A recent shift has been observed where domestic brands like Huawei, Xiaomi, and Honor are increasingly outperforming Apple, a global tech giant. The first four weeks of October witnessed an impressive 11% rise in smartphone sales in China, hinting at a recovery from a prolonged slump.

The Mate 60 Pro is largely responsible for Huawei’s recent revival

Leading this resurgence, Huawei has made a remarkable comeback, with a staggering 90% increase in sales year-on-year, largely credited to its Mate 60 series. These handsets, notably the Mate 60 Pro, have gained attention for their advanced, locally produced 5G chips—a huge achievement amidst U.S. sanctions. This surge in Huawei’s sales is not just confined to its new releases; there’s a ripple effect boosting its other models as well.

Xiaomi, another key player, reported a 33% jump in sales within the same period, driven by the launch of its Xiaomi 14 flagship smartphone. This model quickly became a sensation, selling over a million units in less than two weeks and dominating sales during the Singles’ Day shopping festival. The brand’s robust performance is further evident in its record-breaking Singles’ Day sales, surpassing 22.4 billion yuan in revenue across various online platforms.

Honor, originally a Huawei spin-off, also showed a solid performance with a 10% rise in sales. These gains by domestic brands contrast with Apple’s 12% decline in sales in China during this period. Despite launching the iPhone 15, Apple hasn’t replicated its previous success in China, as observed in the initial sales data.

This trend underlines a broader narrative in China’s smartphone market, poised to exit an extended period of stagnation. The recovery, however, is contingent on how these companies tackle production constraints and supply chain challenges. For instance, high demand for Huawei phones has led to shortages, impacting the availability of their latest models like the Mate 60 Pro. Similarly, Apple has faced production issues, particularly with certain color variants of the iPhone Pro Max.

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