Supply chain
Smartphone shipments to China to sink over 10% on year in 1Q20, says Digitimes Research
Sean Lin, DIGITIMES Research, Taipei

Smartphone shipments to the China market are expected to fall over 10% on year in the first quarter of 2020 affected by seasonality, insufficient supply of 5G models, high inventory levels in the channels and the ongoing coronavirus outbreak, according to Digitimes Research.

Sales of smartphones in China were weak in the fourth quarter of 2019 as macro-economic conditions were shaky amid the bruising trade dispute with the US, sales of 5G models were slackened due to their high pricing, and telecom operators were not offering meaningful subsidies for the purchases of 5G models.

Overall smartphone shipments to the China market slid 1.5% on quarter and 7.2% on year in the fourth quarter of 2019, Digitimes Research has found.

Huawei, Vivo, Oppo, Apple and Xiaomi were the top-five brands in the order in China in the fourth quarter, with their combined market share reaching 95.9%, down 0.2pp from a quarter earlier.

Apple saw its iPhone shipments increase 40% sequentially in China in the fourth quarter, replacing Xiaomi as the fourth-ranked player in the market. Huawei also posted a sequential 40% shipment growth in the quarter, while shipments from Vivo, Oppo and Xiaomi continued to wane.

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