)
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文｜财新 覃敏
By Qin Min, Caixin
【财新网】2024年中国家电产品出口额再创新高。近日，中国机电商会发布的 《2024年中国家电（白电）出口年度报告》显示，2024年我家电产品（白电）累计出口1286.4亿美元，同比增长14.8%，连续四年超过千亿美元。
[Caixin Network] In 2024, China's export value of home appliances reached a new high. According to the "2024 China Home Appliances (White Goods) Export Annual Report" recently released by the China Chamber of Commerce for Import and Export of Machinery and Electronic Products, the cumulative export of China's home appliances (white goods) reached $128.64 billion in 2024, marking a 14.8% year-on-year increase and surpassing $100 billion for the fourth consecutive year.
中国机电产品进出口商会家用电器分会秘书长周南对财新分析，十二五、十三五期间，中国家电出口金额的复合增长率约为6%-7%，如今14.8%的增速已经非常可观。他指出，家电本身是耐用品，且中国的家电出口是千亿美元规模的产业，增长近15%就相当于增加了一两百亿美元的出口额，成绩非常亮眼。
Zhou Nan, Secretary-General of the Household Appliances Branch of the China Chamber of Commerce for Import and Export of Machinery and Electronic Products, analyzed for Caixin that during the 12th and 13th Five-Year Plan periods, the compound growth rate of China's home appliance exports was approximately 6%-7%. Now, a growth rate of 14.8% is quite considerable. He noted that home appliances are durable goods, and China's home appliance exports represent an industry worth hundreds of billions of dollars. A nearly 15% growth equates to an increase of one to two billion dollars in export value, which is an impressive achievement.
大家电成为2024年家电出口最大增长引擎。中国机电商会监测37种重点家电产品，其数据显示，2024年，空调、冰箱和冷柜出口量均为近四年新高。其中，空调年出口量8500万台，同比增长28.3%，增速较近几年个位数增幅明显提升；冰箱年出口量6048万台，同比增长17.9%，较2023年增速有所放缓；冷柜年出口量2630万台，同比增长23.4%，增速显著提升；洗衣机年出口量3285万台，同比增长14.2%，但增速较2023年同期有所放缓。
Major appliances have emerged as the biggest growth engine for home appliance exports in 2024. The China Chamber of Commerce for Import and Export of Machinery and Electronic Products monitors 37 key home appliance products, and its data shows that in 2024, the export volumes of air conditioners, refrigerators, and freezers are at their highest in four years. Air conditioners saw an annual export volume of 85 million units, marking a 28.3% increase year-over-year, a notable rise from the single-digit growth rates in recent years. Refrigerators were exported at a volume of 60.48 million units, up 17.9% year-over-year, although the growth rate has slowed compared to 2023. Freezers recorded an export volume of 26.3 million units, up 23.4%, with a considerable acceleration in growth. Washing machines saw an export volume of 32.85 million units, up 14.2% year-over-year, but the growth rate has slowed compared to the same period in 2023.
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- In 2024, China's home appliance exports totaled $128.64 billion, a 14.8% increase, driven by strong demand in emerging markets and high exports of air conditioners and refrigerators.
- Chinese home appliance brands, like Xiaomi, are expanding internationally, focusing on emerging markets with low product penetration and developing their brand presence overseas.
- Companies like TCL and Hisense are targeting the mid-to-high-end sector globally, enhancing product offerings and brand recognition through technology and sports sponsorships.
[para. 1][para. 2] In 2024, China's export value of home appliances hit a new record of $128.64 billion, marking a remarkable 14.8% year-on-year increase. This surge continues a trend, as China's home appliance exports have surpassed $100 billion for the fourth consecutive year, according to the "2024 China Home Appliances (White Goods) Export Annual Report." Zhou Nan, Secretary-General of the Household Appliances Branch of the China Chamber of Commerce, highlights that this growth is significant given the historical compound growth rate of 6%-7% and points out that such growth represents an impressive increase of one to two billion dollars in export value.
[para. 3] The growth in exports was propelled by major appliances like air conditioners, refrigerators, and freezers. Air conditioners led with an export volume of 85 million units, a 28.3% rise, while refrigerators and freezers saw increases of 17.9% and 23.4% respectively. Despite slowing growth compared to 2023 for some items, the export volumes remained robust.
[para. 4][para. 5] Zhou Nan attributes this high growth to factors such as the recovery in global markets and strong demand from regions like the Middle East, North Africa, and ASEAN countries. The "head and tail" phenomenon also played a role, with increases at the start and end of the year due to inventory replenishment and fears of tariff changes with Trump's return.
[para. 6] Xu Dongsheng, VP of the China Household Electrical Appliances Association, notes that while 2021 saw a significant 24.7% surge due to the pandemic, 2022's growth rate contracted due to inflation and high inventory levels. However, a rebound occurred in late 2023 as markets began restocking, contributing to the surge in 2024. Concerns over potential tariffs post-Trump's return additionally led clients to stockpile goods.
