Figures from International Data Corporation (IDC) released this week show that Apple’s smartphone sales in China declined by 2.1% year-on-year in the last quarter of last year. This drop highlights the challenges Apple faces in its third-largest market, where certain Chinese companies and government agencies have barred the use of its devices in response to U.S. restrictions on Chinese apps for what they described as security reasons.
Despite being heavily impacted by U.S. sanctions, Huawei has made a comeback, posting a 36.2% increase in the last quarter of 2023, according to IDC's data. Huawei became the fourth largest smartphone vendor in China during this period, with a market share of 13.9%, up from 10.3% in the same quarter of the previous year. Throughout the entire year, Apple outperformed Vivo to become the largest smartphone vendor in China, claiming a market share of 17.3%.
However, analysts expect increased pressure on Apple’s sales in 2024. According to IDC, the presence of the U.S. tech giant in China has been affected by competitive products and limited product updates from Apple, reducing the overall appeal of iPhones. Earlier this month, analysts from the Jefferies Financial Group predicted that iPhone sales in China could experience a double-digit decline this year, while Huawei is expected to strengthen its market presence with significantly rising sales in 2024.
