Samsung Electronics' sales in the Chinese market continue to decline. Its annual sales in China stood at slightly higher than 30 trillion won last year, down by 10 trillion won compared to two years ago.
Key factors behind the decline in Samsung's sales in the Middle Kingdom include the decrease in its Galaxy smartphone sales due to strong challenges from local smartphone makers such as Huawei and Xiaomi.
According to Samsung Electronics' business report for 2015, published on April 3, its sales in China amounted to 30.98 trillion won last year, down 6.17 percent from a year ago. Samsung chalked up sales of 40.15 trillion won in China in 2013. Over the past two years, its Chinese sales declined by 22.8 percent, far higher than its overall sales decline of 12.3 percent during the same period.
Accordingly, the share of China in Samsung Electronics' overall sales slipped to 16.0 percent in 2014 and 15.4 percent in 2015 from 17.5 percent in 2013. The main factor behind such a decline is the sluggish performance of its mobile business in China. Samsung Electronics' market share in China's smartphone market slipped to No. 4 with 7.7 percent last year.