BEIJING, Jan 2 - In a strategic move to maintain its market presence in the world’s largest smartphone market, Apple is rolling out substantial discounts on its latest iPhone models in China. The promotion, which runs from January 4 to 7, provides customers with reductions of up to 500 yuan (approximately $68.50) on the flagship iPhone 16 Pro and iPhone 16 Pro Max models. Additionally, consumers will benefit from discounts of 400 yuan on the iPhone 16 and iPhone 16 Plus, alongside markdowns ranging from 200 to 300 yuan on older iPhone models that include the iPhone 15 and iPhone 14 series (South China Morning Post).

This sales effort by Apple comes amidst increasing pressure from domestic competitors, particularly Huawei, which has aggressively priced its premium devices since its return to that segment in August 2023. Huawei recently announced price cuts on various models, some totaling up to 3,000 yuan, strengthening its position in the competitive landscape.

Despite the promotional discounts, reactions on Chinese social media have been mixed, with some consumers expressing that Apple’s offers are not competitive relative to the pricing seen on popular e-commerce platforms during events like Singles’ Day (Reuters). Many iPhone 16 models were marked down by up to 1,600 yuan on platforms such as Alibaba's Tmall during major sales.

Apple's efforts to reclaim market share are critical, especially after briefly losing its spot among the top-five smartphone vendors in China earlier last year. Although the company's sales in the third quarter of 2024 showed modest recovery, with a 0.3% decline in smartphone sales annually, rival Huawei recorded a striking 42% surge during the same period, according to research firm IDC.

This discount campaign also extends to other products, including MacBook laptops and iPads, although the quantity of discounted iPhones is limited to only 29,300 units. To qualify for these deals, customers must utilize specific payment methods such as WeChat Pay or Alipay. With such initiatives, Apple aims to bolster its sales figures against a backdrop of cautious consumer spending and economic uncertainties in China.