Recent data from a research firm affiliated with the Chinese government reveals a notable increase in iPhone shipments in China, signaling a positive upturn for Apple in one of its key markets.
Shipments of foreign-branded phones, including iPhones, surged by 12 percent in March, rising from 3.35 million units to 3.75 million units compared to the same period last year, according to data published by the China Academy of Information and Communications Technology (CAICT).
While the report does not mention Apple, the tech giant remains the dominant foreign phone maker in China’s smartphone landscape. Consequently, Apple’s performance is believed to have significantly contributed to increased foreign-branded phone shipments.
The surge in iPhone shipments follows a strategic pricing adjustment undertaken by Apple and its retail partners.
In the lead-up to March, the company and third-party sellers intensified discounting efforts, offering notable price reductions of up to 10 percent on select iPhone 15 models. This aggressive pricing strategy appears to have effectively stimulated consumer demand, thereby fueling Apple’s growth trajectory in the Chinese market.
This recent resurgence in iPhone shipments marks a notable turnaround from the sluggish performance observed in the first two months of 2024, during which Apple experienced a significant 37 percent decline in sales, as calculated by Reuters based on CAICT data.
Despite the challenging start to the year, Apple’s smartphone shipments in China recorded a more modest decline of 19 percent for the first quarter of 2024, according to research firm Counterpoint.
This substantial decline represents an improvement from the sharp contraction witnessed earlier, which was primarily attributed to Huawei’s successful launch of a high-end smartphone in August.
Financial data further corroborates Apple’s resilience in the Chinese market. For the fiscal second quarter ending March 30, the company recorded sales of $16.37 billion in the Greater China region.
While this figure represents an 8.1 percent decrease compared to the same period last year, it surpasses analyst expectations of $15.59 billion, according to data from Visible Alpha.
