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The
decline underscores the difficulties the U.S. tech giant faces
in its third-largest market.
Huawei's smartphone shipments surged 41% year-on-year in the the
quarter, bolstered by the launch of its new Pura 70 series in
April.
The Canalys data, while not providing specific shipment figures
for Apple, showed that the company's market share in China
dropped to 14% in the second quarter of 2024, a decrease from
16% in the same quarter of 2023.
As a result of this decline, Apple's ranking in the Chinese
smartphone market fell from third to sixth place.
Overall, China's smartphone shipments rose by 10% in the
quarter, Canalys said. Vivo was the top vendor with a share of
19%, followed by Oppo, Honor and Huawei with 16%, 15% and 15%
respectively.
"Domestic manufacturers have demonstrated market leadership,
occupying the top five positions in the mainland Chinese market
for the first time in history," said Lucas Zhong, research
analyst at Canalys.
"On the other hand, Apple faces growth pressure in the Chinese
market and is actively focusing on optimizing channel
management."
Huawei made a comeback to the high-end smartphone segment last
August with the release of a device powered by a
domestically-made chip, defying U.S. sanctions that have cut off
its access to the global chipset supply chain.
In an effort to boost sales, Apple has ramped up its discounting
efforts this year to entice consumers. The U.S. company launched
an aggressive campaign in May, doubling the scale of an earlier
promotion in February and offering price cuts of up to 2,300
yuan ($318.84) on select iPhone models.
Analysts expect Huawei's strong performance to continue
throughout the year. Canadian research firm TechInsights
projected earlier this year that Huawei's overall smartphone
shipments in China will exceed 50 million units in 2024, with
the Pura 70 series accounting for 10 million of those shipments.
That would make Huawei the No. 1 seller with a 19% market share,
up from 12% in 2023, TechInsights has said.
($1 = 7.2136 Chinese yuan renminbi)
(Reporting by Liam Mo and Casey Hall; Editing by David Goodman
and Sharon Singleton)
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