Core Viewpoint - The 137th Canton Fair highlights the resilience of the Chinese home appliance industry amidst the ongoing tariff challenges from the U.S., with large enterprises showing better preparedness and adaptability compared to smaller firms [1][3][5]. Group 1: Impact of Tariffs on Large Enterprises - Large home appliance companies have limited exposure to U.S. tariffs due to strategic planning and diversified supply chains, with many having established manufacturing bases in emerging markets [4][5]. - For instance, Midea Group reported a revenue of 409.1 billion yuan and a net profit of 38.5 billion yuan for the year ending December 31, 2024, with a low revenue share from the U.S. market [4]. - Haier Smart Home achieved an overseas revenue of 143.814 billion yuan in 2024, marking a year-on-year growth of 5.43%, with significant growth in emerging markets [4]. Group 2: Adaptation Strategies of the Industry - The home appliance industry has proactively adjusted to tariff impacts by shifting production capacities and exploring new markets, reducing reliance on the U.S. market [5][6]. - Companies like TCL and Hisense have minimized direct exports to the U.S. by utilizing production facilities in Mexico and Southeast Asia, thus mitigating tariff impacts [5][6]. - The overall export value of China's home appliance industry reached 112.42 billion USD in 2024, with exports to the U.S. accounting for 20.71 billion USD, reflecting a 4.3% year-on-year increase but a reduced share of total revenue [5]. Group 3: Challenges Faced by Small Enterprises - Smaller home appliance companies are facing significant challenges due to their heavy reliance on the U.S. market, with many experiencing customer defaults on orders [7][8]. - The Canton Fair has introduced initiatives to assist small enterprises in finding new clients, particularly in countries involved in the Belt and Road Initiative [8][9]. - Experts suggest that small enterprises should adjust their strategies by expanding overseas production and tapping into domestic markets through e-commerce platforms [9].