[International] Are Japanese and Korean Brands Losing Ground? Chinese Major Appliance Brands Vie for Service to Capture 20% of Southeast Asian Market
bellala 央廣5h ago
Nikkei reported that according to the latest data from market research firm Euromonitor, over the past five years, Chinese brands have increased their average market share in the Southeast Asian major appliance market from 17% in 2020 to 20.8% in 2025, driven by advantages such as service and smart features. Air conditioning products have seen the most significant growth, with market share rising from 16.1% to 26.6%, even surpassing Japanese brands for the first time in Indonesia, introducing new variables to the previously dominant Japanese and Korean appliance landscape in Southeast Asia.
Historically, the Southeast Asian appliance market has been dominated by Japanese and Korean brands, but in recent years, the market share of Chinese appliance brands has continued to expand. The report indicates that Chinese manufacturers are no longer competing solely on low prices but are successfully attracting more Southeast Asian consumers through strategies such as product innovation, smart functionalities, extended warranties, and 24-hour after-sales service.
According to statistics, in the Southeast Asian region, the average market share of Chinese companies in the major appliance market, including refrigerators, washing machines, and dishwashers, has increased from 17.0% in 2020 to 20.8% in 2025.
Chinese Air Conditioners Surpass Japanese Brands for the First Time in the Indonesian Market
Among these, the air conditioning market has seen particularly significant growth, with Chinese brands' market share rising from 16.1% to 26.6%. In contrast, Japanese brands saw their share decline from 43.7% to 37.2%, with the gap gradually narrowing.
The changes in the Indonesian market are particularly evident. By 2025, Chinese brands' market share in the Indonesian air conditioning market has significantly increased from 15.7% in 2020 to 34.5%, surpassing Japanese brands, which have long held a leading position.
In Malaysia, the appliance market has long been dominated by major Japanese manufacturers such as Panasonic, Toshiba, and Hitachi. Since the 1970s, these companies have successively set up factories, established supply chains and distribution systems, and built Malaysia into an important manufacturing base in Southeast Asia.
However, a shift began in the late 2010s, with Chinese appliance manufacturers investing heavily in product quality, industrial design, and brand image, gradually elevating their market positioning, a trend that accelerated further after 2020. Among these, televisions were one of the first product categories where Chinese brands gained widespread recognition. TCL and Hisense successfully attracted consumers with their large-screen smart TVs offering competitive pricing.
Competing on After-Sales Service and Warranties to Attract Consumers
According to market research firm Euromonitor, in terms of sales volume, Chinese brands' share in the Malaysian TV market has climbed from 15.1% five years ago to 36.1% in 2025.
In addition to home appliances, the success of Chinese smartphone brands has also helped change consumer perceptions of products made in China.
Although Japanese and Korean brands still hold a certain market share in air conditioners, Chinese air conditioner manufacturer Gree Electric Appliances launched a 10-year warranty on compressors and a 5-year warranty on repairs and parts in 2021. In comparison, most Japanese and South Korean brands typically offer only a 5-year warranty on compressors and a warranty of up to 2 years for repairs and parts.
Gree also introduced the "Always On Service" around-the-clock service, providing technical support to consumers even during holidays. Coupled with these various services, Chinese brands' prices remain lower than those of Japanese and Korean brands, accelerating the increase in market share for Chinese brands in Southeast Asia.
Haier Views Thailand as a "Beachhead" for Entering Southeast Asia
Over the past five years, the combined market share of Japanese brands, including Daikin and Mitsubishi, in the Indonesian air conditioning market has decreased from 33.9% to 27.9%. South Korean brands' share has fallen from 23.6% to 15.6%.
In Thailand, Chinese companies Haier and Midea have been continuously expanding their production scale in recent years. Midea has established its largest overseas manufacturing base and regional headquarters in Thailand, while Haier views Thailand as an important "beachhead" for entering the Southeast Asian market.
Haier has consistently held a leading position in the Thai air conditioning market for many years. Midea has gained a leading advantage in the refrigerator and microwave oven markets, and TCL has become a significant brand in the Thai TV market with a considerable market share.
Robot vacuum cleaners are a representative product of the rapid expansion of Chinese brands. Over the past five years, the market share of Chinese brands has significantly increased from 36.2% to 58.2%. The growth in the Philippines market has been particularly astonishing, with market share surging from 28.6% to 81.0%.
Source Link: https://www.rti.org.tw/news?uid=3&pid=215971
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