Apple’s smartphone sales in China fell sharply in the final quarter of 2024, hurt by the popularity of local rivals like Huawei and others expanding into the premium market, according to a closely followed research firm.

Huawei’s smartphone sales came out ahead of Apple in the crucial holiday season shopping period of Q4 2024. New data from Counterpoint Research shows that Huawei took the top spot for smartphone sales in China in the final quarter of last year,

Huawei has reclaimed the top spot in China’s smartphone market, according to a report by Counterpoint. That’s a big milestone for the Chinese tech giant, which had been struggling in recent years due to US sanctions.

The Counterpoint Research report reveals that Apple used to have about 19 per cent market share last year. But this year, the numbers have been abysmally low for Apple.

Local smartphone makers Vivo and Huawei leapfrogged Apple to become the top two sellers in the Chinese market last year, dealing a blow to the iPhone maker as it struggles to introduce AI features on the mainland and fight competition from domestic rivals.

Apple's (NASDAQ:AAPL) iPhones sales fell 18.2% in China in the fourth quarter of 2024, while the resurgent Chinese rival Huawei Technologies took the top spot, according to Counterpoint Research. Apple slipped to third spot in the Chinese market with a 17.

Sales of Apple Inc. iPhones dived 18.2% in China during the December quarter, according to independent research, a major setback for the company in its biggest market after the US.