BEIJING – Apple’s iPhone shipments in China experienced a sharp 25% decline in the fourth quarter of 2024, according to data from research firm Canalys, underscoring the growing pressure from a resurgent Huawei in one of the world’s largest smartphone markets.
The U.S. tech giant shipped 13.1 million units during the quarter, retaining a narrow market lead with a 17% share. However, Huawei was hot on its heels, capturing an identical 17% share with 12.9 million units shipped, effectively tying Apple for the top spot in the Chinese market.
Huawei has solidified its comeback as a formidable competitor, posting a 24% increase in shipments during the same period. Since its re-entry into the premium smartphone segment in August 2023 with devices powered by locally-produced chipsets, the Chinese company has rapidly gained momentum.
Apple Fights Back with Aggressive Discounts
In response to the growing competition, Apple has introduced rare price cuts in China to boost demand. From January 4-7, 2025, the company ran a four-day promotion, offering discounts of up to 500 yuan (approximately $68.50) on its iPhone 16 models through official channels. Major e-commerce platforms such as Alibaba’s Tmall also joined the price war, with discounts of up to 1,000 yuan ($137) on the iPhone 15 series.
Amber Liu, a Canalys analyst, highlighted Apple’s challenges: “While the iPhone 15 series maintained leadership in Q4, Apple is under mounting pressure from domestic flagship devices. To stay competitive, Apple is doubling down on initiatives like enhanced retail experiences, trade-in programs, and expanded interest-free installment plans.”
A Competitive Market on the Rise
China’s smartphone market as a whole showed signs of recovery, with annual shipments rising 4% year-over-year to 285 million units in 2024. Despite Apple’s continued dominance in the premium segment, the resurgence of Huawei and the growing popularity of domestic brands signal an increasingly competitive landscape.
As Huawei narrows the gap, Apple’s ability to innovate and adapt to local market dynamics will be critical in sustaining its lead in this pivotal market.
