China's mobile phone market showed signs of recovery in April 2026, with total shipments reaching 25.7 million units, a 2.8% year-over-year increase. The CAICT report reveals that while domestic brands dominated with 86.1% market share, foreign brands including Apple saw a notable 1.8% growth. This uptick suggests Apple may benefit from the broader market rebound after a challenging first quarter.

The recovery comes amid industry-wide memory shortages that have disproportionately affected lower-end phones due to thinner profit margins. While Samsung raised prices on several models to cope with these pressures, Apple maintained unchanged iPhone prices, potentially giving it a competitive advantage. This strategy appears to be working, with Apple reporting a 28% year-over-year revenue increase in Greater China during Q1 2026.

Despite an 8.6% decline in China's phone market for the January-April period, Apple's performance remained strong. The company's ability to hold its own during the slump positions it well for continued growth in the Chinese market. With April's shipment increases across foreign brands, Apple is likely to remain among the bright spots in the company's upcoming Q3 2026 earnings report, expected in late July.