[para. 7][para. 8] Looking forward, Xu foresees challenges for 2025 exports stemming from high baselines set in 2024, possible tariff implementations, and other variables like Federal Reserve policies. Changes in company strategies and the reduction of the "rush to export" drive could also pose challenges.
[para. 9][para. 10] The push for going global is highlighted by more Chinese firms, including second and third-tier manufacturers, establishing overseas brands, a shift from previous OEM strategies. Companies like Xiaomi are expanding abroad with plans to introduce major appliances to international markets soon.
[para. 11][para. 12] Li Jiancai of the Shanhaitu Industrial Research Institute observes that Xiaomi's products are increasingly visible in regions like Southeast Asia, primarily through online stores, with offline presence growing. Xu Dongsheng notes the critical role of exports equating to domestic sales, given market saturation in China. From 2019 to 2024, exports grew from over $70 billion to $112.4 billion, with significant potential lying in emerging markets due to low product penetration and demand for upgrades.
[para. 13][para. 14] In 2024, exports to emerging markets, especially the Belt and Road Initiative regions, rose significantly, with Latin America, ASEAN, and Middle East/North Africa seeing impressive year-on-year increases. Zhou Nan points out that heavy domestic market competition drives these strategic shifts overseas.
[para. 15][para. 16] Chinese companies are transitioning towards the mid to high-end market, previously dominated by Korean brands, aiming to enhance global competitiveness through brand and technological innovations. Companies like TCL are adopting large-screen strategies and partnering with high-end retailers while investing in branding, such as sports sponsorships, to boost recognition.
[para. 17][para. 18] Hisense exemplifies brand globalization by sponsoring major sporting events like UEFA and FIFA, taking bold strategies in branding and product development. Zhou Nan asserts that despite challenges, the strength of Chinese brands has only improved, with aspirations for global leadership in the industry.
- Xiaomi
- Xiaomi, traditionally focused on the domestic market, is expanding internationally. At the Barcelona Mobile World Congress, Xiaomi's president announced plans to accelerate the global presence of its high-end products, including smartphones, appliances, and AIoT devices. Xiaomi's appliances, like air conditioners, refrigerators, and washing machines, will be launched in international markets later this year, with a presence already in Southeast Asia via online and offline channels.
- Joyoung
- The article mentions Joyoung as one of the Chinese home appliance brands venturing overseas. Unlike the past where mostly top-tier Chinese brands went abroad, now second and third-tier manufacturers, including Joyoung, are expanding globally, not just through OEM but also by promoting their own brands internationally.
- Rongshida
- Rongshida, previously focused on domestic markets, is now expanding abroad. It is among the second and third-tier Chinese home appliance manufacturers venturing overseas with their own brands, rather than just through original equipment manufacturing (OEM). This shift indicates a broader movement within China's appliance sector to build international brand presence alongside other companies like Joyoung.
- TCL
- TCL is focusing on entering the mid-to-high-end global market, leveraging its large-screen strategy with QD-miniLED technology. The company targets major channels, cooperating with high-end retailers like Best Buy and Costco in the U.S. and Migros in Switzerland. TCL is investing in sports sponsorships, such as the NFL and the Olympics, to enhance its brand recognition and aims to be among the top global television brands by expanding its presence in these premium markets.
- Samsung
- The article mentions that Chinese appliance companies are gradually entering mid-to-high-end markets, traditionally dominated by brands like Samsung and LG. It highlights that although Chinese companies are competitive, they are not yet at the "gold medal" level and need to focus on brand and technological innovation to compete effectively in these segments.
- LG
- The article mentions that Chinese home appliance companies are increasingly targeting mid-to-high-end markets, traditionally dominated by brands like Samsung and LG. Chinese companies are strengthening their global competitiveness by focusing on brand development and technological innovation to compete in these segments.
- Hisense
- Hisense is considered a pioneer in overseas branding for the Chinese home appliance industry. It was the first Chinese brand to sponsor the UEFA European Championship in 2016 and the FIFA World Cup in 2018. Hisense's strategy emphasizes high quality, focusing on brand, product strength, channel, and supply chain enhancement. After sponsoring major sports events, Hisense has positioned itself to compete at the highest level in the global TV market.
- 2021：
- China's home appliance exports surged by 24.7% to $104.4 billion, driven by benefits from overseas pandemic conditions.
- 2022：
- The growth rate of China's home appliance exports turned to -6.9% due to the fading of the 'stay-at-home economy', high inventory levels, and inflation.
- By the end of 2023：
- Overseas markets began restocking, sparking a surge in appliance exports.
- 2024：
- China's cumulative export of home appliances (white goods) reached $128.64 billion, marking a 14.8% year-on-year increase.
- By the end of 2024：
- With Trump's election victory leading to expectations of increased tariffs, overseas clients scrambled to stockpile goods, including home appliances.
- 2025：
- Xu Dongsheng anticipates challenges for China's home appliance exports, with slow yet steady pace throughout the year and cautious outlook.
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