iPhone Sales Slump in China as Demand for Non-Chinese Smartphones Drops 47%

Business Insider reported last Friday that demand for iPhones is falling in the Chinese market.

According to the China Academy of Information and Communications Technology (CAICT), sales of non-Chinese-brand smartphones in China plummeted by 47.4% in November compared to the previous year. 

This decline underscores Apple’s challenges despite accounting for most non-Chinese smartphone sales in China. Apple’s annual net sales in China have fallen for two consecutive years.

Shipments of non-Chinese smartphones, including iPhones, totaled 3.04 million units in November, continuing a downward trend following October’s 44.3% drop in non-Chinese smartphone shipments. Overall smartphone shipments, including local Chinese brands, decreased 5.1% year over year to 29.61 million units in November.

Apple’s iPhone sales in China fell nearly 8% to $66.9 billion last fiscal year. This decline is attributed to local Chinese rivals’ launch of new products. Huawei’s Mate 60 and Mate 70 series have emerged as formidable challenges to Apple.

During Apple’s third-quarter earnings call last year, CEO Tim Cook addressed the situation, stating that the company is closely monitoring the Chinese government’s economic stimulus measures. Cook acknowledged that consumers are more cautious about spending habits due to China’s economic slowdown and deflation.