Home Appliance Stocks Rebound Collectively as El Niño Heat and Peak Season Drive Strong Demand Recovery in Air Conditioning Sector

Home appliance stocks saw a collective rebound.

The El Niño phenomenon is predicted to emerge in May, with its high-temperature effects already beginning to show.

From May 10th to 13th, many areas in northern China experienced the first round of temperatures exceeding 35°C, which is expected to support demand for air conditioners, refrigerators, and freezers.

Furthermore, the 618 shopping festival has commenced, with home appliances as a core promotional category.

This round of increased discounts and concentrated consumer spending is expected to drive strong performance for the sector.

According to Industrial Online statistics, China accounted for 80% of global household air conditioner production in 2024.

Overseas channels have been destocking since Q4 2023, and current inventory pressure abroad is largely cleared.

Coupled with the catalyst of high temperatures and the release of demand during the traditional industry peak season, the elasticity of overseas shipments is expected to be fully realized.

Overall, the combined effect of El Niño's high-temperature benefits and the peak season cycle provides ample momentum for demand recovery in the air conditioning sector.

**Midea Group (00300)**

Midea Group's stock rose 4.02% to HK$89.2.

**Hisense HA (00921)**

Hisense HA's stock increased by 3.31% to HK$23.72.

**Haier SmartHome (06690)**

Haier SmartHome's stock gained 2.03% to HK$20.1.

**JS Global Life (01691)**

JS Global Life's stock was up 1.5% to HK$1.35.