Global Sources Ltd., a global trade media company, reported that Chinese appliance makers are increasing output in expectation of a 30-percent export increase by the end of the year, according to the company's Global Sources Market Intelligence Report -- Small Kitchen Appliances: Supplier Capability in China.
Out of 93 manufacturers profiled in the report, more than 90 percent indicated they plan to increase output by between 10 and 50 percent before the end of 2004. According to the report, fueling this increase is the rapid demand for small kitchen appliances from developing Asian nations together with continuing demand from developed markets, including Western Europe and the U.S. Overall export sales are expected to increase from U.S. $3.7 billion in 2003 to $4.8 billion in 2004.
Further findings indicate China's kitchen appliance production sector is shifting from intense price competition to a contest of technology and design. An increasing number of suppliers are coordinating with European design firms to develop new products. Also, about 40 percent of suppliers surveyed in the report expect to increase their prices within the next 12 months, while 4 percent plan to reduce their price quotes.
to Daily News