“We are seeing a strong ramp up of shipments in emerging markets by vendors like Xiaomi and Transsion,” says IDC’s Nabila Popal, “while this is a good sign of approaching recovery, vendors must keep a close eye on sell-through to avoid falling into excess inventory again.”
China saw shipments fall 6.3% year over year in 3Q23, marking the tenth consecutive quarter of decline.
Climbing youth unemployment, the ongoing real estate crisis, and deflation have significantly damped consumer spending and broader macroeconomic environment in China.
