In the third quarter of 2026, smartphone shipments in the Chinese market totaled approximately 57.9 million units, marking a 15.4% year-on-year decline. This downturn deepened compared to the first half of the year, revealing a market trend characterized by shrinking sales volumes yet escalating prices. Rising upstream costs have curbed consumer demand, contributing to an extended smartphone replacement cycle.

In terms of the competitive landscape among manufacturers, Huawei stood out as the only leading brand to achieve double-digit year-on-year growth, with its market share climbing to 21.1%. Meanwhile, Honor was the only top-tier brand to experience a sequential increase in shipments. Apple witnessed a slight year-on-year decrease in shipments, while other prominent domestic brands also encountered similar pressures.

Looking ahead, material costs are projected to remain elevated in the upcoming quarters, likely driving smartphone prices even higher. Consumers will require time to adapt to these price hikes, potentially prolonging the replacement cycle further. The market is not expected to rebound in the fourth quarter of 2026, and cost pressures are anticipated to persist throughout most of 2027, suggesting a continued downward trajectory for the market.