Xiaomi has sold the country's 10.5 million. Smartphones during the period, which is less than 17.1 million. Units that sold in the same quarter a year earlier, according to research firm International Data Corp. This makes the company the fourth largest player in the market after Huawei, OPPO and Vivo.
The Chinese market has become increasingly competitive as local smartphone manufacturers improved quality, design and advertising, putting pressure on world leaders Apple and Samsung Electronics.
Apple's sales in China shrank by 32 percent in the second quarter and the manufacturer of the iPhone is now in fifth position in the market, according to IDC.
According to research firm Huawei and OPPO have raised forces, they have focused on one or two key elements. Huawei bet on camera Leica, while OPPO - technology for fast charging.
Global sales of Apple's expected to fall in 2016 as the company continues to face problems of its largest overseas market, Canalys said in a separate report.