Smartphone manufacturers face a sharp production slowdown in the first quarter of 2026. Xiaomi cut its output by nearly 40 percent compared to the same period last year. This drop reflects broader supply chain pressures and shifting demand across the global market.
TrendForce data reveals shifting production volumes across major smartphone manufacturers due to memory costs and demand changes.
TrendForce reported that Vivo also reduced production volumes by eight percent during the same timeframe. Samsung managed a modest two percent increase in manufacturing activity. Apple expanded its output by twenty percent, driven by strong sales of the iPhone 17 series.
The smartphone sector produced 284 million units worldwide in Q1 2026, marking a 1.7 percent decline from the previous year. Memory costs rose sharply since late 2025 as DRAM and NAND flash prices climbed. Manufacturers still hold inventory from the prior year, which has temporarily buffered production lines against immediate shortages.
DRAM pricing trends continue to influence device assembly schedules. The memory market shows signs of strain after months of steep cost increases. Existing stock levels allow factories to maintain operations despite higher component costs.
Apple gained ground in Q1 2026 as iPhone 17 series demand outpaced expectations. Samsung posted small gains while Xiaomi and Vivo faced steeper declines. The industry recorded a slight overall contraction in manufacturing volume.
Xiaomi, Vivo, Samsung, and Apple adjusted production levels differently during the first quarter of 2026. Memory costs rose since fall 2025, but existing inventories delayed immediate supply constraints. Total output fell slightly year-over-year to 284 million units.
Source: NotebookCheck
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