Inefficient Air-Cons are Being Dumped in Southeast Asia

Most air-cons that Southeast Asians are buying are inefficient energy guzzlers, recent research has found. They may also be obsolete in the countries that are exporting them, according to a report by non-governmental organisation CLASP, which focuses on research and promotion of appliance efficiency and energy access.

Some of the appliances also contain refrigerants with high global warming potential, which contribute to climate change, strain national energy grids, and burden consumers with higher energy bills.

What is a Dumped Air-Conditioner?

Dumped air-cons refer to those produced by various brands that do not meet the minimum energy performance standards (MEPS) in the brands’ own domestic markets. They end up being exported to places with less stringent standards.

In its study published in September, CLASP examined the sale of inefficient room air-cons in Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam. It found that out of 8.3 million units sold in the 6 countries in 2021, nearly 3 in 4, or 6.2 million units, were of low efficiency.

Indonesia and the Philippines were the most exposed to dated technology, with 97% and 78% of room air-cons sold in the 2 countries respectively deemed inefficient. The figure in Malaysia, Thailand and Vietnam was around 60%. In Singapore, 21% of total sales were low-efficiency models.

CLASP’s report showed if all 6 countries in its study disallowed dumping, they would cut more than 1 billion metric tons of carbon dioxide over 25 years and save US$148 billion for consumers.

Who’s Dumping?

Most brands supplying inefficient air-cons to Southeast Asia are multinational firms headquartered in China, South Korea, Japan and the United States. Most of these air-cons sold in Southeast Asia are also produced in the region. 

Just under 30% of the inefficient air-cons were imported from outside Southeast Asia. The bulk of these were from China, of which about 93 per cent did not meet China’s efficiency requirements.

Some 59% of exports from South Korea to Southeast Asia did not meet the requirements there, and 21% of air-cons exported from Japan were below the brands’ home-country requirements.

Source: Channel News Asia (18 November 2023)