China Smartphone Tracker (May): Historical high ASP and inventory level

Research evidence excerpt

China Smartphone Tracker (May): Historical high ASP and inventory level

8 July 2026

Global Semiconductors & Hardware

China Smartphone Tracker (May): Historical high ASP and

inventory level

Please download our smartphone monthly tracker data from here. Mark Li

+852 2123 2645

mark.li@bernsteinsg.com High memory costs pressured all segments. In May, China smartphone sell-through

picked up 5% MoM but dropped 20% YoY to 17.3M units, making 5M26 cumulative shipment

Stacy A. Rasgon, Ph.D. fall by 9% YoY. High memory price weighed on all segments with low-, mid-, and high-end

+1 213 559 5917 segment dropping 38%, 17%, and 5% YoY, respectively. The contribution from entry-level

stacy.rasgon@bernsteinsg.com

models in the overall shipment mix fell to a record low in May.

Mark C. Newman

+1 212 845 7822 Historical high ASP ... May ASP rose 24% YoY, a clear acceleration from the mid-teens %

mark.newman@bernsteinsg.com seen in 4M26, and was materially higher than prior-year levels. We attribute this to both an

upgrade in shipment mix during the “618 Shopping Festival” and memory costs resulting in

Alex Wang, CFA reduced low-end contribution & also like-for-like price hikes. We remain cautious on demand,

+852 2123 2613

alex.wang@bernsteinsg.com as higher handset prices could suppress volumes and ultimately limit further ASP upside.

… and inventory level. After adjusting for possible obsolescence, we still find Android Eunice Lee, CFA

+852 2123 2606 brands have recorded notably higher sell-in than sell-through for two consecutive months.

eunice.lee@bernsteinsg.com Their inventory level reached a historical high of 3.9 months. Smartphone OEMs found

themselves caught in a dilemma of high-inventory and thin (or even negative) margin, and that