Smartphone shipment in mainland China declined 17% in the second quarter as Chinese smartphone makers unable to fill the market share left by Chinese telecommunication giant Huawei which has been sanctioned by the U.S

Detail:

According to latest report from market research firm Canalys, smartphone shipments in China totaled 74.9 million units, down 17% compared to the 90.7 million shipments during the same period last year, as major brands struggled to secure key components to produce device to meet demand.

“The combined market share of the top five vendors were 82 percent in the second quarter of 2021, down from 95 per cent in the second quarter of 2020, when Huawei dominated,” said Nicole Peng, vice-president of mobility at Canalys.

Oppo and Vivo, owned by Dongguan-based consumer electronics manufacturers BBK Electronic Corporation were the China’s top two smartphones vendors which shipped 18.2 million and 16 million, respectively, in the second quarter.

Beijing-based Xiaomi ranked the third place with shipments of 12.6 million units in the second quarter. Among all Chinese major smartphone vendors, Xiaomi was the best performer in the second quarter, booking a 35 percent increase in shipments.

Apple and Honor, the former budget smartphone brand of Huawei, took fourth and fifth place with shipments of 7.9 million and 6.9 million, respectively.

 Context:

Huawei technologies, formerly China’s biggest smartphone vendor, has been struggling with supplier restrictions imposed by the U.S last year, the company fell out of the country’s top five smartphone vendor on shipment rankings for the first time.

While Huawei is dealing with key components shortage due to US trade sanctions, the Shenzhen-based company has been actively promoting its HarmonyOS mobile platform in China, in an effort to stimulate domestic consumption.