Foreign smartphone shipments to China drop 47.4% in Nov 2024

• Published On: 04 January 2025 at 18:40

Shipments of foreign-branded smartphones, including Apple Inc.'s iPhone, to China fell 47.4% in November compared to the same period last year, according to data released Friday by the China Academy of Information and Communications Technology.

This is the fourth consecutive month of declines for foreign brands in the world's largest smartphone market.

According to the research, foreign smartphone shipments fell to 3.04 million units in November, down from 5.77 million in November 2023. This follows a 44.25% year-on-year drop in October, which continues the Chinese market's downward trend.

Apple, the leading foreign smartphone brand in China, is facing challenges from a slowing economy and increased competition from domestic companies such as Huawei.

The drop in foreign smartphone shipments coincides with a broader decline in Chinese consumer spending. In November, Chinese consumer prices dropped to their lowest level in five months, raising concerns about deflation and economic uncertainty.

In response to declining sales, Apple launched an unusual four-day promotion in China on Thursday, offering up to 500 yuan ($68.50) off its flagship models. This move is viewed as an attempt to boost sales in the face of increasing competition from local businesses.

Huawei, in particular, has emerged as a formidable competitor, particularly since its return to the premium smartphone segment in August 2023, powered by domestically produced chipsets. In the second quarter of 2024, Apple briefly dropped out of China's top five smartphone vendors, but recovered in the third quarter. Despite this, Apple's sales in China fell 0.3% year on year in the third quarter, while Huawei's sales increased 42%, according to IDC.

In total, shipments of smartphones within China, including domestic brands, fell 5.1% year on year in November, totalling 29.61 million units.