Apple China shipments grow 0.6%

Core Insights - Apple is experiencing a turnaround in China, with shipments increasing by less than 1% year-over-year, coinciding with CEO Tim Cook's visit to the market [1][3] - Cook is promoting the new iPhone 17 lineup and is leveraging government subsidies to boost sales of lower-end iPhones in China [3] - Apple is also focusing on diversifying its manufacturing base, moving production outside of China to mitigate tariff impacts, with plans to shift more production to India and Vietnam [4][6][5] Group 1: Market Performance - Apple's shipments in China are showing early signs of recovery, attributed to government subsidies that lower the price of certain iPhone models [3] - The base model of the iPhone 17 is already seeing increased sales in China due to these subsidies [3] Group 2: Strategic Moves - Tim Cook has promised new investments in China, although specific details were not disclosed [4] - Apple is lobbying for changes in tax laws to gain manufacturing equipment breaks, indicating a strategic shift in its operational approach [5] - The company plans to reduce its reliance on Chinese manufacturing, with estimates suggesting only about 9 million iPhones for the US market will come from China this year [6] Group 3: Product Developments - Apple announced new products including MacBooks, iPad Pro, and Vision Pro, featuring the new Apple M5 chip, which is more powerful than previous versions [7][8] - The M5 chip is designed for consumer products, differentiating Apple's approach from competitors focused on AI training [9][10]