In Q1 2025, the Chinese smartphone market grew by 5%, with 70.9 million units shipped. Xiaomi led with a 19% market share and 40% annual growth, bolstered by a new device subsidy program offering discounts up to 15% on retail prices for eligible products. Huawei followed closely with 18% market share and 12% growth, driven by demand for its foldable models. Oppo and vivo each held 15%, while Apple captured 13%. Additionally, AI-capable smartphones made up 22% of shipments, projected to reach 40% by year’s end, reflecting increasing interest in AI utilities.
The Chinese smartphone sector witnessed a 5% increase in Q1, 2025. In the January–March timeframe, approximately 70.9 million smartphones were dispatched across the nation, as per Canalys estimates, with Xiaomi and Huawei at the forefront. Xiaomi experienced a remarkable 40% year-over-year growth in shipments, securing 19% of the market share. The brand enhanced its synergy among ecosystem products and benefited from China’s nationwide device subsidy initiative.
China’s device subsidy program commenced on January 8, 2025. This subsidy offers a one-time discount of up to 15% on the retail price of devices. It encompasses smartphones, tablets, smart bands, and smartwatches valued below CNY 6,000 ($820), capped at CNY 500 ($68) per item. Notably, premium models such as flagship and foldable smartphones are excluded from this program.
Huawei stood as the second-leading brand in China, holding an 18% market share and a 12% annual growth in device shipments. The brand maintained strong demand for its smartphones, with the foldable Mate XT and Pura X generating significant interest. Additionally, HarmonyOS Next is on the rise, now rumored to comprise 3% of all smartphones in China.
Canalys Smartphone Analysis (sell-in shipments), April 2025
Oppo and vivo each held 15% of the Chinese market, while Apple completed the top five with a 13% market share. The emergence of DeepSeek and a growing array of AI utilities have garnered consumer interest, with approximately 22% of all shipped phones now equipped with AI capabilities. Canalys predicts this figure will rise to 40% by year’s end.
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