Despite a Sluggish Global Smartphone Production in Q2 2023, Samsung Remains the Most Productive

Based on data from market research firm TrendForce, global smartphone production reached 272 million units in Q2 2023. This figure represents a 6.6% year-on-year (YoY) drop compared to Q2 of the previous year, which saw production of 292 million units.

TrendForce identified several key factors contributing to the decline in global smartphone production. These include weak demand despite the easing of pandemic lockdowns in China and sluggish demand in emerging markets like India.

Weakening economies, leading consumers to curb spending, also contributed to the decline, prompting companies to cut production this quarter.

This global smartphone production decline affected the two largest brands in the world, Samsung and Apple.

Apple experienced the steepest production decline, falling 21.1% YoY to 42 million units in Q2 2023.

Samsung saw a 12.4% YoY decrease during the same period. Despite this, the South Korean manufacturer remained the most productive among major brands, producing 53.9 million units.

Xiaomi recorded smartphone production of 35 million units this quarter, a 32.1% YoY increase. Oppo followed, producing 33.6 million smartphones, a 25.4% increase in Q2 2023.

Amidst the shrinking global smartphone production, Chinese manufacturer Transsion experienced the highest production increase, reaching 71.9% YoY.

This mobile phone company, which oversees the Techno, Itel, and Infinix brands, recorded smartphone production of 25.1 million units in the April-June 2023 period.

TrendForce attributes Transsion's high production output to several factors, including increased inventory, new product launches, and Transsion's entry into the mid-to-high-end market.

Transsion's achievement even displaced Vivo to last place, with smartphone production of 23 million units, a 15% YoY increase.

TrendForce also predicts that the smartphone market may experience further shifts in the second half of 2023 due to poor economic conditions and potentially reduced goods production.

"Even if economic indicators in the Indian market improve, it will still be difficult to reverse the global decline in smartphone production," TrendForce wrote in its report.