2025-04-08 15:42Investment Rating - The report indicates a positive investment outlook for companies with strong domestic sales and flexible supply chains, particularly Haier and Hisense [2][9][10]. Core Insights - The impact of U.S. tariffs on Chinese home appliance companies varies significantly, with some companies like Haier benefiting from higher local production capacity [2][12]. - Chinese home appliance firms are leveraging their supply chain stability and scale advantages to maintain competitiveness despite tariff-induced price increases [6][15]. - The long-term changes in tariff policies are expected to reshape the competitive landscape of the home appliance industry, favoring larger companies with resilient production capabilities [15]. Summary by Sections U.S. Market Exposure - Midea's revenue from the U.S. market is approximately 20% of its total export revenue, while Haier's is close to 60%, with a significant portion sourced from local suppliers [2]. - Gree has minimal exposure to the U.S. market, with only about 2% of its revenue coming from there [2]. - Hisense's revenue from the U.S. market is around 10%-20%, primarily sourced from Mexico [2]. Strategies to Mitigate Tariff Impact - Companies are adopting various strategies such as price increases and shifting production to Southeast Asia to mitigate tariff impacts [4][15]. - Major OEMs like Dechang and Xinbao are relocating factories to countries like Vietnam and Indonesia to reduce tariff exposure [3][4]. Consumer Impact - The additional costs from tariffs will ultimately be passed on to U.S. consumers, leading to higher product prices and potential economic pressure [5][6]. Competitive Advantages - Haier's higher local production in the U.S. provides a competitive edge over rivals like Samsung and Electrolux [12]. - Hisense's production in Mexico allows it to effectively cover the U.S. market, potentially increasing market share despite overall demand decline [11]. Companies with Strong Domestic Market Focus - Gree Electric is well-positioned due to its low export ratio and strong domestic sales, which are less affected by U.S. tariffs [9]. - Other companies like Supor and Boss Electric also show resilience due to high domestic sales and cash dividend rates [9]. Future Areas of Interest - The report suggests monitoring the kitchen appliance sector and companies with global production capabilities that can adapt to tariff changes, such as Hisense [10].