In the US, 7 out of every 10 smartphones made in China

[beijingwalker]

In the US, 7 out of every 10 smartphones made in China
Jon Fingas
9 hours ago

• About 70% of smartphones shipped to the US in Q2 2020 were made in China, Canalys estimated.
• Apple, Motorola, and low-cost brands such as Unimax and Wiko thrived.
• Samsung was relatively stable as compared to previous quarters.

The United States and China are on less-than-friendly terms at the moment, but you wouldn’t know it by looking at the smartphone market. Canalys estimated that China-made devices represented 70% of smartphones shipped to the US in the second quarter of 2020, a sharp jump from 60% the quarter before.


Apple was one of the clear winners, with shipments jumping 10% versus a year earlier. Other brands also fared well, though. Motorola (that is, Lenovo) saw its own shipments climb 8% in the Spring. Additionally, relatively tiny low-cost brands such as Unimax and Wiko also thrived.

COVID-19 likely reason for surge of smartphones made in China
It won’t shock you to hear that the COVID-19 pandemic likely played a role in the shift. Many consumers needed to be more cost-conscious due to unemployment and personal budget cuts. The $399 iPhone SE was one of Apple’s stronger sellers, for example. As another example, those previously mentioned low-end Android devices sometimes went to people signing up for Lifeline. That’s an assistance program that offers subsidized phone service for low-income families.

The average price of a phone sold in the US dropped to $503, or 10% less than a year earlier.


There was some stability for companies that generally make phones outside of China. Samsung’s numbers were virtually flat year-over-year as sales of budget phones like the Galaxy A10e and A20 made up for shortfalls with flagships like the S20. LG’s numbers dipped 19% over the same period, but it was considered relatively stable. And Chinese connections weren’t a guarantee of success — TCL saw its shipments plunge 43% despite launching phones like the 10 series.

The situation could change wildly. Canalys noted that volatile US-China tensions were creating a “perpetual state of uncertainty” for virtually every phone maker beyond Samsung and LG. Even if the pandemic came to an end soon, phone makers might not breathe a sigh of relief until the political climate settles down.

https://www.androidauthority.com/70-percent-us-smartphones-made-in-china-1146888/

 

[Shehr Abbasi]

China shouldn’t dance around these numbers.

Sadly, America can very easily move their factories to another poor country.

 

[beijingwalker]

China shouldn’t dance around these numbers.

Sadly, America can very easily move their factories to another poor country.

They can... or they can't, China's economy and trade are booming while US is plummetting. China doesn't have many US factories, almost all factories are owned by China herself.

 

[FairAndUnbiased]

China shouldn’t dance around these numbers.

Sadly, America can very easily move their factories to another poor country.

Pakistan's GDP per capita is less than 1/5 China's GDP per capita. Why don't they "move" these factories to Pakistan?

 

[beijingwalker]

A record 70% of smartphones sold in the US in Q2 2020 are made in China – Canalys
Jed John Ikoba
Aug 12, 2020

This isn’t definitely good times for US-China trade relationships with the US government clamping down on several Chinese companies including tech giants Huawei, ZTE and of late, TikTok (ByteDance). Out of this turbulent water comes a report bothering on the US smartphone market performance in the second quarter of the year.

The report published by Canalys stands out in several ways but the major reason why we find this surprising is the disclosure that 70% of smartphones that were shipped in the US in Q2 2020 were manufactured by Chinese OEMs. This is noted to be 10% higher than the estimate for Q1 2020 which was estimated to be 60%.

The report equally shows that the COVID 19 pandemic was responsible for the spike in demand for cheap phones most of which were manufactured in China. This is due to consumers adopting a cost-conscious approach towards spending as a result of job loss and a slowed-down economy. The average price of a phone sold in the US dropped to $503, or 10% less than a year earlier. Also, more people signing up for Lifeline, an assistance program that offers subsidized phone service for low-income families contributed to the jump in the sales of low-end Android devices.

As expected, Apple is still the brand to beat in the US with a 10% jump in shipment compared to last year. The iPhone SE 2020 which was launched for $399 is one of the company’s top-selling model in Q2 2020 which is a reflection of a reduction in consumer’s spending power.

Other brands that also saw a rise in their shipments include Lenovo-owned Motorola with an 8% rise in shipment Year-on-Year. Also, low-cost brands such as Unimax and Wiko also recorded improved shipments.

Samsung’s shipments were flat year-over-year as sales of budget phones like the Galaxy A10e and A20 mitigated the shortfalls recorded from uninspiring sales of flagships like the S20. LG’s numbers dipped 19% over the same period, but it was considered relatively stable. And Chinese connections weren’t a guarantee of success — TCL saw its shipments plunge 43% despite

Canalys also opined that the volatile US-China tensions were creating a “perpetual state of uncertainty” for virtually every phone maker beyond Samsung and LG. Thus, the market may not rebound for phone makers even after the pandemic unless the political climate settles down.

https://www.gizmochina.com/2020/08/...-the-us-in-q2-2020-are-made-in-china-canalys/