Domestic smartphone maker Vivo took the lead with a market shipment of 18.2 million units in the April-June period, while Oppo followed with 16 million units, data by technology market research firm Canalys showed.
Xiaomi, another Chinese brand, replaced Huawei in the third place in terms of shipments. It has shipped 12.6 million units during the period, while Apple came in fourth with a shipment of 7.8 million units.
Huawei, for the first time in more than seven years, fell out of the top five places among smartphone manufacturers in the domestic market, said Canalys.
"Smartphone brands are ferociously competing to exploit the decline of Huawei, and are proactively acquiring channel resources and launching new targeted products," said Canalys Research Analyst Amber Liu.
Also, the wave of 5G smartphone upgrades will start to wane as a large proportion of consumers have already shifted to the latest network generation, Liu said.
In the first half of the year, the Chinese mainland has shipped 167 million units of smartphones, down 9.9 percent from the same period in 2019, the data showed.
Nicole Peng, vice president of Mobility, thinks there are still positive signs for the second half of 2021.
The collective market share of the top five vendors has dropped from 95 percent in the second quarter of last year, when Huawei dominated, to 82 percent in 2021, according to Canalys.
With the new competitive landscape, Nicole Peng believes that diversity and competition will stimulate the Chinese market.
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