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Apple (AAPL-3.62%) is giving its Chinese customers a discount on iPhones as it competes with homegrown rivals such as Huawei.
The iPhone maker is offering a discount of up to 500 Chinese yuan, or $68.50, on its latest iPhone models when customers use “eligible payment methods,” according to the Apple website. The 500 yuan discount applies to the iPhone 16 Pro and iPhone 16 Pro Max, while the iPhone 16 and iPhone 16 Plus will be discounted by 400 yuan during the promotion, which runs from January 4 to 7.
In the third quarter of last year, Apple re-entered the top five smartphone makers in the Chinese market, capturing a 15.6% share and coming in second place, according to data from the International Data Corporation (IDC). The Cupertino-based company had previously fallen to sixth place in the second quarter.
Huawei, once the world’s largest smartphone maker before U.S. sanctions hobbled its business in 2020, is slashing prices by up to 20% on its premium phones to compete with Apple in China. The company is also pushing innovation, launching its groundbreaking Mate XT smartphone with a 10-inch tri-fold display just hours after Apple’s iPhone 16 debut in September.
“Huawei has staged an impressive comeback, recording four consecutive quarters of at least double-digit growth,” the IDC said. “The launch of the world’s first tri-foldable phone is expected to further drive the foldable market development.”
Huawei and other Chinese smartphone makers experienced double-digit growth last year, boosting smartphone shipments in China by 8.9% year-over-year in the second quarter, according to a previous IDC report.