Emir BardakçıXiaomi has posted impressive first-quarter performance in China’s smartphone industry in 2025, registering unprecedented 40% year-over-year growth, as revealed by CounterPoint Research. This has put Xiaomi and Huawei at the helm in China’s competitive telephone market, each holding equal 19% share. The phenomenal performance shows Xiaomi’s sustained innovation in offering innovative technology and unmatched value for Chinese users, solidifying the commitment of making advanced smartphones affordable for all.
Solid Market Performance for All Major Brands
CounterPoint Research found China’s overall Q1 2025 smartphone shipments rose 5% from a year ago, led mainly by national subsidy policies. But Xiaomi and Huawei were easily the top performers, each crossing important growth benchmarks.
Evolution of Market Share
The dynamics in the smartphone market revealed interesting changes across quarters:
- Xiaomi: Steady growth from 13% (Q4 2023) to 19% (Q1 2025)
- Huawei: Retained its strong position at 19% market share
- Apple: Down from 21% to 15% market share
- OPPO (including OnePlus): Stable at 15%
- Vivo: Minor drop off to 14%
- Honor: Fell to 13%
Government Subsidies Drive Market Growth
The subsidy policies introduced by the Chinese government were a significant factor in boosting demand for smartphones. In early times, subsidies were given for devices that cost less than ¥6,000 ($830 USD), benefiting mainly mid-tier makers such as Xiaomi. This policy hit Apple hard, since all the leading models including the hit Pro versions were above the subsidy level.
The subsidies, nonetheless, were expanded in March 2025 to cover premium devices priced higher than ¥6,000, for which 10% subsidies will be given for higher-end models. The increase is likely to lift overall performance during following quarters.
Xiaomi’s Strategic Advantages
Xiaomi’s impressive 40% growth could be explained by a number of important factors
- Comprehensive product portfolio across various price categories
- Strong value proposition balancing high-end features and affordable prices
- Strong integration into an ecosystem using HyperOS
- Strategic positioning within government subsidy limits
For users who wish to get the most out of Xiaomi, the new updates and features can be obtained from HyperOSUpdates.com or downloaded from the Play Store via the MemeOS Enhancer app. The MemeOS app has further functionality such as unlocking secret Xiaomi functionality, system app updates, and screen-based update access.
Market Outlook
Although overall performance in the quarter has been below projections because of slackening demand after the Spring Festival, recovery has been seen in the smartphone sector. An increased subsidy program and ongoing innovation from companies such as Xiaomi portend good momentum for the rest of 2025.
Xiaomi’s accomplishment at matching Huawei for leadership marks a remarkable milestone, showing the brand’s capability for holding its own in one of the world’s most challenging markets for smartphones
Sources: CounterPoint Research
