In 2024, Apple faced a significant decline in its dominance within China’s smartphone market, as local manufacturers Vivo and Huawei overtook the tech giant. Research by Canalys revealed Apple’s shipments dropped by 17%, marking its largest annual decline in the region since 2016. This downturn was consistent throughout the year, culminating in a 25% plunge during the final quarter. The results reflect the mounting pressure from domestic competitors in one of Apple’s most critical global markets.
Vivo emerged as China’s top smartphone brand, capturing a 17% market share with its cost-effective models targeting budget-conscious consumers. Huawei followed closely with a 16% share, buoyed by its resurgence in the premium segment, which has directly challenged Apple’s flagship offerings. In comparison, Apple now holds a 15% share, signaling a shift in consumer loyalty toward innovative local brands that better cater to regional preferences and demands.
Apple’s challenges in China highlight the growing dominance of domestic manufacturers and the evolving competitive landscape. Factors such as the lack of advanced AI features in its latest iPhones and the rise of Android-based foldable devices have eroded its market position. Analysts emphasize that Apple’s ability to regain its footing will depend on how it addresses these technological gaps and adapts to the aggressive strategies of local rivals like Huawei and Vivo.