Apple has reported a surprising drop in iPhone sales in China, one of its most important and competitive markets. The decline comes at a time when local rivals like Huawei and Xiaomi are aggressively pushing their flagship smartphones, eating into Apple’s premium customer base.
During a recent earnings call, CEO Tim Cook acknowledged the slowdown and described it as “a short-term macroeconomic impact,” suggesting that weak consumer demand and currency fluctuations played a key role.
“We’re seeing some headwinds in China due to the broader economy and exchange rate challenges,” Cook said. “However, we remain confident in the long-term growth potential of the region.”
According to market data, Apple’s China revenue fell by nearly 8% year-over-year, marking one of the steepest declines since 2019. Analysts point to rising competition from Huawei’s Mate 60 series — which has gained massive attention for its locally made 5G chips — as a major factor in Apple’s sales slump.
Despite the drop, Apple remains committed to the Chinese market, continuing to expand its retail presence and deepen partnerships with local developers. Cook emphasized that China “remains a critical market” and that the company is investing heavily in localized services, sustainability initiatives, and developer ecosystems.
Industry experts believe that Apple’s upcoming iPhone 17 series and deeper AI integration could help regain momentum. However, in the short term, the company is likely to face fierce price competition and shifting consumer sentiment in the region.