Air Conditioners in Southeast Asia: Market demand is steadily recovering. Affected by the El Niño climate, extreme high temperatures frequently hit Southeast Asia, continuously activating residents' rigid cooling demand. Combined with accelerating urbanization, expanding commercial and industrial supporting facilities, sufficient destocking of end-user inventories, a recovery in dealers' willingness to restock, and ample room for penetration rate growth, this supports the steady rise of regional demand.

Semi-Annual Review and Outlook: Capacity Expansion Continues to Suppress Prices, Non-oriented Struggles to Shake Off Downturn Shadow

According to the latest production schedule report on three major white goods released by ChinaIOL, the combined production schedule for air conditioners, refrigerators, and washing machines in June 2026 totaled 30.04 million units, down 11.8% compared to the same period last year.

According to the latest data from industry sources, Household air conditioners: In April 2026, household air conditioner production and sales declined YoY, with the industry overall trending weak and both domestic sales and exports falling. In the Chinese market, four key factors constrained performance: a high base effect compounded by reduced subsidy intensity for trade-in programs diminishing policy benefits; a sluggish property market with insufficient new supporting demand; unfavorable weather delaying the peak sales season; and high costs coupled with high inventory levels further suppressing domestic sales performance.

In April, China's air conditioner production was 28.191 million units, down 4.7% YoY; cumulative production from January to April was 102.783 million units, up 1.4% YoY. In April, national refrigerator production was 10.105 million units, up 19.3% YoY; cumulative production from January to April was 37.329 million units, up 12.2% YoY. In April, national washing machine production was 10.210 million units, up 5.3% YoY; cumulative production from January to April was 40.700 million units, up 3.1% YoY. In April, national color TV production was 14.365 million units, down 7.8% YoY; cumulative production from January to April was 54.861 million units, down 3.6% YoY. In April, China exported 7.48 million air conditioners, down 0.3% YoY; cumulative exports from January to April were 28 million units, down 5.7% YoY. In April, refrigerator exports were 7.94 million units, up 14.6% YoY; cumulative exports from January to April were 29.8 million units, up 11.2% YoY. In April, washing machine exports were 3.29 million units, up 12.4% YoY; cumulative exports from January to April were 12.26 million units, up 9.4% YoY. In April, LCD TV exports were 8.8 million units, up 2.4% YoY; cumulative exports from January to April were 34.41 million units, up 7.2% YoY. ​

In Q1 2026, the AC motor industry for air conditioners was generally weak, with production and sales pulling back significantly YoY. The market exhibited a pattern of sharply weakening exports and simultaneously pressured domestic sales.