Apple's iPhone shipments in China jumped 20% in the first quarter, even as overall smartphone shipments in the world's largest handset market fell 4% from January to March.
The surge left Apple and Huawei as the two biggest vendors in China, with Huawei holding a 20% market share and Apple at 19%. Huawei kept the top spot after its own shipments rose 2% in the quarter, while Xiaomi slid 35% to sixth place. Oppo's shipments fell 5%, Honor's declined 3% and Vivo's shipments rose 2%.
The numbers show a market under pressure from rising memory chip prices, which pushed vendors to lift prices on budget handsets to protect margins. Counterpoint Research said supply chain disruptions and soaring chip prices weighed on the market, even as premium names found room to hold up better. Apple also benefited from a reputation for durability. Ivan Lam said Chinese consumers know Apple's products last at least three years, giving it an edge as rivals raise prices.
Lam blamed Xiaomi's sharp drop on a high base effect after aggressive price cuts and government subsidies in the same period a year earlier. He said Apple and Huawei should fare relatively better in the second quarter, and that Huawei could see further shipment growth from demand for its lower-end phones. That includes the Enjoy 90 series, which helped lift Huawei across both its high-end and budget lines.
For a market as tightly watched as China, the first quarter suggests that price-sensitive buyers are still moving, but not always toward the cheapest option. It also sets up a second quarter in which Apple and Huawei may have more breathing room than the brands squeezed hardest by higher costs. For readers tracking Aapl Stock: Buffett backs Apple as Berkshire trims shares, the China gains add another reason investors keep watching the company's mix of demand and resilience.
