Heatwaves Drive China's Cooling Boom as Europe and Northeast China Turn to Air Conditioning

Chinese Factories Meet a Growing Need for Relief

China's air conditioner exports reached 46.81 billion yuan ($8.4 billion) in the first seven months of 2025, according to the General Administration of Customs, as extreme heat pushed more households to buy cooling equipment. Exports to Europe rose 28.9 percent to 12.92 billion yuan, far faster than the 4.9 percent increase in total air conditioner exports.

By August 18, 2025, the surge was changing markets that had previously used relatively little air conditioning. Residents in China's traditionally cooler northeast were buying their first units, while European households were weighing the costs of installation and electricity against increasingly uncomfortable summers.

China accounts for nearly 80 percent of global air conditioner production capacity, making its factories central to this expanding cooling economy. The demand reaches beyond equipment fixed to buildings: small fans, portable air conditioners, icemakers and even hats fitted with fans powered by solar energy are finding more buyers.

The growth is also exposing practical limits. Some stores have run out of popular models, installers are booked for weeks, and manufacturers have moved service teams across China to help customers get their equipment working. In Europe, restrictions on building alterations and expensive electricity continue to shape what people can buy and use.

The central challenge is straightforward: cooling can protect people from dangerous heat, but it also consumes electricity. Chinese manufacturers are increasingly competing on products that use less energy, suit older homes and meet strict environmental rules, alongside the prices and production scale that helped establish their global position.

Northeast China Becomes a New Market

Liaoning, Jilin and Heilongjiang, three provinces in China's northeast, have experienced temperatures above 35 degrees Celsius during some of the country's hottest summers on record. Residents who once relied on electric fans are increasingly treating air conditioners as necessary household equipment.

One resident described the summer discomfort in these words:

relentless sweat bath

JD.com figures show how quickly purchasing habits have changed. Since June, air conditioner transactions on the platform have increased by more than 60 percent compared with a year earlier, while customer orders have risen by nearly 90 percent.

Purchases in the first half of July were especially strong in the northeast. In Jilin they reached 25 times the level of the same period a year earlier; in Liaoning, 10 times; and in Heilongjiang, eight times. The number of buyers purchasing their first air conditioner in those provinces increased by more than 800 percent.

Changchun's Ouya Shopping Centre has seen customers crowd its home appliance section to ask about models and prices. The rush is bringing new customers into a market where choosing equipment is only the first step: the unit must also be delivered and installed before it can provide relief.

Hisense has increased production at facilities in Shandong, Zhejiang and Guangdong, yet some models have still sold out in northern stores. Companies have organised a transfer of workers from southern China to the north, sending teams responsible for service after purchases to provide emergency installation support.

Alibaba.com figures point to a wider appetite for smaller cooling products. Sales of portable small fans, mobile air conditioners and icemakers increased by nearly 77 percent compared with a year earlier over the preceding month. Mini fans, other portable cooling devices and hats fitted with fans powered by solar energy have also seen strong demand.

Europe's Heat Tests Its Resistance to Air Conditioning

Europe has used air conditioning much less widely than much of Asia and North America. About 20 percent of European households have it, with ownership around 5 percent in Britain and below 3 percent in Germany.

Several obstacles help explain those figures. A large share of households rent their homes, making permanent installations difficult. Electricity is expensive, environmental concerns influence purchasing decisions, and many older buildings lack ducts installed for air conditioning. Historic districts can also prohibit outdoor units to protect the appearance of buildings.

Late June and early July brought heat severe enough to change buying decisions. Southern Spain reached 46 degrees Celsius, France recorded its hottest June day, and red alerts were issued across Austria, Slovenia and Bosnia. Germany faced temperatures of up to 38 degrees Celsius, with health officials urging people to drink water and stay indoors.

Electronics stores in cities including Stuttgart quickly sold out of air conditioners, while installers reported being fully booked for weeks. For customers, buying a machine did not necessarily mean getting immediate relief.

Markus Schmitz, a German air conditioning installer, described the change in demand:

Europe is starting to genuinely need cooling. It's no longer a luxury, it's becoming a necessity.

