Apple CEO Tim Cook attends China Development Forum in 2017
Apple CEO Tim Cook is facing a growing threat in China from rival smartphone makers.
  • Apple's China problems are about to get bigger.
  • Domestic chipmakers are drawing up plans to supply smartphone makers like Huawei with advanced chips.
  • It's a move that could help Chinese smartphone makers produce more rivals to the iPhone.

Apple is about to face another big problem in China.

Huawei, one of its largest competitors in the region, is about to get a huge technological boost that will help its handsets compete with iPhones.

Chinese smartphone makers have had a hard time getting their hands on high-end semiconductors — a crucial smartphone component — in recent years.

This has been due to tough export restrictions in the US that have prevented Western chipmakers from shipping their best tech to China.