Apple Gains Market Share in China as iPhone Shipments Surge 20%

Apple Inc. (AAPL) saw its shares rise as much as 3.4% on Friday, fueled by data showing a significant rebound in iPhone demand within the Chinese market. The surge comes at a time when the broader smartphone sector in the region is struggling. According to data from Counterpoint Research, iPhone shipments in China grew 20% year-over-year in the first quarter. This growth occurred against a backdrop of a 4% decline in overall smartphone shipments across the country, positioning Apple as the top performer among major brands in the region. The recovery follows a period of sluggish sales in 2024. CEO Tim Cook previously noted "staggering demand" toward the end of 2025, which helped the iPhone become the top-selling smartphone brand in China during the final quarter of last year. A key driver of this growth has been Apple's strategic pricing. While competitors raised prices to offset rising global memory costs, Apple maintained its price points, leveraging its premium product portfolio and supply chain management to capture market share from rivals. Beyond the China data, investor sentiment was further bolstered by geopolitical developments, including a cease-fire and the reopening of the Strait of Hormuz. With 2.5 billion active devices globally, Apple continues to leverage its unrivaled scale to justify a valuation of approximately 33 times earnings.