1 Part 1 . Overall Mobile Phone Market in China May domestic mobile phone shipments reached 37.8 million units, up 1.2 percent year over year. 62 new models were released in the month, down 50.8 percent year -over-year (y/y). Over the past 5 months, d omestic mobile phone shipments reached 159.5 million units and number of new model release reached 323, down 19.0 percent and 31.3 percent y/y respectively. Chart 1: Domestic mobile phone shipment s from May 2017 to May 2018 Part 2 . Development of 4G Mobile Phones May domestic 4G mobile phone shipments were 36.1 million units, up 1.7 percent y/y, and represented 95.3 percent of the total shipments. 53 new 4G models were released in the month, down 48.5 percent y/y, accounting for 85.5 percent of the total new models this month. Over the past 5 months, domestic 4G mobile phone shipments were 150.7 million units, down 19.3 percent y/y, and represented 94.5 percent of the total shipments. The total number of new model release reached 252, down 34.7 percent y/y, accounting for 78.0 percent of the total new model release. Of the total 4G mobile phone shipments this month, 95.9 percent of which were all networks supported, and 99.6%, 99.7%, 99.4%, 96.0% of the 4G mobile phones shipped supported FDD LTE, TD -SCDMA, WCDMA, cdma2000 network, respectively. 37 42 43 41 44 38 43 43 39 18 30 34 38 4.9% 5.1% 5.1% 10.3% 5.9% 6.2% 6.6% 5.1% 6.9% 3.2% 6.9% 4.6% 4.7% 0.2% 0.0% 0.1% 0.0% 0.0% 0.0% 0.0% 0.1% 0.0% 0.0% 0.0% 0.0% 0.0% 94.9% 94.8% 94.8% 89.6% 94.1% 93.8% 93.4% 94.8% 93.0% 96.8% 93.0% 95.4% 95.3% 0%50%100%150% 01020304050 17M5 17M6 17M7 17M8 17M9 17M10 17M11 17M12 18M1 18M2 18M3 18M4 18M5 Shipments(Unit: Million) 2G Share 3G Share 4G Share 2 Part 3 . Local and MNC Brands of Mobile Phones May mobile phone shipments by the local brands reached 34.0 million units, down 0.5 percent y/y, accounting for 90.0 percent of the domestic m obile phone shipments. Number of new model s released by the local brands (55 units) decreased by 53.8 percent y/y, and represented 88.7 percent of the total number of new model release in the month. Mobile phone shipment volume for year 201 8 by the local brands reached 141.6 million units, down 20.4 percent y/y, and accounted for 88.8 percent of the domestic mobile phone shipments. Number of new models released by the local brands ( 297 units) decreased by 33.0 percent y/y, and represented 92.0 percent of t he total number of new model release in the domestic market. Chart 2: May 2018 mobile phone shipments by local and MNC brands Part 4 . Development of Smart Phones May smart phone shipments were 36.0 million units, up 1.7 percent y/y, and accounted for 95.1 percent of the domestic mobile phone shipments in the month. Over the past 5 months, smart phone shipments were 150.5 million units, down 19.1 percent y/y, and represented 94.4 percent of domestic mobile phone shipments. In May, 53 new smart phone models were released, down 44.8 percent y/y, and accounted for 85.5 percent of the number of new release. Over the past 5 months, 254 new smart phone models were released, down 32.1 percent y/y, and accounted for 78.6 percent of the number of new release. Local Brands 90.0% MNC Brands 10.0%