(Yicai) April 25 -- Chinese electromechanical companies are doubling down on product innovation and diversifying their sales channels to overcome new export risks, Yicai learned at the China Import and Export Fair, also known as the Canton Fair.

Although exports to the United States are currently facing challenges, Chengkang Machinery & Electrical Product Manufacture, a maker of car polishers and other electric tools, "has found its footing in domestic sales," General Manager Yu Qian told Yicai at the biannual fair in Guangzhou, which runs until May 5. "The Chinese market is vast, and we are also developing our own brand."

Investment in product innovation is also starting to show results. Buyers no longer focus solely on bargaining but are discussing product customization opportunities, according to Yu.

An Argentine buyer who visited Chengkang's booth to view its components proposed a collaboration to develop an electric tool for the livestock industry. Chengkang is capable of developing a product that meets the customer's requirements within two to three months, which aligns perfectly with the company’s goal of expanding into emerging markets, Yu said.

Zhao Qingping, head of overseas sales at Lera New Energy Power Technology, a producer of gardening and landscaping tools, noted that despite challenges with US exports and increasing competition in the European market, the company has still seen notable success this year in expanding its innovative products in Europe.

For example, Lera's next-generation lawnmower is designed for easy user assembly. Additionally, the machine, which features an interface similar to a gaming console, can automatically adjust cutting height and propulsion speed—features that have greatly appealed to European customers, Zhao explained.

Just three months after its launch, the lawnmower was already available in over 400 stores across seven European countries, despite its high retail price of EUR349 (USD396). "Using innovative products to explore the market is still quite effective," Zhao said.

Lera's outdoor products, including lawnmowers, electric campers, and portable refrigerators, all use a unified battery platform. The self-developed lithium batteries can be charged using solar energy, creating a product ecosystem that promotes renewable energy, Zhao added.

Emerging Markets

Exhibitors are actively exploring domestic and emerging markets to stabilize business growth.

"Product innovation and diversifying global sales channels are our responses to the threat of tariffs," Zhao said. 

Lera is currently selling its branded products, including lawnmowers, directly to overseas consumers through Amazon, its own website, and niche e-commerce platforms. Additionally, it is actively expanding into emerging markets, including Brazil, Russia, Ukraine, and the five Central Asian countries.

"There is no market without risks; the key is to stay calm and focus on product quality and innovation. As long as we do this, we will be able to find our own market space," Zhao stated.

Meanwhile, Chengkang plans to open stores on major e-commerce platforms to sell a variety of products directly to domestic and international consumers, including automotive products, lithium batteries, and small gardening tools, according to GM Yu. The company has also conducted market research in emerging markets such as Russia, Kazakhstan, and Thailand.

In response to uncertainties surrounding tariffs, Nanping Nanfu Battery is actively exploring new demand in Europe and emerging markets, according to Chen Yumei, export business manager. In recent years, the European Union has mandated that all batteries used in electrical appliances must be removable, which presents a new market opportunity for the maker of alkaline and rechargeable batteries, Chen added.

Nanfu exported 1.6 billion alkaline batteries last year, roughly the same as its domestic shipments. Exports are expected to continue growing this year, prompting the company to consider adding two production lines in June. The goal is to sell batteries worldwide and strengthen the company’s own brand overseas, Chen stated.

Editors: Tang Shihua, Emmi Laine