logo
Huawei tops China smartphone market for first time in years

Huawei tops China smartphone market for first time in years

The Star19 hours ago
New Huawei Pura 80 Ultra smartphones are seen on display at the Huawei Shanghai flagship store in the Huangpu district in Shanghai. The hardware giant held on to a roughly 18% share of the market in the June quarter, while other leading competitors like Vivo and Oppo slumped, according to IDC data. — AFP
Huawei Technologies Co took the top spot in China's smartphone market for the first time in more than four years, a comeback fuelled by new designs and software that appealed to users in a slowing market.
The hardware giant held on to a roughly 18% share of the market in the June quarter, while other leading competitors like Vivo and Oppo slumped, according to IDC data. The Shenzhen device maker showed greater resilience than rivals as overall shipments in China fell 4% to 69 million units.
Huawei's recovery follows years of US export restrictions, which spurred the company to develop its own hardware and technologies, including artificial intelligence chips. In 2024, Huawei launched several smartphones powered by domestically designed and manufactured semiconductors, including the world's first commercially available device with two folds. It's also added smartphones with its own operating system, transitioning away from Google's Android.
IDC researchers saw the first decline in China shipments after six consecutive quarters of growth, attributing that to diminishing help from government subsidies.
"Despite the recent US-China trade truce, the broader economic environment presents ongoing challenges, with consumer confidence remaining subdued,' said Arthur Guo, senior research analyst at IDC China. "A significant uplift in smartphone demand is unlikely in the immediate term.' – Bloomberg
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Sabah to buy 25% PETRONAS ZLNG stake
Sabah to buy 25% PETRONAS ZLNG stake

The Star

time30 minutes ago

  • The Star

Sabah to buy 25% PETRONAS ZLNG stake

The HoA was signed by SMJ Energy CEO Datuk Dr. Dionysia Aloysius Kibat (second from right) and PLSB CEO Shamsairi M Ibrahim (fifth from right), in the presence of Sabah Chief Minister Chief Minister Datuk Seri Hajiji Noor (third from right) and PETRONAS President and Group CEO Tan Sri Tengku Muhammad Taufik (fourth from right). KOTA KINABALU: The Sabah government, through SMJ Energy Sdn Bhd, has signed a head of agreement with PETRONAS LNG Sdn Bhd to acquire 25% equity stake in the US$3.1bil (RM13.17bil) nearshore floating liquefied natural gas (ZLNG) facility in Sipitang. The ZLNG, currently under construction, is expected to commence operations in the second half of 2027. Chief Minister Datuk Seri Hajiji Noor said the partnership marked another significant milestone in advancing Sabah's long-term development goals, which include promoting industrial growth, enhancing energy security, and creating new opportunities to drive the state's progress. 'Through strategic investments such as ZLNG, we will strengthen the state's economic resilience while ensuring that the benefits of Sabah's natural resources directly contribute to the well-being of our people,' he said in a statement yesterday. — Bernama

Johnson & Johnson lifts forecast on lower costs
Johnson & Johnson lifts forecast on lower costs

The Star

time30 minutes ago

  • The Star

Johnson & Johnson lifts forecast on lower costs

J&J said it now expects about US$200mil in tariff-related costs this year, exclusively tied to its medical devices unit. — Reuters NEW YORK: Johnson & Johnson (J&J) has halved its expectations for costs this year related to new tariffs and raised its full-year sales and profit forecasts after a strong quarter for flagship cancer drug Darzalex and its cardiovascular devices. The company's shares rose 5.9% to US$164.29 in Wednesday's morning trade. J&J said it now expects about US$200mil in tariff-related costs this year, exclusively tied to its medical devices unit, saying it had benefited from the Trump administration's pause on China levies and other duties. It had previously pegged costs at about US$400mil starting in the second quarter (2Q25). J&J's chief financial officer Joe Wolk told Reuters the company was able to absorb those costs and still raise its profit outlook, adding that he expected the impact this year to be minimal. He noted that it was too soon to predict tariff impacts for 2026: 'It's such a fluid environment, we'll have to wait and see.' The company will look to reinvest the difference in its product pipeline, a J&J executive said during an investor call. Imports from most major trading partners are currently subject to levies of at least 10%, but in recent days US President Donald Trump has threatened 30% tariffs on the European Union and 50% on Brazil. Trump plans separate pharmaceutical tariffs and recently said they could be delayed, but eventually be as high as 200%. China is a key market for J&J's device business, although it does not reveal how much revenue it generates from the country. 'For J&J, it's mostly what they sell into China,' said Jeff Jonas, portfolio manager at Gabelli Funds, which owns shares of the company. Jonas added that while the final rate of tariffs remains unknown, J&J has made the necessary cost cuts to offset impact. The drug and medical device maker beat Wall Street expectations for 2Q25, posting adjusted earnings of US$2.77 per share versus analyst expectations of US$2.68 per share, according to data compiled by LSEG. Quarterly sales stood at US$23.74bil, beating analysts' expectations of US$22.84bil. Citing robust quarterly performance, J&J raised its 2024 sales forecast by about US$2bil and above analyst expectations of US$91.5bil, upping its range to US$93.2bil to US$93.6bil. J&J said it expects to earn US$10.80 to US$10.90 per share on an adjusted basis in 2025, compared with its previous forecast of US$10.50 to US$10.70 per share. JP Morgan analyst Chris Schott said in a note that J&J's roughly US 25 cents profit guidance boost outpaced expectations, but about 17 US cents of that comes from a weaker dollar. He added that he sees the drugmaker's core business as strong and on track for consistent 5% or more sales growth. The drugmaker's outlook excludes any effects from Trump's 'most favoured nation' drug pricing order from May, a J&J executive said during an investor call. The order directs pharma companies to slash US drug prices to international levels. Excluding foreign currency impact, medical device sales jumped 6.1% to US$8.54bil, outpacing predictions of US$8.25bil. J&J saw gains from new products including Varipulse and Trupulse, which are used for pulsed field ablation, as well as double-digit growth for Abiomed products, specifically its Impella heart pumps. Jonas said he was surprised by the stock increase, given that strong medical device volumes had been mostly anticipated, with both insurers and hospitals indicating robust surgical activity during the quarter. J&J is betting on cardiovascular and surgery – especially with its move into robotics – as the key engines of growth for its medtech unit, an executive said during the investor call. Darzalex, a blood cancer therapy launched in 2015, brought in 2Q25 sales of US$3.54bil, compared with analysts' expectations of US$3.38bil. — Reuters

