Global brands including US tech giant Apple have recorded an unexpected bump in sales in China over recent months, as they reap the benefit of Beijing’s giant consumption-boosting subsidy campaign.
China has ploughed 300 billion yuan (US$40.9 billion) of funding from a special bond sale this year into the trade-in programme – which provides hefty discounts on goods ranging from cars to smartphones – as the government strives to raise domestic demand and offset the impact of US tariffs.
The policy had already driven 1.1 trillion yuan in sales as of the end of May, according to data from the Ministry of Commerce, providing a boost to several major multinationals.
Sales of iPhones in China grew by 8 per cent year on year in the second quarter of 2025, marking Apple’s first quarter of positive sales growth in the country for two years, consulting firm Counterpoint Research said in a research note on Thursday.
The report attributed the uptick to Apple’s aggressive discount campaigns in May, which were bolstered significantly by China’s national trade-in programme. The company cut prices for the iPhone 16 series ahead of China’s “618” shopping festival on June 18.
“Second quarter performance has been propped up by the national subsidy for smartphones, but it looks like the programme will be scaled back during the latter half of the year,” the note said.
