Home appliance export growth slides to 3.6% in Q1 due to COVID- 19 impact

Growth of China’s home appliance exports slowed significantly in the first quarter of 2022, according to latest industry data, as both the supply and demand sides were affected by the COVID- 19 pandemic. But growth is expected to return to stable levels, once the epidemic eases, a trade expert said on Sunday.

China’s home appliance exports in the first quarter stood at $ 28.52 billion, a year- on- year increase of 3.6 percent, significantly slower than a growth rate of 67.5 percent a year earlier, according to the China Chamber of Commerce for Import and Export of Machinery and Electronic Products ( CCCMB).

The US, Japan and Germany were the top three export markets. However, the growth rates for the US and European countries slowed, while the market in the Association of Southeast Asian Nations ( ASEAN) grew.

The first- quarter growth rate for exports to ASEAN was 17.2 percent, compared with 5 percent for North America and 1.4 percent for Europe.

The sharp slowdown was due to issues on both the supply and demand sides, said Bai Ming, deputy director of the International Market Research Institute of the MOFCOM.

“China’s two manufacturing bases, the Yangtze River Delta and Pearl River Delta, were affected by the coronavirus, and China’s major home appliance buyers such as the US and European countries eased their quarantine policies, all of which reduced exports,” said Bai.

Bai said exports are unlikely to expand much in the next three quarters, but the growth rate will soon recover to normal levels, when the epidemic is brought under effective control.

Customs data showed that China’s total exports to ASEAN reached 1.35 trillion yuan ($ 202.51 billion) in the first quarter, a year- on- year increase of 8.4 percent, accounting for 14.4 percent of overall trade.