Apple’s iPhone has possibly outperformed domestic brands in China for the first time since May 2024, according to data from Goldman Sachs. This could be attributed to Apple’s strategic move of reducing its iPhone prices ahead of a significant shopping season in China, as the company prepares for the 6.18 shopping period. 
However, Goldman Sachs suggests that this improvement may be temporary, considering the broader downturn in the Chinese smartphone market.
Despite a turbulent year for Apple, with its shares falling 14% year-to-date due to concerns over tariffs, a sluggish Chinese smartphone market, and limited progress in AI and Siri, the company’s market share saw a boost in May 2025. According to Goldman Sachs, the data from the China Academy of Information and Communications Technology (CAICT) shows that foreign-branded phones in China experienced a smaller decline compared to the overall market. While the market as a whole dropped 22%, foreign phones, including Apple, saw a more moderate dip of just 10%.
This marked the first time Apple and other foreign brands outpaced the broader smartphone market since May 2024, with Apple likely benefiting from deeper discounts before the peak of China’s 6.18 shopping event. This shopping period, held for the first 18 days of July, is a major sales event in China, akin to Black Friday in the U.S. According to Goldman Sachs, the iPhone 16 Pro (128GB model) was able to qualify for domestic smartphone subsidies during this time, which likely sparked an uptick in demand.
Despite these short-term gains, Goldman Sachs cautions that long-term trends in China’s smartphone market might not be as favorable for foreign brands. Alongside a 22% annual decline in smartphone shipments, the market also shrank by 5% sequentially. Chinese consumers appear to be holding back on new purchases. Yet, foreign-branded phones showed mixed performance, with shipments growing by 29% year-over-year in May, just below the seasonal average of +33%. As a result, foreign smartphones, including Apple’s, gained market share, increasing their presence to 19% in May 2025, up from 14% in April 2025 and 17% in May 2024.