Apple Faces Increasing Challenges in China as Foreign Smartphone Sales Decline for the Fourth Consecutive Month.
Shipments of foreign-branded smartphones, like Apple’s iPhone, to China dropped by 47.4% in November compared to the same month last year, as reported by a government-linked research firm on Friday. This marks the fourth consecutive month of decline.
Data from the China Academy of Information and Communications Technology (CAICT) revealed that shipments of foreign brands fell to 3.04 million units, down from 5.769 million units a year ago.
This decline follows a 44.25% drop in October, continuing a downward trend in the largest smartphone market globally.
Apple, the leading foreign smartphone brand in China, is grappling with a slowing economy and stiff competition from local players like Huawei.
In November, Chinese consumer prices hit their lowest point in five months, driven by economic uncertainty and deflation worries that are affecting household spending.
To counter its shrinking market share, Apple kicked off a rare four-day sale in China on Thursday, slashing prices by up to 500 yuan ($68.50) on its top models to encourage sales.
Huawei has positioned itself as a formidable competitor since re-entering the premium market in August 2023 with its own chipsets.
Apple briefly dropped out of the top five smartphone vendors in China during the second quarter of 2024 but bounced back in the third quarter. However, the company still saw a 0.3% decline in smartphone sales in China year-on-year during that period, while Huawei's sales surged by 42%, according to IDC.
Overall, phone shipments in China, including domestic brands, fell by 5.1% year-on-year in November, totaling 29.61 million devices.