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China’s Majority In Air Conditioner Manufacturing Cause Concerns Amid EU Tariff Push And Rising Heat Wave

As record-breaking heatwaves grip Europe and other parts of the world, demand for Chinese-made air conditioners is surging, highlighting China’s dominant position in the global cooling appliance market even as trade tensions with the European Union intensify.

Major Chinese manufacturers including Midea, Gree and Haier have reported strong growth in overseas sales as consumers across Europe rush to buy air conditioning units during extreme summer temperatures. The surge comes despite ongoing discussions within the European Union over tariffs on Chinese imports.

China currently dominates the global air conditioner market. According to market research firm Euromonitor International, Chinese brands accounted for 65 per cent of global air conditioner sales last year and about 50 per cent of the U.S. market. Analysts expect those figures to grow as rising global temperatures drive greater demand for cooling systems.

Europe has traditionally had low air conditioner adoption because of milder summers, high electricity costs, expensive installation, and older buildings that are difficult to retrofit. However, increasingly frequent and intense heatwaves are rapidly changing consumer demand.

Chinese manufacturers have responded by designing products specifically for the European market. Midea’s portable PortaSplit air conditioner, developed to suit European homes and window designs, has sold more than 200,000 units this year—double last year’s total, according to the company.

The growing reliance on Chinese appliances has complicated trade negotiations between Brussels and Beijing. The European Union and China are seeking to address a trade imbalance that reached nearly €360 billion last year, with European leaders arguing that heavily subsidized Chinese exports are putting pressure on domestic industries.

Industry analysts say restricting imports of affordable Chinese air conditioners could prove politically difficult as consumers increasingly rely on them during extreme heat.

China is also looking to expand exports as its domestic economy slows amid a prolonged housing downturn and weaker consumer spending. While electric vehicles, batteries and solar products have become China’s fastest-growing export sectors, appliance makers view Europe as a major growth opportunity because air conditioning penetration remains relatively low—around 20 per cent compared with roughly 90 per cent in the United States.

Experts caution, however, that demand for cooling products remains seasonal and may fluctuate once summer temperatures subside, though recurring heatwaves linked to climate change are expected to keep long-term demand elevated.

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