Apple’s iPhone deliveries in China plunged more than 35% last month, marking their second consecutive double-digit drop as sales of the cheaper iPhone 11 remained slow, brokerage Credit Suisse stated Thursday.
The shares of the company dropped more than 1% to 267.67 in early trading.
Total iPhone deliveries in China in the September-November interval contracted 7.4% from a year prior. Credit Suisse analyst Matthew Cabral stated, citing data from China’s Ministry of Industry and Information Technology.
The newest iPhone 11 range hit stores in China in September, with short queues of die-hard fans varying with the lots who camped out ahead of some previous releases.
Cabral further wrote that Apple would have a tough time pushing through tariff-associated price increases to U.S. consumers if the 15% tariffs on billions in Chinese-made consumer products come into effect on December 15.
Apple has asked the U.S. administration to waive taxes on China-made Apple Watches, iPhone parts, and other consumer goods. President Donald Trump said in November that he was considering the request.
Apple’s market share in China contracted to 5% from 7% in the third quarter, while Huawei Technologies acquired a record 42% of China’s smartphone market in the same interval, according to a report by market analysis agency Canalys published in October.
In its latest fourth quarter, Apple reported a 2.4% plunge in greater China sales.