China Phone Market Hits 14-Year Low as Apple Surges to Second Place

Smartphone shipments in China fell 10% during the third quarter of 2026, reaching their lowest level in 14 years, according to data released by Counterpoint Research. The contraction was driven by rising memory prices that increased the cost of devices for manufacturers and consumers alike. Despite this downturn, Apple emerged as the primary beneficiary, rising from sixth to second place in the domestic market.

Apple secured a 19.5% share of smartphone shipments in China during the quarter. This figure represents a 4.8 percentage point increase from the same period in 2025. Huawei remained the market leader with a 21.3% share, which also grew by 5.3 percentage points year over year. Among the top six brands, only Huawei and Apple increased their market share. All other major manufacturers lost ground.

Vivo saw its share drop by 2.8 percentage points to 15.2%, while OPPO slipped by 1.3 points to 15.1%. Xiaomi declined by 1.6 points to 13.5%, and HONOR fell by 2.2 points to 12.7%. Manufacturers outside the top six combined held a 2.8% share at the end of the quarter, down from 4.8% the previous year.

Counterpoint attributed Apple's performance to the strong launch of the iPhone 18 Pro series. Sales of the new Pro models in the first three weeks were up 23.5% compared to the iPhone 17 Pro series a year earlier. The firm noted that the delayed release of the base iPhone 18 may have encouraged customers to purchase the more expensive Pro models earlier in the sales cycle.

These figures differ from a report published days earlier by IDC. IDC estimated that China's smartphone shipments fell 15.4% year over year in the third quarter. In that analysis, Apple's share rose to 17.8%, while its total iPhone shipments declined by 4.3%. IDC also reported that global smartphone shipments fell a record 22% during the same period. Apple recorded the smallest decline among the top five global manufacturers, with shipments dropping just 4%.

Counterpoint warned that consumer behavior may continue to pressure demand in the fourth quarter. Higher device prices are causing buyers to delay upgrades, wait for promotional discounts, or opt for refurbished units. The firm expects these trends to persist as manufacturers manage inventory and pricing strategies in response to the current economic conditions.