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To boost demand in a major market, Apple sets trade-in rates for iPhones in China.

May 23, 2025
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To boost demand in a major market, Apple sets trade-in rates for iPhones in China.
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With a 13.7% market share, the American IT behemoth dropped to fifth place.

Based on preliminary data from research company International Data Corporation, the U.S. tech behemoth’s share of China’s extremely profitable phone market dropped from 15.6% a year earlier to 13.7% during the first quarter, so placing Apple fifth in the ranking.

In China, Apple has been up against growing rivalry recently. With a slight lead in the last quarter of 2024, the iPhone manufacturer lost out to local rivals vivo and Huawei on annual shipments that year, despite ranking highest.

Apple’s iPhone shipments in China slumped 9% to 9.8 million units in the first three months of 2025, IDC said Thursday. That said, the data revealed that only one non-Chinese brand ranked among the top five.

With shipments up almost 40% year, Chinese tech behemoth Xiaomi—whose products range from smartphones and home appliances to electric vehicles— usurped Apple to lead during the first quarter.

Consumer electronics company OPPO came third in IDC’s ranking; Huawei, which like Xiaomi also produces smartphones and is involved in EVs, came second. During the first quarter, the two Chinese companies sent respectively 12.9 million and 11.2 million units.

Trade conflict between Beijing and Washington could create headwinds that reduce demand in the next quarters since tit-for-tat tariffs increase corporate costs and lower consumer confidence.

Arthur Guo, senior research analyst for IDC China, noted “looking ahead, the market is expected to face challenges as the U.S.-China trade tensions may lead to cost increases and tighter consumer budgets.”

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