The International Energy Agency predicts that the number of air conditioning units in the European Union will more than double from its 2019 level to reach 275 million by 2050. That forecast points to a substantial market for manufacturers able to provide equipment that households can afford, install and operate.

A Summer Surge Built Across Several Dates

The cooling boom developed through a sequence of product launches, export growth and bursts of hot weather. The main milestones show how manufacturers were preparing for demand before the sharpest summer increases in purchases.

• At the 2024 IFA trade show in Berlin, Hisense unveiled products designed for high energy efficiency and low climate impact.
• From January to May 2025, China's exports increased across household air conditioners, fans and refrigerators.
• In the first half of 2025, Midea, Hisense and Haier recorded strong sales growth in European markets.
• From June, JD.com recorded a sharp increase in air conditioner transactions and customer orders as heat intensified.
• In late June and early July, high temperatures across Europe increased pressure on retailers and installation services.
• In the first half of July, air conditioner purchases multiplied in Jilin, Liaoning and Heilongjiang.
• In late July, Italian electronics retailer Unieuro recorded air conditioner sales at twice the level of a year earlier.

By the end of July, China's customs figures showed European air conditioner exports growing much faster than total exports. The sequence connects a broad manufacturing expansion with specific periods when households urgently needed cooling.

Exports Extend Beyond Air Conditioners

The General Administration of Customs recorded 46.81 billion yuan ($8.4 billion) in air conditioner exports during the first seven months of 2025, an increase of 4.9 percent. Europe accounted for 12.92 billion yuan, up 28.9 percent. Using those yuan figures, Europe represented about 28 percent of the total.

Other export figures cover household air conditioners over the shorter January to May period. Those exports were worth $9.45 billion, up 17.8 percent compared with a year earlier. Fan exports reached $5.65 billion, an increase of 7.1 percent, while refrigerator exports totalled $3.32 billion, up 5.1 percent.

The figures show that demand is spreading across products with different purposes and prices. An air conditioner cools a room, a fan moves air around a person, and a refrigerator keeps food cold. The wider growth gives Chinese manufacturers opportunities beyond the market for equipment permanently installed in homes.

China's extensive manufacturing system supports coordination across the chain of businesses that produce components, assemble appliances and deliver finished products. That scale helps companies compete on price and maintain product quality while responding to changing demand.

Chinese Brands Adapt to European Homes

Midea's European air conditioner sales rose 35 percent in the first half of 2025, including a 68 percent increase in France. Its Solstice model, which uses artificial intelligence to adjust operation and reduce unnecessary energy use by more than 30 percent, has recorded strong sales in Greece, Cyprus, Spain and Italy.

Midea's PortaSplit addresses a different problem: installation. Designed for customers to install themselves, it has sold more than 80,000 units in Germany alone. Easier installation is particularly relevant for renters and people living in older buildings, where fitting conventional equipment can be difficult.

Hisense recorded sales growth of more than 20 percent in Italy during the first half of 2025, while sales doubled in Hungary. The company has focused on appliances that use energy efficiently and meet environmental requirements in Europe.

Gree, which operates in 48 European countries, has reported sustained growth in models using artificial intelligence and energy saving technology. Haier recorded European sales growth of 30 percent compared with a year earlier, with leading positions in Italy and Spain.

The companies are adapting products to local circumstances rather than relying on a single design for every market. Germany's installation difficulties favour equipment such as PortaSplit, while Europe's energy and environmental rules encourage models designed to lower electricity consumption and climate impact.

Feng Xuezhi, general manager of Hisense Europe's air conditioning division, explained the company's approach:

Europe has strict rules when it comes to energy and environmental compliance, which helps distinguish our products. With climate pressures rising, whoever can offer low-carbon, efficient and intelligent solutions will stand out.

Chinese brands are consequently moving beyond competition based mainly on price. Energy use, compliance with environmental rules, intelligent controls and support after a purchase are becoming part of the value offered to customers.

