A fight over sales rankings reveals how Xiaomi is shaking up China’s traditional home appliance industry.
In China, a surprising battle has emerged in the air-conditioner market between Xiaomi and Gree Electric. The story began when Xiaomi appeared to surpass Gree in online sales rankings, sparking a wave of debate on social media. Some reports showed Xiaomi’s share was above Gree’s share in July. However, Gree quickly challenged these numbers, presenting different data that still put it ahead.
The dispute highlights something bigger: Xiaomi’s rapid rise in the home appliance market. Unlike Gree, which has decades of history, Xiaomi only entered the air-conditioner business in 2018. Yet, thanks to its popular product strategy, strong online sales, and cost efficiency, it has become a real challenger to established brands. In its latest quarterly report, Xiaomi announced that air-conditioner shipments exceeded 5.4 million units, a growth of more than 60% compared to the previous year. Xiaomi leaders believe the air-conditioner business will keep growing, with the company aiming for China’s top three by 2025 and top two by 2030.
If Xiaomi continues to grow, it could push traditional giants to lower prices, improve quality, and speed up innovation. This battle is not just about rankings—it’s about the future balance of power in China’s massive home appliance industry.
Important Keywords
Market Share: The percentage of total sales a company holds in a specific industry. In this case, Xiaomi’s share is rising quickly, threatening older rivals.
Supply Chain: The entire process of producing and delivering products. Xiaomi’s dependence on other companies for parts could limit its long-term advantage.