China’s Home Appliance Exports to US to Rebound After Trade Truce, Experts Say
Wang Zhen
DATE:  May 13 2025
/ SOURCE:  Yicai
China’s Home Appliance Exports to US to Rebound After Trade Truce, Experts Say China’s Home Appliance Exports to US to Rebound After Trade Truce, Experts Say

(Yicai) May 13 -- China’s exports of home appliances to the United States will likely bounce back after the pair agreed to temporarily suspend most tariffs on each other's goods, but future uncertainties still require strategic and long-term planning, according to experts.

Following weekend trade talks in Geneva, the US agreed to lower its tariffs on Chinese imports by 91 percent and China agreed to cancel 91 percent of its retaliatory tariffs on US goods for 90 days, a Chinese commerce ministry spokesperson announced yesterday.

In response to the US' 34 percent reciprocal tariff, China will also suspend 24 percent of its retaliatory tariffs for 90 days while maintaining the remaining 10 percent duty and suspend or cancel non-tariff retaliatory measures against the US, the official added.

Coming after the recent period of steep tariffs, shipments of most China-made household appliances will now likely resume, Wang Jianguo, vice president of Midea Group, one of the country’s biggest appliance manufacturers, told Yicai.

"The news broke while US clients were still asleep, so we expect them to confirm orders in the coming days,” said Wang, who is also president of Foshan-based Midea’s smart home division.

Cargo space on shipping routes from China to the US may become tight, as many shipping lines have suspended operations, Wang noted, adding that during this tariff adjustment period, most Chinese home appliance exports to the US are still subject to 55 percent tariff rate.

“US clients are already taking action," said Zhu Xiaomei, executive VP and chief marketing officer for overseas markets at Xinbao Electrical Appliances Holdings, which makes electric kettles and toasters among other small household appliances. The company, also headquartered in Foshan, is now arranging shipments to the US, Zhu told Yicai.

Luckyway Home Appliances, which mainly exports electric fans, expects to soon receive word from US clients following the progress in US-China trade talks, according to General Manager Li Mingyang. Around 40 containers of fans, held back due to a US border tax exceeding 100 percent, are now set to be shipped, Li pointed out.

The joint statement on their economic and trade meeting in Geneva that China and the US released yesterday is a short-term boon for bilateral trade, with tariffs significantly lower than before, an industry expert said to Yicai. 

According to another specialist, companies should quickly contact their US clients to maximize shipments and prepare for the long-term complexities of US-China trade.

The lower tariffs are undoubtedly positive, said Zhou Qiqun, managing director of Ipsos China's Electronics and Technology Research Institute. However, US retailers are likely to urgently stock up over the 90 days due to significant uncertainty once the period passes, so Chinese firms should seize this opportunity while maintaining flexibility to prepare for potential disruptions, he noted.

The US lowered its so-called reciprocal tariffs on Chinese goods to 10 percent, aligning with rates for other countries, but two 10 percent fentanyl-related duties remain in place, and there is no executive order indicating the cancellation of Section 301 tariffs, one expert pointed out.

The baseline tariff for Chinese goods exported to the US is 30 percent, with additional industry-specific tariffs, the expert said. For example, the border tax on air conditioners is 55 percent, comprising 25 percent from Section 301, 20 percent from fentanyl tariffs, and 10 percent from the new "reciprocal tariffs," the person pointed out.

Editor: Martin Kadiev

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Keywords:   tariff,household appliance,export