HK Stock Market Move | Household appliance stocks are rising across the board as the policy of replacing old appliances with new ones has been introduced after 26 years, which is expected to boost household appliance consumption.

Household appliance stocks are all on the rise. As of the time of writing, SKYWORTH GROUP (00751) has risen by 10.45% to HK$5.18; Midea Group Co., Ltd (00300) has risen by 5% to HK$89.2; HAIER SMARTHOME (06690) has risen by 4.2% to HK$25.3; and Hisense Home Appliances Group (00921) has risen by 2.33% to HK$23.72. On the news front, the National Development and Reform Commission and the Ministry of Finance jointly announced the "Notice on the Implementation of Large-scale Equipment Renewal and Old-for-New Policy in 2026" on December 30th. Orient believes that the short-term pressure on sales is expected to improve after the subsidy funds are in place in the first quarter of 2026; considering the overdraft effect of subsidies, domestic sales will gradually enter the post-subsidy era in 2026, and it is recommended to actively select leading companies with positive dividend repurchase guidance and stable operations. Guotou Securities released a research report stating that looking forward to 2026, in terms of domestic sales, the household appliance old-for-new policy will continue as scheduled, with the new policy optimizing the support scope, subsidy standards, and implementation mechanism. We expect domestic household appliance consumption to maintain a stable performance, with white goods and brown goods companies with advantages in research and development, channels, and brands benefiting more from the new policy; in terms of exports, the easing of trade tensions between China and the US is expected to reduce tariff pressures, and household appliance companies' global production capacity will gradually be released, with emerging markets continuing to contribute incremental growth.