Competition in the home appliances market is heating up over the Golden Week holiday as local TV makers battle foreign competitors.

Thanks to sales promotions, LCD TVs are top sellers over the Golden Week holiday. But unlike previous years, this year's May Day holiday price war was sparked by overseas brands.

"TV makers are lowering prices in hope of gaining a greater market share. Overseas brands like Samsung and Sony have knocked their prices down between 1,500 and 2,000 yuan, " says head, GOME Beijing, Anzhen Branch.

The May Day holiday is always TV makers' favorite season. They say sales during this week can reach nearly 20 percent of total annual sales. To compete with cheaper domestic brands, overseas TV makers have slashed prices to similar levels. And Chinese TV makers are feeling the heat.

"We feel under pressure now. Since last October, joint ventures have reduced their LCD TV prices to the same level as domestic brands, says client manager Huang Hui, Changhong Beijing branch.

Insiders say falling prices mean foreign companies' LCD TV market share has nearly doubled to 60 percent.

In response, domestic brands are introducing new products to lure customers. Super screen LCD TVs and TVs with air-purifying functions have hit the shelves recently. But for customers, tough competition means only lower prices.