Source: CHEAA-run China Appliance magazine
In 2025, China’s home appliance industry demonstrated overall stability and resilience. Total revenue remained broadly flat, while profits recorded a modest decline.
Throughout 2025, China stepped up and broadened its home appliance trade-in program, giving the market a fresh boost. But as the year progressed, the policy’s impact began to ease, with retail sales moderating after a strong start. On the export front, frequent shifts in U.S. tariff policy created ongoing uncertainty. In response, Chinese appliance makers moved to cushion the impact by ramping up localization overseas while expanding into new markets.
According to data from the National Bureau of Statistics, China’s home appliance sector generated RMB 1.97 trillion in operating revenue in 2025, up 0.1% year-on-year. Profits came in at RMB 169.1 billion, down 3.3%.
Production and shipments of major white goods remained largely stable. Output of small appliances and kitchen appliances, however, declined across most categories, except for water dispensers.
Domestic Market
In 2025, the government’s trade-in program began to ease after driving a period of rapid growth. Retail sales grew strongly in the first half of the year, but slowed markedly in the third quarter, with performance during the “Double 11” shopping festival also falling short of expectations.
Data from AVC shows that China’s home appliance retail market totaled RMB 893.1 billion in 2025, down 4.3% year-on-year. In the first six months, retail sales (excluding 3C electronics) rose 9.2%, before slowing markedly from the third quarter onward, weighed down by a high comparison base and a weakening policy boost.
The trade-in program has also reshaped demand patterns, primarily by bringing forward replacement purchases of essential household appliances.
Performance across categories diverged. The white goods segment posted retail sales of RMB 483.7 billion, down 4.8%, with volumes falling 1.3% to 165 million units.
By contrast, cleaning appliances stood out as a bright spot, delivering growth in both volume and value. Sales reached 35.5 million units, up 17%, while revenue rose 11.3% to RMB 47.1 billion. Subsegments such as floor washers and robotic vacuum cleaners continued to post strong growth.
The kitchen appliance market, meanwhile, came under significant pressure, with categories such as integrated stoves showing clear signs of decline. Data from AVC shows that the overall market’s retail sales fell 8.5% to RMB 161.3 billion, with volumes down 5.3% to 89.77 million units.
Small kitchen appliances showed mixed performance, with value increasing but volumes declining. In the domestic market, retail sales rose 3.8% to RMB 63.3 billion, while volumes dropped 8.9% to 260 million units.
Exports
China’s home appliance exports remained broadly resilient in 2025, with total export value slipping 0.9% year-on-year to USD 111.41 billion.
By category, air conditioner export value edged lower, while export value of refrigerators, freezers, washing machines and water heaters remained stable. Performance in small appliances varied in 2025, with most categories showing a clear tendency to trade price for volume.
Export trends also diverged significantly across markets. Exports to Canada led growth, while exports to the European Union remained a key growth driver. Exports to Japan maintained steady expansion, whereas exports to ASEAN declined in the second half of the year. BRICS markets slipped into negative territory in October and remained under pressure through the fourth quarter. Growth in West Asia and North Africa slowed, while the U.S. market lagged the most, weighed down by tariff disruptions.
Outlook
Looking ahead to 2026, boosting domestic demand remains a top policy priority, with the trade-in program still central to that effort—though its weakening effect is worth noting.
The industry faces a more challenging environment, including slower demand growth at home, rising raw material costs, and a more complex external landscape.
In the domestic market, China’s home appliance sector is expected to face some pressure in the first half of 2026, but full-year performance is still likely to remain broadly stable.
Exports are projected to remain relatively resilient, with a strong start already recorded in the first quarter. However, volatility is expected to rise, with tensions in the Middle East potentially weighing on shipments to certain regions.
Over the longer term, deeper investment in innovation and continued global expansion is expected to further strengthen Chinese companies’ position in global markets. Companies are expected to step up global strategies, enhance the value and recognition of their own brands, improve localized service capabilities, and build more sustainable and resilient competitive advantages overseas.