Apple’s Year-End Production Peak and China’s Subsidy Policies Drive 9.2% QoQ Growth in 4Q24 Smartphone Production

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TrendForce reports that global smartphone production in the last quarter of 2024 reached 334.5 million units, reflecting a 9.2% QoQ increase, driven by Apple’s peak production season and consumer subsidies from local Chinese governments. While Apple expanded production with the launch of new models, Samsung faced production declines due to intensified competition in emerging markets.

In the first half of 2024, the smartphone market was no longer impacted by high channel inventory compared to the same period last year. With seasonal demand and government subsidies driving growth in the second half, total annual production reached 1.224 billion units—a 4.9% YoY increase. However, 2025 production growth is expected to slow to just 1.5%, as global economic recovery remains sluggish and geopolitical risks, including tariff hikes, weigh on consumer spending.

Apple surged to the top spot after producing 80.1 million units—a 57.4% QoQ jump—in 4Q24. Its total 2024 production remained steady at 223 million units, similar to the previous year. However, its AI-powered features currently support only limited languages, failing to significantly boost sales. A global rollout of multilingual AI functions in April 2025 is expected to drive renewed demand.

Samsung dropped to second place, producing 52.4 million smartphones, down 10.6% QoQ. Its decline in market share reflected the completion of flagship model restocking and increased competition from Chinese brands in key markets like India and Africa. Samsung’s total production 2024 fell 2.1% YoY to 224.3 million units.

Xiaomi (including Redmi and Poco) secured third place, with Q4 production rising 4.7% QoQ to 44.5 million units. For 2024, it produced 169.9 million units, a 15.3% YoY increase. Xiaomi’s well-balanced lineup across premium, mid-range, and budget segments, coupled with its high-value pricing strategy, resonated with consumers amid economic uncertainty. China’s subsidy programs further boosted its local market share, positioning Xiaomi for continued growth in 2025.

OPPO (including OnePlus and Realme) ranked fourth, producing 36.8 million units in Q4, a slight 1.1% QoQ decline. Total 2024 production reached 143.4 million units, reflecting a 3.1% YoY increase. While OPPO also benefited from China’s subsidies, the impact was primarily seen in increased high-end smartphone sales rather than overall volume growth.

Vivo (including iQoo) ranked fifth, producing 28.6 million units in Q4, a 5.9% QoQ increase. Annual production for 2024 reached 103 million units, a 10.2% YoY increase, with sales growth driven by China’s subsidy policies.

Transsion (including TECNO, Infinix, and itel) secured sixth place, with Q4 production rising 5.9% QoQ to 27 million units. Total 2024 production reached 105.9 million units, largely fueled by aggressive inventory replenishment in Q1. However, since Transsion’s primary markets are outside China, it did not benefit from Chinese subsidies, leading to weaker production growth in the second half of the year compared to Vivo.