Chinese smartphone shipments slumped by one third in first quarter on impact of coronavirus
- During the first three months of the year 74 new smartphone models were released in China, down 24.5 per cent compared with the same period last year
Chinese smartphone shipments dropped 34.7 per cent to 47.7 million units in the first quarter of 2020 as the coronavirus pandemic not only delayed product launches but also put a damper on consumer sentiment.
During the first three months of the year 74 new smartphone models were released in China, down 24.5 per cent compared with the same period last year, according to a report released on Monday by the China Academy of Information and Communications Technology (CAICT).
In the month of March, China’s smartphone shipments fell 21.9 per cent year on year to 21.0 million units while the number of new models released was down 15 per cent to 34, the report said.
On the demand side, weaker consumer sentiment is taking its toll on the market.
Based on a survey of 1,300 smartphone owners in China, research firm Strategy Analytics said in a report last week that while about 40 per cent of respondents have delayed purchases of cars, furniture and major appliances, 37 per cent had put off buying new smartphones and 32 per cent were delaying their adoption of 5G.
“The supply chain and full ecosystem may be back up to speed as we enter [the second quarter] but it is clear that a significant portion of consumers are not yet ready to return to previous patterns and purchase intentions,” said Linda Sui, director of smartphone research at Strategy Analytics.