CITIC Securities: Outlook for 2026 - Three structural opportunities to focus on in the emerging home appliance and smart hardware sectors.

The report from CITIC Securities indicates that during the Spring Festival, the restructuring of the US tariff system led to a decrease in the overall comprehensive tax rate, which is beneficial for the household electrical appliance industry as a whole, but the degree of benefit varies among different product categories. Looking ahead to 2026, CITIC Securities believes that overseas demand is more resilient than domestic demand, and the competitive landscape is expected to marginally improve. The pressure on copper prices can be effectively offset by the basic price increase in the industry, and the industry fundamentals are solid and stable. In the emerging household appliances and smart hardware sectors, it is recommended to focus on three structural opportunities: AI-powered intelligent equipment, consumer-grade 3D printing, and AI NAS. The commercialization process of related tracks is accelerating. In the traditional household appliances sector, two main themes worth paying attention to are the overflow of manufacturing capabilities and the increased allocation of insurance capital.