China’s smartphone market experienced slight growth in the second quarter of 2025 compared to the same period last year, despite ongoing economic challenges and weak consumer sentiment.
Why it matters: The growth, led by Huawei and Apple, was largely driven by government subsidy programs and promotional activities, highlighting the market’s dependence on external support.
The details:
- Huawei is expected to rank No. 1 in sales for Q2 2025, showing the highest growth rate among major brands in China’s smartphone market.
- Apple maintained and strengthened its market position, recording a late single-digit growth rate in Q2, driven by strong sales of the iPhone 16 Pro and Pro Max models.
- Apple’s strategic price adjustment in May, just before the June 18 shopping festival, garnered a positive consumer response.
- Despite efforts during the 618 shopping festival, there was no significant recovery in consumer sentiment, with smartphone sales figures remaining similar to the previous year.
What they’re saying:
- “Apple’s iPhone price adjustment in May came at the right time just a week before the 618 Shopping Festival, drawing a positive response from the market,” said Ethan Qi, a researcher at Counterpoint.
- “The second quarter’s performance was solid thanks to the state subsidy support policy. However, with the somewhat stagnant performance during the June 18 festival season, any reduction in the subsidy program could be a risk factor moving forward,” indicated Meng Meng Zhang, Counterpoint’s Lead Researcher.
The other side: While the slight market growth in Q2 is a positive sign, the persistence of economic challenges means that the smartphone market may still face hurdles in the coming months.
What’s next: The sustainability of the market’s growth will depend on the continuation of government subsidy programs and the ability of smartphone brands to adapt to changing consumer behavior in the face of economic challenges.
