Home
Apple
iPhone

Apple's China Sales Drop 30%, Continues Decline in 2024; Huawei's Mate 60 Thrives

Apple sales in China

HIGHLIGHTS:
  • Apple experiences a significant 30% decline in sales in China, with the iPhone 15 series facing a slow start.
  • Huawei sees impressive growth in China, driven by the success of the Mate 60 lineup, featuring a new Made-in-China processor.
  • Analysts predict Apple's double-digit sales fall to persist into 2024, despite efforts with discounted iPhone deals.

Apple's sales in China have taken a hit, with a 30% decline reported by Jefferies analysts, as cited by Bloomberg. The iPhone 15 series, in particular, experienced a slower-than-usual start, contributing to the year-on-year drop.

In stark contrast, Huawei has seen significant growth, propelled by the success of its Mate 60 lineup within the domestic market.

The launch of the iPhone 15 series closely followed the surprise introduction of the Mate 60 Pro by Huawei. Analysts suggest that a sense of patriotism led consumers to opt for Huawei's flagship, equipped with a new Made-in-China processor yet to be officially detailed by the company.

Jefferies estimated Huawei's shipments at 35 million, a figure that could have been higher if not for some supply constraints.

Looking ahead, Apple's double-digit decline in sales is predicted to persist into the next year. Despite the appearance of multiple iPhone deals on various online shopping portals in the past week, sales volumes did not see an improvement, even with reduced prices.

Impact on Apple:

The sluggish start of the iPhone 15 series and the ongoing decline in sales pose challenges for Apple in the Chinese market. The trend is indicative of a shift in consumer preferences, with factors such as pricing and local patriotism influencing purchasing decisions.

Huawei's Success:

Huawei's success with the Mate 60 lineup underscores the brand's resilience in the Chinese market. The adoption of the Made-in-China processor and the patriotism factor have significantly contributed to Huawei's positive sales trajectory.

Supply Constraints and Future Outlook:

While Huawei faced some supply constraints, its sales figures remained impressive. On the other hand, Apple's struggles are expected to persist in 2024, raising questions about the brand's strategy and appeal in the Chinese market.

Market Dynamics:

The reported decline in Apple's sales has prompted various online platforms to feature multiple iPhone deals, attempting to stimulate demand. However, these efforts have not translated into increased sales volume, indicating a deeper challenge for Apple in the Chinese market.

Verdict:

As Apple grapples with a significant sales decline in China, Huawei's success with the Mate 60 series signals a changing landscape in consumer preferences. The influence of patriotism and the appeal of locally developed technology have positioned Huawei favorably. Apple faces the task of reevaluating its approach to regain traction in the competitive Chinese market.