Di Yi Cai Jing·2025-05-19 12:20Core Viewpoint - The competition in the air conditioning market is intensifying, particularly between Midea and Xiaomi, as both companies adopt aggressive pricing strategies to capture market share [3][7]. Group 1: Company Strategies - Midea's Chairman Fang Hongbo emphasized the importance of responding to Xiaomi's market encroachment by adopting both high-value and cost-competitive strategies [3][5]. - Xiaomi's home appliance sales, including air conditioners, refrigerators, and washing machines, saw a revenue increase of over 50% year-on-year [3]. - Midea's sub-brand Hualing has implemented a low-price strategy to counter Xiaomi's aggressive pricing, indicating a clear intent to compete directly [3][7]. Group 2: Market Dynamics - The air conditioning market is currently the largest segment in China's home appliance sector, with favorable conditions due to rising temperatures and government subsidies for replacing old units [7][10]. - Xiaomi's air conditioning market share has rapidly increased, moving from the top four to the top three in online rankings, with a market share of 13.44%, up 5.43% year-on-year [8]. - In the offline market, Gree, Midea, and Haier lead, while Xiaomi ranks 17th with only 0.21% market share [9]. Group 3: Competitive Landscape - The upcoming "6.18" sales event is expected to see fierce competition among leading brands, primarily Gree, Midea, Haier, and Xiaomi, driven by government subsidies [9][10]. - Gree's sub-brand Jinghong has also introduced competitively priced air conditioners to participate in the escalating market rivalry [9]. - The overall air conditioning market is projected to reach a retail value of 427 billion yuan during the "6.18" event, reflecting a 10.3% year-on-year increase [10].