China’s smartphone shipments declined 2% year-over-year (YoY in quarter two (Q2) of 2026, as rising memory costs prompted manufacturers to adopt more conservative production plans and prioritize higher-margin models, according to new data from Counterpoint Research.
Apple outperformed the broader market in the quartaerwith shipments growing 23% YoY, as its relatively stable pricing became increasingly attractive amid widespread Android price increases driven by higher component costs, according to Counterpoint. Continued demand for the iPhone 17 series was further supported by consumer expectations of higher iPhone prices in the third quarter of 2026, prompting some purchases to be brought forward, adds the research group.
As memory prices continue to surge, smartphone manufacturers have initiated a second round of retail price increases, further weighing on overall market in the second half of 2026, according to Counterpoint.
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