iPhone sales in China drop by about 20%: What is the reason?

Apple's smartphone sales in China fell by almost a fifth in the first quarter of 2024. This is stated in the quarterly report of Counterpoint Research analytical company. In addition, due to the decrease in demand for the iPhone in the Chinese market, the price of the tablet has decreased by about 25 percent since its release.

In the Chinese market, iPhone sales decreased by 19.1%, and Apple's share decreased from 19.7% to 15.7%. The American brand was followed by Oppo and Vivo, which also recorded a decline in sales by 15.5% and 0.4%, respectively.

In the first quarter of 2024, the biggest increase was recorded by the Chinese Huawei, 69.7%. Moreover, these data are provided before the release of the flagship Huawei Pura 70 series of smartphones, which, according to all, is quite popular in China. Honor (11.5%) and Xiaomi (8.6%) also recorded positive sales dynamics.

Ethan Kee, deputy director of Counterpoint Research, highlighted the recovery of the Chinese smartphone market, noting that there was a 4.6% increase in sales compared to the last quarter of 2023. According to him, this is due to the discounts offered during the Chinese New Year celebrations.

The company's senior analyst Mengmen Zhang, for his part, noted that Chinese brands have strengthened their positions thanks to new budget products that are popular among migrant workers returning home on vacation.

The attractiveness of the iPhone in the Chinese market is gradually declining, which is why Apple and third-party stores continue to reduce prices․ Since 2024, prices for iPhone 15 series smartphones have been lowered several times. The current price of the standard version of the iPhone 15 with 128GB of flash storage has dropped to $620 in China, while the starting price was around $830. This menas that in the seven months since the release of the iPhone 15 in China, the price has already fallen by 25%.