In March 2020, the growth rate of domestic smartphone shipments was significantly higher than expected. In this regard, South Korea ’s NH Investment Securities Company expects that due to price discounts, new product releases and economic stimulus policies, the recovery rate of the Chinese market will continue to exceed that of the rest of the world.
According to data from the China Information and Communications Technology Institute, in March this year, domestic smartphone shipments reached 21.029 million units, a year-on-year decrease of 21.9%, including 6.215 million 5G mobile phones.
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NH Investment Securities pointed out that the Chinese mobile phone market has recovered rapidly from the negative impact of the February epidemic. In particular, Apple ’s smartphone shipments increased to approximately 254,000 units, a year-on-year increase of 19.7%, ending the sharp decline that continued into February.
At the same time, NH Investment Securities believes that due to the impact of new coronaviruses in major markets such as the United States, Europe and South America, smartphone shipments and sales will have a substantial slowdown from the second quarter of this year, while China is experiencing relative Quick recovery.
On the other hand, with the release of new models of 5G smartphones, the shipments of Chinese mobile phone manufacturers are also expected to increase in the second quarter, and the recovery of Chinese market demand will continue to outpace that of other regions. Of component manufacturers is also advantageous.
In addition, the agency also pointed out that if China's economic stimulus policies are expected to expand, the recovery of the Chinese smartphone market should be faster than expected.
