Dual Demand Surge at Home and Abroad: China’s Smart Lock Brands Enter a New Growth Phase

Date: July 1, 2022

In recent years, despite recurring global pandemic challenges, China’s smart lock industry has continued to grow rapidly, attracting an increasing number of brands. Major traditional lock manufacturers, home appliance giants, and internet tech enterprises have all entered the market, intensifying competition. To gain consumer trust, brands are prioritizing product upgrades with a focus on safety, convenience, and intelligence.

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Market Growth and Emerging Trends

According to AVC (All View Cloud), the total smart lock sales volume in China is projected to exceed 22 million units in 2022, hitting a new record. Notably, smart locks with 3D facial recognition are expected to reach a 10% market share, becoming a key trend for future product development.

However, growth in China’s C-end (consumer-facing) market has begun to slow, with price-driven competition and new brand influx leading to intense market pressure. In April 2022, China's online household smart lock sales reached 318,000 units, a 14.4% year-on-year increase, but sales share of top 10 brands declined while emerging players gained ground.

Challenges and Structural Gaps

Despite growing demand, the smart lock market faces several bottlenecks:

  • Wide pricing discrepancies (up to 10x difference between brands)
  • Low product penetration beyond younger user groups
  • Lack of industry-leading brands and unified technical standards

These issues hinder broader market acceptance and long-term growth, though improvements are gradually underway.

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Global Outlook and Export Momentum

Data from RUNTO shows that in 2021, China’s smart lock market reached 16.95 million units, with a penetration rate of around 20%, far behind Japan (80%), South Korea (60%), and the U.S. (25%). The Chinese market is still in its early development phase, but exports are becoming a new growth channel for local brands.

According to MarketsandMarkets, the U.S. smart lock market is valued at USD 2.1 billion in 2022, with the global market expected to reach USD 8 billion by 2026, presenting significant international opportunities for Chinese manufacturers.

Conclusion

Despite existing challenges, Chinese smart lock companies are making notable progress in technology, supply chain integration, and brand building. As domestic giants like Huawei enter the space, and new players emerge, the industry is entering a new phase of accelerated development. With rising demand both domestically and internationally, smart lock brands are poised to capitalize on a vast and still largely untapped market.

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