China iPhone Sales Likely to Continue Losing Ground to Huawei in 2024

Apple appears to be facing an uphill battle to reverse falling iPhone sales in China, with last year's double-digit decline projected to deepen through 2024 owing to strong interest in Huawei's latest home-grown lineup, according to analyst expectations (via Bloomberg).

huawei mate pro 60

Huawei Mate 60 Pro

In an investor note on Sunday citing industry checks, Jeffries analyst Edison Lee said Apple in December suffered a 30% year-on-year decline in ‌iPhone‌ sales in the country while the rest of the market grew, with Huawei seeing the fastest growth thanks to its latest Mate 60 lineup.

Jefferies estimates Huawei shipped 35 million smartphones last year, with only supply constraints preventing it from hitting even bigger heights spurred by a "patriotic fervor" surrounding the phone.

Released in September just weeks before the iPhone 15, Huawei's Mate 60 Pro uses a new China-made 7-nanometer processor tailored for the local market, showcasing the kind of advanced semiconductor manufacturing capabilities that US sanctions were originally designed to prevent.

Jeffries forecasts Apple will see a similar double-digit fall in ‌iPhone‌ sales for 2024, indicated by discounts on Apple's smartphone lineup across various online merchants, which are expected to cut into the average selling price without stimulating volume growth.

Apple's efforts to counter the slump are also likely to be hampered by China's decision last year to ban iPhones from the offices of multiple government agencies and state companies. China has a huge number of state-owned enterprises in power generation, seaport construction, mining, manufacturing, education, and investment markets.

Meanwhile, Huawei's comeback is predicted to continue, with the Chinese company continuing to develop and extend its own operating system, HarmonyOS, designed to rival iOS and Android.

Tags: China, Huawei

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Top Rated Comments

contacos Avatar
16 months ago
Not gonna lie, I am sort of happy about this decline and I am saying this as an idiot that gave into buying an iPhone 15 Plus myself (my iPhone 12 Pro Max is still doing great and I honestly hardly notice a difference besides the battery obviously being much better).

Time for either a price drop an / or more innovations besides just further camera improvements
Score: 29 Votes (Like | Disagree)
wanha Avatar
16 months ago

You do realize China controls Apple's data centers in China? Tim sold out a long time ago. Apple is pretty much a Chinese company
You do realize the article said that the very reason Huawei is outselling Apple is because of "patriotic fervor" around Huawei's latest products?

You may think of the iPhone as Chinese (lol), but the Chinese people certainly don't seem to.
Score: 24 Votes (Like | Disagree)
wikiverse Avatar
16 months ago

You do realize the article said that the very reason Huawei is outselling Apple is because of "patriotic fervor" around Huawei's latest products?
The 'patriotic fervor' line is pretty weak. It's about as weak of a take as the 'Apple is a Chinese company' line. They're both kind of dumb takes on what is really going on. Chinese people don't care for Chinese made products any more than Americans care about American made products. They prize foreign, particularly European, products much more highly, but Apple is seen as a luxury product in China.

Apple's sales are slowing because they've priced themselves out of the market. The Chinese economy is slowing - they're headed for their own real estate bubble burst - like the US had in 2008. People are tightening their belts and Apple is selling mid-tier hardware at premium prices. Their phones are more expensive and less impressive than they've ever been. Ordinary people in China are tightening their belts too and just can't afford Apple products anymore.

Huawei have got a good product offering for a much lower price, and they have the ability to get the phones into the hands of Chinese celebrities to promote it much more easily, plus Harmony OS doesn't have the same security restrictions as iOS, so they can pre-load and better integrate a lot of the apps that are popular in China.

The Chinese govt banning iPhones from govt agencies and companies is more to do with Apple helping TSMC move manufacturing out of Taiwan, and to expand product assembly to other countries like India. It's not because the Chinese are being patriotic, the Chinese government are punishing Apple, the same way they tried to punish Australia by banning coal and barley. In China, business is politics.
Score: 20 Votes (Like | Disagree)
wanha Avatar
16 months ago

I think you're one of those kids that thinks you have "privacy" with your iPhone.

I love it.
Nice straw man you set up there, buddy.

Did I say any of those things? Can you find a single post I've ever written here or elsewhere where I say that?

Nope, because I've never written such a thing.

You just made it up and then pretended it was true so you could feel like you "won" the argument
Score: 18 Votes (Like | Disagree)
iphonehype Avatar
16 months ago
Brilliant news, hopefully we see some innovation in something apart from a new camera system every year
Score: 14 Votes (Like | Disagree)
icolove Avatar
16 months ago
Well, Xiaomi and Huawei both passed Apple in hardware eons ago.
Score: 13 Votes (Like | Disagree)