Seoul/BeijingReuters —
As Europe sweats with record temperatures, sales are booming for Asian air conditioner makers such as South Korea’s Samsung Electronics, China’s Midea and Japan’s Mitsubishi Electric.
Air conditioning is common in buildings, transport and homes in major Asian cities, but rare in Europe, where people struggle to stay cool as scorching heat kills people and power cuts and schools close.
With warnings that heatwaves could intensify in some countries, people and businesses across Europe are stocking up on portable and fixed air conditioners in search of a respite from the hot and humid weather.
“With temperatures expected to rise further from June onwards, we expect demand to continue through the peak cooling season,” Samsung Electronics said in a statement to Reuters. It added that key markets such as Italy, Spain and France recorded double-digit sales growth in the first half of this year.
Rival LG Electronics said its air conditioner production line at one of its facilities in South Korea has been running at full capacity since April ahead of “summer seasonal demand across South Korean and global markets.”
This is a similar story for Midea in China. Midea is experiencing a rapid increase in demand for PortaSplit’s air conditioners, and the company says that orders are so strong that used prices exceed new prices.
“The heat wave during the last two weeks of May led to a significant increase in sales, especially for PortaSplit air conditioners, which were sold out in some channels,” Midea said.
In May, sales through German e-commerce channels increased by about 37% year-on-year, while shipments in Spain and France increased by 108% year-on-year.
The huge demand for cooling equipment highlights a shift in consumer behavior in Europe as countries grapple with severe climate change.
However, in Europe, where buildings are older, air conditioning can be expensive and complicated to install, often requiring long wait times for installation.
Midea said the cost of installing an air conditioner in Europe can cost more than $1,137 (€1,000), putting it out of reach for many households.
According to the International Energy Agency, the total ownership of air conditioners in Europe is around 20%.
As temperatures rise, countries with well-known air conditioner brands, such as China, Japan and South Korea, are sure to benefit. The scorching heat has made life difficult to endure, especially for the elderly and people with chronic illnesses who struggle to stay cool.
Companies are also taking steps to protect workers, including equipping delivery workers with “cooler boxes” containing reusable cooling towels, water-operated wrist coolers and UV-protective neck guards.
Japan’s Mitsubishi Electric also says demand for air conditioners from Europe is rapidly increasing, and the World Meteorological Organization says Europe is warming more than twice as fast as the global average.
“Sales of air conditioners are strong in Europe, particularly in heatwave-hit France, Spain, the UK and Germany,” the company told Reuters.
