Shipments of foreign-branded smartphones, including Apple Inc.’s iPhone, to China dropped by 47.4% in November compared to the same period last year, according to data released on Friday by the China Academy of Information and Communications Technology.
This marks the fourth consecutive month of decline for foreign brands in the world’s largest smartphone market.
The research showed that shipments of foreign smartphones fell to 3.04 million units in November, down from 5.77 million units in November 2023. This follows a 44.25% year-on-year drop in October, continuing a downward trend in the Chinese market.
Apple, the leading foreign smartphone brand in China, is facing challenges from a slowing economy and intensifying competition from domestic companies like Huawei.
The drop in foreign smartphone shipments coincides with a broader downturn in consumer spending in China. In November, Chinese consumer prices fell to their lowest level in five months, sparking concerns over deflation and economic uncertainty.
In response to declining sales, Apple launched an unusual four-day promotion in China on Thursday, offering discounts of up to 500 yuan ($68.50) on its flagship models. This move is seen as an attempt to boost sales amid the growing pressure from local competitors.
Huawei, in particular, has emerged as a formidable rival, especially after its return to the premium smartphone segment in August 2023, powered by its domestically produced chipsets. In the second quarter of 2024, Apple briefly fell out of China’s top five smartphone vendors, but managed to recover in the third quarter. Despite this, Apple’s sales in China still dropped by 0.3% year-on-year in the third quarter, while Huawei saw a 42% increase in its sales, according to research firm IDC.
In total, shipments of smartphones within China, including domestic brands, fell by 5.1% year-on-year in November, amounting to 29.61 million handsets.
