China’s smartphone market contracted sharply in May, with total handset shipments dropping 21.8% from a year earlier to 23.72 million units, according to data released by the China Academy of Information and Communications Technology (CAICT). Sales of foreign-brand devices, a category that includes Apple, declined 9.7% to 4.54 million units. The figures underline continued weak consumer demand in the world’s largest mobile-phone market even before the usually slower summer quarter. Commenting on the data, Goldman Sachs said overall mobile demand remains challenged but noted that Apple showed its first month of relative strength in China since May 2024. The bank reiterated a Buy rating on Apple with a $253 price target, while cautioning that a sustained recovery will depend on broader market conditions.