iPhone sales in China continue to fall

In recent years, Apple has faced declining iPhone sales in China, a market that has historically been critical to the tech giant's global revenues.

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According to UBS, iPhone sales in February were down 4 per cent year-on-year. The company shipped just 17.4 million units worldwide, down from 18.1 million units in February 2023.

Counterpoint analysts noted a marked change in the Chinese smartphone market, where Apple experienced a 24% sales decline in the first six weeks of 2024 compared to the same period the previous year. This decline was attributed to the market share gains of local smartphone brands such as Huawei, Xiaomi, Vivo and OPPO.

The UBS report showed a 16 per cent year-on-year decline in iPhone sales in China, reflecting the increasing dominance of local brands and the challenges Apple faces in maintaining its market share. iPhone sales in the Indian market were also down 13 per cent year-on-year.

The Chinese market is important to Apple, as 20 per cent of global sales over the past decade have come from China. By comparison, Apple's long-time rival in China, Huawei, has now seen its handset sales grow by 64%.

Rising consumer preferences and the growing popularity of local brands pose challenges that Apple must address through innovative products, strategic partnerships and targeted marketing initiatives. The company's ability to effectively respond to the changing market dynamics in China will be critical in determining its future success and market position in the region.

Source: MyDrivers