The tech giant’s overall retention rates fell to 75% in September compared to 82% during the same period a year earlier, according to a semi-annual survey from UBS. After polling some 6,500 consumers across five countries, UBS found that demand for the iPhone 7 was much lower in China than in the U.S.: Smartphone users who were “very likely” or “somewhat likely” to buy the iPhone 7 fell to 43% from 54% for the 6s and 64% for the 6.

That’s largely because Apple (AAPL) has lost a significant chunk of users in China to domestic brands like Xiaomi and Huawei. As Apple demand wanes, Chinese competitors are stepping up to offer better products, according to the Wall Street Journal.

While UBS projects the company will have a “soft” fiscal year in China in 2017, the firm believes Apple’s brand “remains strong.” As a result, UBS kept a “buy” rating on the company’s stock, predicting iPhone unit growth of 6% in fiscal year 2017 and 16% in fiscal year 2018.

Shares of Apple traded down 2% Tuesday, before remaining largely flat in after hours.

UBS’ survey results come on the heels of Apple’s disappointing fiscal fourth quarter in late October. The tech giant reported its third consecutive quarter of flagging iPhone sales, with revenue down 9% to $46.85 billion. Shares of Apple have fallen 6% since earnings were announced.