The Cost of Cooling Still Shapes Who Can Buy

A typical air conditioner in Germany costs between 600 and 800 euros, while installation often exceeds 1,500 euros. The installation bill can therefore be larger than the price of the appliance itself, a substantial expense for a household seeking relief during a hot spell.

Renters also need permission from their landlord and may have to remove the unit when they move. Restrictions in historic areas and the design of older buildings add further practical complications.

Berlin electricity prices of about 0.30 to 0.40 euros per kilowatt hour make running costs another concern. A kilowatt hour is a measure of electrical energy used, and the bill increases as equipment runs for longer. Continuous air conditioner use can push summer electricity bills above 200 euros.

Younger families and households with middle incomes are nevertheless driving demand as persistent heat and health concerns change attitudes. Retailers report that air conditioners are selling out faster than ever.

Unieuro, a major Italian electronics retailer, said its air conditioner sales doubled in late July compared with the same period a year earlier. Chinese brands accounted for more than 60 percent of the share, showing how directly the demand surge is benefiting China's manufacturers.

Europe's market still depends on more than factory output. Households must be able to pay for the appliance, secure any required permission, arrange installation and meet the electricity bill. Products that address those practical concerns can reach customers who previously avoided air conditioning.

India Shows How Weather Can Shift Sales

India presents a more mixed picture. Heatwaves have produced spikes in air conditioner sales, but unseasonal rain and changing temperatures have contributed to annual growth falling below expectations.

The contrast with Europe's summer rush shows why demand can be difficult to predict. A period of extreme heat can prompt urgent purchases, while cooler or wetter weather can reduce the immediate need for equipment. Manufacturers and retailers must respond to both patterns.

India's air conditioning industry remains heavily dependent on imports from China for key components. China's role in global cooling therefore extends beyond selling finished appliances: it also supplies parts used by manufacturers in other countries.

Production, logistics and service capacity all matter in this expanding market. The movement of installation teams to northern China illustrates the importance of support after equipment leaves the factory, while India's component dependence shows how closely national industries are connected.

Efficiency Determines the Energy Burden

Chinese manufacturers are investing heavily in research and development as climate change increases the need for cooling. Models using artificial intelligence, smart sensors and refrigerants with lower climate impact are becoming standard features in new air conditioners.

Smart controls and sensors help equipment adjust its operation to conditions, reducing unnecessary energy use. Refrigerants are the substances that allow an air conditioner to move heat out of a room; choosing ones with lower climate impact addresses another part of the environmental cost of cooling.

Hisense's products presented at IFA in Berlin in 2024 focused on high energy efficiency and low climate impact. Midea's Solstice uses artificial intelligence to optimise energy use, while PortaSplit tackles the installation problems faced by renters and people in older homes. These approaches are helping Chinese brands gain recognition and market share in countries with strict environmental standards.

The World Health Organization has warned that heatwaves pose serious health risks. Access to air conditioning can reduce illness and deaths associated with heat, improve productivity and make daily life more comfortable, especially for older people and young children.

Greater use of air conditioning also means greater demand for electricity and concerns about greenhouse gas emissions. Electricity generation and the climate impact of cooling equipment are part of the same challenge: rising temperatures increase the need for cooling, while energy use can contribute to further warming.

Energy saving technology, the integration of renewable electricity and urban planning that reduces heat are therefore important priorities alongside expanding access. For households, more efficient equipment can also make the running costs easier to manage.

Key Points

• China's air conditioner exports reached 46.81 billion yuan in the first seven months of 2025, up 4.9 percent; exports to Europe rose 28.9 percent to 12.92 billion yuan.
• China accounts for nearly 80 percent of global air conditioner production capacity.
• JD.com recorded a rise of more than 800 percent in buyers purchasing their first air conditioner in Jilin, Liaoning and Heilongjiang.
• European heatwaves are increasing demand despite expensive installation, electricity costs and restrictions on building alterations.
• Midea, Hisense, Gree and Haier are expanding through products adapted to local homes, energy requirements and environmental rules.
• India's sales have faced changing weather, while its industry remains heavily dependent on Chinese components.
• Cooling can protect health, but wider use increases the need for efficient equipment and electricity with a lower climate impact.