Market Shift: Apple Secures Second Place in China Amidst Industry Slump
Despite a historic drop in overall smartphone sales, Apple gains significant market share in China, overtaking major competitors to rank behind only Huawei.
By Jennifer Paige ·
Apple has surged to the second position in the Chinese smartphone market, a notable achievement during a period of historic industry contraction. According to a report released this week by Counterpoint Research, the company captured 19.5% of all smartphone shipments in China during the third quarter of 2026. This figure represents a substantial increase of 4.8 percentage points compared to the same quarter last year. The gain was enough to propel Apple from sixth place to just behind market leader Huawei.
The overall market environment remained challenging for most manufacturers. Counterpoint data indicates that total smartphone shipments in China fell by 10% year over year in the third quarter. This decline marks the weakest performance in the sector in fourteen years. The primary driver behind this downturn is the rising cost of memory components, which has continued to squeeze profit margins and suppress consumer demand across the industry.
Huawei retained its top spot in the rankings with a 21.3% market share, an increase of 5.3 percentage points from the previous year. Among the six leading brands in the Chinese market, Huawei and Apple were the only two companies to expand their share of total shipments. All other major players experienced a decline in their market presence during the quarter.
Competitors struggled to maintain their footing as prices rose. Vivo saw its share drop by 2.8 percentage points, landing at 15.2%. OPPO followed with a 1.3 point decline to reach 15.1%. Xiaomi fell by 1.6 points to 13.5%, while HONOR decreased by 2.2 points to end at 12.7%. The remaining manufacturers combined lost 2 points, finishing the quarter with a total share of 2.8%.
Analysts attribute Apple's relative success to the performance of its premium hardware. Counterpoint noted that the iPhone 18 Pro series saw a strong launch in China. Sales of this lineup in the first three weeks were up 23.5% year over year compared with the previous generation's iPhone 17 Pro series. The firm also suggested that the delayed release of the base model iPhone 18 may have encouraged some consumers to choose the higher-end Pro options, thereby boosting early sales figures.
These findings follow a separate report published by IDC just days earlier, though the two firms provided different estimates. IDC calculated that smartphone shipments in China fell by 15.4% year over year in the third quarter. While IDC also saw Apple's share rise, it placed the figure at 17.8%. However, IDC noted that total iPhone shipments still declined by 4.3% during the period.
The global context appears even bleaker according to IDC data. The firm estimated that worldwide smartphone shipments dropped by a record 22% year over year in the third quarter. Within that global landscape, Apple posted the smallest decline among the top five manufacturers, with its volume falling by only 4%.
Looking ahead, Counterpoint warns that market conditions may remain difficult. Higher device prices are causing consumers to delay upgrades or wait for promotional periods. Many are also opting for refurbished devices instead of new purchases. These shifting consumer behaviors could place additional pressure on demand as the industry enters the fourth quarter of 2026.
Source: 9to5Mac
