Midea reports ‘explosive’ European AC demand as heatwaves persist

As Europe endures what forecasters have called a historic fourth heatwave of the summer and China experiences a surge in temperatures, demand for air conditioning units has reached unprecedented levels, straining manufacturers and energy systems alike.

Midea Ramps Up Production

Chinese home appliance maker Midea reported receiving 200,000 new European orders within a single month at its factories in Wuhu and Guangzhou, describing demand as "explosive" in a statement on the Shenzhen Stock Exchange's investor platform. Since June, the company received 160,000 orders for its U-shaped PortaSplit model, a portable air conditioner designed to sidestep European regulations that restrict exterior-wall modifications in historic buildings. To keep pace, Midea opened a new production line at its Wuhu factory on July 7, manufactured 20,000 units in three and a half days, and shipped the first batch to France within a week.scmp

The broader trend is striking. According to Reuters, Asia's air-conditioning makers have been capitalizing on Europe's record heat since late May. The World Meteorological Organization confirmed that June 2026 was the hottest June on record for western Europe, and the New York Times reported that parts of the continent were forecast to exceed 40°C again in late July.reuters+2

Energy Systems Under Pressure

The cooling boom is reverberating through energy markets. In China, thermal coal spot prices in Qinhuangdao reached 822 yuan a ton on Monday, rebounding from a low of 797 yuan on July 13 as hotter weather boosted air-conditioner usage and power demand, according to Bloomberg. The China Coal Transportation and Distribution Association warned that prices could rise further as intense heat grips much of the nation.bloomberg

In Switzerland, cooling now accounts for 10.9% of electricity consumption, surpassing heating's 10.5% share, according to the Federal Office of Energy. Sales of portable air conditioners by Swiss retailer Galaxus rose 38% in June over the previous year.swissinfo

A Global Reckoning

Cooling residential and commercial buildings is now the fastest-growing segment of energy consumption worldwide, according to the International Energy Agency. Global electricity demand for indoor cooling more than doubled between 2000 and 2022, reaching about 2,900 TWh, and is projected to increase by a further 1,600 TWh by 2035 — equivalent to the current annual electricity demand of Japan and South Korea combined. Europe, the fastest-warming continent, has recorded a 115% increase in cooling degree days between 1990 and 2025.swissinfo

"Cooling is becoming an increasingly important challenge for both buildings and the electricity system," said Urs-Peter Menti, professor at the Lucerne University of Applied Sciences and Arts. The paradox at the heart of the crisis remains unresolved: the technology that protects people from climate-driven heat also worsens the warming that makes it necessary.swissinfo