BEIJING (Reuters) – Apple (NASDAQ: ) is offering rare discounts of up to 500 yuan ($68.50) on its latest iPhone models in China, as the U.S. tech giant tries to defend its market share against increasing competition from domestic rivals such as Huawei.
The four-day promotion, which runs from Jan. 4 to Jan. 7, applies to several iPhone models when purchased using certain payment methods, according to the website.
The flagship iPhone 16 Pro with a starting price of 7,999 yuan and the iPhone 16 Pro Max with a starting price of 9,999 yuan will have the biggest discount of 500 yuan. iPhone 16 and iPhone 16 Plus will be discounted by 400 yuan.
The discounts come as consumers remain cautious about spending amid China’s slowing economy and deflationary pressures, with the country’s consumer inflation hitting a five-month low in November.
Apple is struggling with declining market share in China, the world’s largest smartphone market, where local manufacturers have stepped up competition.
Huawei has proven to be a particularly strong challenger since returning to the premium segment in August 2023 with locally produced chipsets. Huawei slashed the prices of various high-end devices, including mobile phones, by up to 3,000 yuan on one of China’s leading e-commerce platforms over the weekend.
Apple briefly fell out of China’s top five smartphone vendors in the second quarter of 2024 before recovering in the third quarter. The US company’s smartphone sales in China still fell 0.3% during the third quarter from a year earlier, while Huawei’s sales rose 42%, according to research firm IDC.
Apple’s promotion also includes discounts of 200 to 300 yuan on older iPhone models, as well as other product categories such as MacBook laptops and iPad tablets. Users must use certain payment methods including WeChat Pay or Alipay to qualify for discounts.
($1 = 7.2992 renminbi)
