Xiaomi became Southeast Asia’s top smartphone vendor in Q2 2025, its first lead since 2021, Canalys reported.

The Beijing-based firm shipped 4.7 million units, up 8% year-on-year, capturing 19% of the market and surpassing Transsion at 18% and Samsung at 17%.

Canalys said Xiaomi’s performance was supported by expanded sales channels, and strong growth of its Poco budget line and premium 15 series.

The company also leveraged TikTok Shop’s ecommerce platform to boost online-exclusive model sales and clear inventory through discounts and livestream selling.

Southeast Asia’s smartphone market declined 1% year-on-year due to tariff uncertainties and economic challenges.

Oppo and Vivo shipments fell 19% and 21%, while Honor more than doubled its shipments through higher-priced models.

🔗 Source: South China Morning Post

🧠 Food for thought

1️⃣ Chinese brands execute collective market strategy rather than competing individually

Xiaomi’s return to the top reflects a broader pattern where Chinese smartphone makers have systematically captured Southeast Asian market share over nearly a decade.

Chinese brands collectively held 62% of Southeast Asia’s smartphone market as early as 2019, up from 50% the previous year 1. By 2017, Chinese manufacturers had already surpassed Samsung as a group, shipping 29.6 million units compared to Samsung’s 29.3 million 2.

This suggests Chinese brands benefit from complementary positioning rather than direct competition. For example, Xiaomi focuses on value and online channels, while Oppo and Vivo emphasize offline retail and marketing.

The strategy has proven resilient even during market contractions, with Chinese brands maintaining dominant positions across different price segments and distribution channels throughout the region.

2️⃣ TikTok Shop represents fundamental shift in smartphone retail distribution

Xiaomi’s success leveraging TikTok Shop highlights how social commerce is reshaping smartphone sales beyond traditional retail channels.

The platform enables brands to clear older inventory through live-selling events and aggressive discounting, creating new revenue streams that weren’t available through conventional e-commerce or physical stores.