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Apple says it's back on track in China despite headwinds

Mac Pro production to stay in US after tariff exemption request rejected

An iPhone displays images of iPhone cases at a new Apple store in Washington.   © Reuters

PALO ALTO, U.S. -- Apple said Tuesday that it has returned to growth in mainland China and remains optimistic there despite such headwinds as slowing smartphone sales, growing competition and uncertainties from bilateral trade tensions.

Weakness persisted in its mainstay smartphone sales, with iPhone sales down 11.8% on the year in the quarter ended June 29. But performance in greater China improved on a quarter-to-quarter basis. The region, including the mainland, Hong Kong and Taiwan, registered a 4.1% year-on-year drop in overall product sales -- better than the 21.7% decline in the quarter ended March.

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