Oil settles down on US fuel inventory build
Oil settles down on US fuel inventory build

The Star

time6 hours ago

  • The Star

Oil settles down on US fuel inventory build

Brent crude futures settled 19 cents, or 0.3% lower, at US$68.52 a barrel. US West Texas Intermediate crude futures were down 14 cents, or 0.2%, at US$66.38. HOUSTON: Oil prices settled marginally lower on Wednesday as US fuel inventory builds and concerns about wider economic impact from US tariffs outweighed some signs of increasing demand. Brent crude futures settled 19 cents, or 0.3% lower, at US$68.52 a barrel. US West Texas Intermediate crude futures were down 14 cents, or 0.2%, at US$66.38. US gasoline stocks rose by 3.4 million barrels last week, the Energy Information Administration said. Analysts had expected a draw of 1 million barrels.​ Distillate stockpiles, which include diesel and heating oil, rose by 4.2 million barrels, EIA data showed, far surpassing expectations for a 200,000-barrel rise. Crude inventories fell by 3.9 million barrels to 422.2 million barrels last week, the EIA said, exceeding forecasts for a 552,000-barrel draw. "I think the market is disappointed to see large builds in gasoline and distillate inventories as refiners are operating at near their highest levels of the year turning oil into refined products," said Andrew Lipow, president of Lipow Oil Associates, referring to refinery rates of nearly 94% of total capacity. "I think investors are also disappointed to see gasoline demand fall just after July 4 as we are now in the peak summer driving season," he added. The amount of products supplied for gasoline, a proxy for demand, eased 670,000 barrels per day to 8.5 million bpd. US President Donald Trump's tariff war continued, with the European Commission preparing possible retaliation if talks with Washington fail to secure a trade agreement for the European Union. On Monday, Trump said the US will impose "very severe tariffs" on Russia in 50 days if there is no deal to stop the war in Ukraine. Short-term US interest-rate futures rose after a report that Trump was likely to fire Federal Reserve Jerome Powell soon, with traders now betting on rate cuts starting in September and at least one more by December. Trump said he was not planning to fire Powell, but declined to rule out anything. Interest rate cuts typically boost economic activity and energy demand. Helping keep a floor under prices, US economic activity increased slightly in recent weeks, but the outlook was neutral to slightly pessimistic, the Federal Reserve said on Wednesday, as businesses reported the Trump administration's higher tariffs were putting upward pressure on prices. Opec's monthly report on Tuesday forecast that the global economy would do better in the second half of the year. Brazil, China and India are exceeding expectations while the United States and EU are recovering from last year, it added. Chinese state-owned refiners are ramping up output after completing maintenance to meet higher third-quarter fuel demand and to rebuild diesel and gasoline stocks at multi-year lows, traders and analysts said. Barclays estimated that Chinese oil demand in the first half of the year grew by 400,000 bpd year-on-year to 17.2 million bpd. On the supply side, drone attacks for a third day on oilfields in Iraq's semi-autonomous Kurdistan region have slashed crude output by 140,000 to 150,000 barrels per day, two energy officials said on Wednesday, as infrastructure damage forced multiple shutdowns. — Reuters

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store