Key facts
- China's smartphone shipments fell 4.3% in Q2, the fifth consecutive quarterly decline.
- Huawei and Apple were the only vendors to record growth in China's Q2 smartphone market.
- Huawei led China's market with a 22.6% share, followed by Apple with 18.1%.
- Rising memory and component costs prompted price hikes by most Android vendors in China.
- Global smartphone shipments in Q2 hit a 13-year low, declining 11% according to one report, or 4% by another.
China's smartphone shipments declined 4.3% in the second quarter to 66 million units, marking the fifth consecutive quarterly drop, according to IDC. This downturn was driven by manufacturers raising prices due to increased memory and component costs, which discouraged hesitant buyers. Huawei Technologies and Apple were the only vendors to experience growth in the quarter, with Huawei leading the market with a 22.6% share and Apple second with 18.1%.
Most Android vendors in China increased prices or reduced budget models, impacting consumer upgrades. The fading effect of government subsidies also contributed to the demand slowdown. Globally, smartphone shipments in Q2 fell 11% to a 13-year low, though Omdia reported a smaller 4% drop. Apple saw a 3% global shipment increase and a record 20% market share, while Samsung led globally with 24% share. Xiaomi, Oppo, and Vivo experienced significant declines in China.