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Apple's China sales dip 2.1% YoY; Huawei dominates local competition

  • By Al Mayadeen English
  • Source: Agencies
  • 28 Jan 2024 16:44
  • 2 Shares
2 Min Read

Despite facing significant setbacks due to US sanctions impacting its smartphone sales, Huawei successfully rebounded last year.

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  • People visit an Apple Store to try out the latest iPhone 15 handsets, which have started its sale this week, at an outdoor shopping mall in Beijing, Sunday, Sept. 24, 2023. (AP)
    People visit an Apple Store to try out the latest iPhone 15 handsets, which have started its sale this week, at an outdoor shopping mall in Beijing, Sunday, Sept. 24, 2023 (AP)

Recent data from the International Data Corporation (IDC) showed that Apple experienced a 2.1% year-on-year slump in smartphone sales in China in the fourth quarter of 2023. Experts say this dip is attributed to heightened competition from local brands, with Huawei leading the way.

The decline points out to challenges Apple is faced with in its third-largest market. In response to restrictions imposed by the US on Chinese apps for security reasons, certain Chinese companies and government entities have prohibited the use of Apple devices.

Despite facing significant setbacks due to US sanctions impacting its smartphone sales, Huawei successfully rebounded last year. According to IDC figures, the tech giant experienced an impressive 36.2% surge in the final quarter of 2023.

Read more: Apple's iPhone 15 shows US does not understand own tech war on China

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During that timeframe, Huawei ascended to the position of the fourth-largest smartphone vendor in China, securing a market share of 13.9%, a notable increase from the 10.3% recorded in the corresponding quarter of the previous year.

Nevertheless, over the entire year, Apple surpassed Vivo to claim the title of the leading smartphone vendor in China, securing a significant 17.3% market share.

However, analysts foresee heightened pressure on Apple's sales in 2024. As per IDC, the US tech giant's standing in China has suffered from the competition posed by rival products and the limited upgrades to Apple's offerings. This has diminished the overall appeal of iPhones in the market.

Earlier this month, analysts at Jefferies Financial Group foresaw a potential double-digit decline in iPhone sales in China for the current year. Meanwhile, Huawei is expected to bolster its market position, with sales projected to surge to approximately 64 million units in 2024. This represents a significant increase from the estimated fewer than 35 million units sold in 2023.

Read more: Microsoft's valuation surpasses Apple's in two-year first

  • Tech industry
  • iPhone
  • China
  • Apple
  • Huawei

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