Chinese smartphone makers have launched aggressive price cuts ahead of the “618” mid-year shopping festival. Market leader Huawei is offering its first-ever discounts on the Mate X6 and Mate X7 foldables — cuts of up to 3,000 RMB ($441) — while Xiaomi has reduced its 15 Ultra by 1,500 RMB ($220). The promotions target older models as soaring chip and AI hardware costs drive a broader wave of price hikes, contributing to a 4% Q1 2026 decline in China smartphone shipments. Huawei (20% Q1 market share) leverages premium positioning above 6,000 RMB ($881) to absorb cost pressure, while rivals including Xiaomi — down 35% in Q1 China shipments — face margin compression.

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