DOMESTIC smartphone shipments in China in 2020 fell 20.4 percent from the previous year, government data released Monday showed, as the number of handsets delivered to consumers dropped to 296 million from 372 million in 2019.

The figures, issued by the China Academy of Information and Communications (CAICT), a think tank, reflected both the impact of the coronavirus crisis on the supply chain and demand, and the ongoing trend for consumers to keep their phones for longer before upgrading to a new model.

In 2019, shipments of smartphones declined 4 percent from the previous year, according to CAICT data.

Handset vendors entered 2020 hoping the year would bring renewed sales as consumers purchased new phones compatible with China’s rapidly-expanding 5G networks.

But, in the first half of the year, domestic brands Oppo, Vivo and Xiaomi Corp. each saw steep shipment declines while Huawei, the leading Chinese brand at the high-end, continued to grow market share.

In the latter half, Huawei sales slowed as trade restrictions imposed by Washington on the company took effect, crimping its supply of critical components. Oppo, Vivo, and Xiaomi have ramped up production in hopes of capturing that share.

Apple released its first 5G-enabled handsets in China last autumn. Analysts remain bullish on the devices’ reception as loyal iPhone owners who once delayed upgrading now buy new phones.

Phone makers shipped a total of 25.2 million smartphones to consumers in China in December, marking a 12.8 percent year-on-year decline, according to the CAICT. (SD-Agencies)