Apple raises trade-in values to boost iPhone sales in China

In recent weeks, Apple has increased trade-in values for old iPhones in China, aiming to stimulate demand in a highly competitive market. This change includes a rise in the trade-in value for the iPhone 15 Pro Max, which can now yield up to 5,700 Chinese yuan, up from 5,625 yuan. The new adjustments come amid a backdrop of declining sales and market share for Apple, particularly against local rivals such as Xiaomi and Huawei. Data indicates a decrease in Apple's China shipments by 8% year-on-year, with market share slipping from 15% to 13% in the first quarter. The company has been active in adjusting prices and offering discounts, especially during holiday seasons, as it seeks to bolster sales in an essential market. Additionally, the tech giant is encountering challenges that go beyond simple sales figures, including complications regarding its supply chain and ongoing discussions surrounding tariffs on electronics. Although current U.S. tariffs on products from China have been placed on hold, uncertainties linger, particularly related to electronics manufacturing, which primarily takes place in the country through partnerships with firms like Foxconn. Furthermore, Apple is reportedly considering moving more production to other countries, such as India, as part of its long-term strategy to diversify manufacturing. However, this shift has faced opposition from U.S. President Donald Trump, who prefers domestic production to overseas manufacture. As Apple navigates these complexities, the increasing competition from both Xiaomi and Huawei—a company that has successfully launched new devices and made significant advancements in chip technology—poses a substantial threat to Apple's position in the market. The latest trade-in offer is framed as temporary and is designed to incentivize purchases of iPhone 16 models or previous versions. This promotional period will last until June 18, and Apple emphasizes that trade-in values can vary significantly based on the condition of the device being exchanged. For instance, trading in an iPhone 15 Pro Max can net an additional $30 in value compared to previous offers, with maximum trade-in value for devices ranging from $30 to $650, depending on the model and condition. The competition and promotional activities highlight Apple's efforts to reclaim momentum in the Chinese market as it grapples with wider issues affecting its sales and market presence.