2026 AWE Concludes: How to Expand Consumer Electronics Consumption Amid the AI Boom?

Cover Photo | Photo by First Financial Journalist Ren Yuming

“Everyone’s talking about AI, and no one listens to traditional home appliances anymore,” was a genuine remark overheard by First Financial journalist while navigating the 2026 AWE (China Home Appliances and Consumer Electronics Expo).

This year’s AWE, which concluded on March 15, is the least like a traditional home appliance exhibition. New “species” such as household service robots, 3D printers for home use, AI cooking glasses, and AI mobile air conditioning robots kept visitors busy.

Meanwhile, research firms predict that China’s home appliance market will still face growth pressures this year. How AI appliances can become more “grounded” and truly stimulate demand has become a hot topic at this year’s AWE.

Market Pressure, AI as the Breakthrough

“Home appliances + AI” and “home appliances + robots” have become a trend at this year’s AWE, with more applications in real scenarios. Haier launched multiple household service robots, combined AI large models for ingredients, and introduced smart refrigerators capable of cell-level defrosting; Midea partnered with HarmonyOS to release smart air purifiers that activate fresh air when CO2 levels are high; Chaoji launched vacuum cleaners with secondary bionic robotic arms and edge-cleaning arms; MOVA introduced AI mobile air conditioning robots.

User feedback on pain points has become a source of inspiration for iterative development of smart appliances. Zhou YunJie, Chairman and CEO of Haier Group, revealed that he received over 9,000 product development suggestions via social media in a year, with 17 turning into project approvals. This year, Haier upgraded its AI Eye smart appliance series and launched products like the “Gentle Breeze” air conditioner for families with children, smart appliances for seniors, and smart devices for tea drinkers.

Photograph by First Financial Journalist Ren Yuming

“The home appliance industry has undergone profound changes, shifting from manufacturer-led and channel-led to user-led,” said He Jinming, Vice President of AVC, to First Financial. Influenced by factors like real estate, China’s home appliance (excluding 3C) omnichannel retail sales reached 893.1 billion yuan in 2025, down 4.3% year-on-year. Last year, retail sales of split-type household air conditioners were 235.7 billion yuan, a slight decrease of 0.4%, with average retail price dropping to 3,099 yuan. It is expected that this year, retail sales will be 219.5 billion yuan, down 6.9%. China’s TV sales last year fell to 27.63 million units.

AI appliances are a key growth direction. Li Wei, President of Hisense Visual, told reporters that Hisense is integrating AI picture quality chips and LED technology to promote RGB-Mini LED TVs and accelerate their adoption. They are also exploring multi-format, multi-scenario products, including AI glasses capable of displaying 100-inch screens, as well as curved laser cinemas and tri-color laser projectors.

Gree announced at this AWE that it will cooperate with JD.com to sell 10 million AI air conditioners over the next three years. Over the past year, Gree has opened more than 1,000 “Dong Mingzhu Healthy Home” stores nationwide, expanding its whole-house smart appliance business, with non-air-conditioner product sales accounting for over 40%. Gree is also working with Meituan Flash Purchase to promote half-day delivery and installation services.

Foreign brands remain optimistic about the Chinese market and opportunities in AI appliances. Masayuki Nakanishi, CSO and President of Northeast Asia at Panasonic, told First Financial that from April 1, Panasonic officially established a new company with departments for major appliances, small appliances, and AVC products. The Northeast Asia division is the only regional organization under the new Panasonic, with cross-business coordination functions. With over 1.4 billion people and more than 800 million middle-income consumers in China, opportunities for goods and services are expanding. There is strong demand in health, eldercare, culture, and tourism, with significant room for consumption upgrades. Panasonic sees vast potential for expanding its business.

“We are expanding the application of AI technology in our products,” Nakanishi said. Panasonic’s strategy in China has shifted from “In China, For China” to “In China, For the World.” At this AWE, Panasonic invited not only Chinese distributors but also sales companies from Japan and other Asian regions, preparing to promote its AI home appliances developed in China internationally. Within three years, the revenue share of Panasonic’s home appliances in the Northeast Asia market (excluding China and Japan) is expected to double to 20%.

Photograph by First Financial Journalist Wang Zhen

AI Reshaping Products, Channels, and the Industry Landscape

Currently, AI-powered smart home appliances are accelerating their penetration in China. The general technical standards for smart household appliances will be implemented starting this May, further promoting adoption.

According to AVC data, by 2025, the sales share of far-field voice-controlled TVs in China reached 86.8%, with AI large-model TVs accounting for 38.1%. “Today’s TVs can recognize and analyze the preferences of different family members through large models to push more suitable content and proactively serve users,” said Ong Zhenhua, Assistant President of AVC and General Manager of Consumer Electronics. He emphasized that AI chips, as the “brain,” have become a focus for TV brands, and smarter, more convenient interactions and scene-appropriate features are key to future AI TV demand.

In white goods, by 2025, the penetration rate of comfortable wind-sensing smart air conditioners in China’s home air conditioner market has reached 26% online and 23% offline; smart voice-enabled wall-mounted and cabinet air conditioners have penetration rates of 10.1% and 8%, respectively; precision temperature control and energy-saving optimized smart refrigerators have an online penetration of 57.35%. “AI is reconstructing the entire home appliance industry chain,” said He Jinming. Upgrades for AI air conditioners include energy efficiency, comfortable airflow, voice control, and healthy air. “To popularize AI appliances, first, the value must be genuine; second, channels must be deepened. Online and offline integration provides a better experience.”

Balancing differentiation, practicality, and cost is a challenge for manufacturers developing AI products. Cold Ling, President of Tineco, said that the penetration of floor scrubbers in China is still relatively low. They focus on solving real problems rather than gimmicks, such as reducing the size of the scrubber’s workspace, making it easier to install, and offering foldable models that can be one-click folded, allowing users to clean under tables and chairs without bending over. Lu Haihua, a relevant executive at Whirlpool China, also emphasized a pragmatic approach, focusing on 12kg+ capacity smart front-load washers, as Chinese homes tend to be larger and will need better appliances over time.

New entrants often attract attention with “new species.” MOVA’s air conditioner manager Yang Xiangwen said that AI mobile air conditioning robots, which incorporate laser radar and other technologies to record user habits and provide proactive services, will first be launched in high-cost markets like Europe and North America. They plan to expand into other air conditioning products and markets. First Financial noted that this AWE attracted more foreign exhibitors from Korea, Europe, and other regions, all eager to showcase Chinese innovations.

“Will the lively AWE spark ripples of AI in the stable domestic home appliance market? Amid global turbulence, resilient Chinese products are increasingly expected to benefit from AI,” said an industry veteran. “Home appliances are getting closer to AI, and the only barrier seems to be a ‘pane of glass’ from consumers’ pain points.” However, AI should not just be a marketing gimmick but a genuine driver for consumers to upgrade. “Looking forward to more AI entering homes, bringing a new wave of rapid growth to China’s home appliance market.”