Asustek Computer will struggle to attain its revised goal of shipping 25 million smartphones in 2016 due to strong competition it faces from local vendors in China, as well as from China- and India-based vendors in India, according to industry sources.

The company lowered its 2016 shipment target from 30 million units to 25 million units in February due to a delay in launch of new models.

Having just begun ramping up shipments of its new ZenFone 3 series products in August, the primary goal of Asustek's smartphone business units is now to pursue profits rather than to achieve its shipment target, company CEO Jerry Shen said at its latest investors conference held recently.

Judging from lower than expected performance in the China and India markets, and having shipped only eight million smartphones in the first half of 2016, Asustek is expected to be able to ship up to or slightly over 20 million smartphones in the year, the sources estimated.

Along with Samsung Electronics and Apple, Asustek has seen its share in the China market continue to decline due to keen competition from local vendors including Huawei, Oppo, Vivo, Xiaomi Technology and Lenovo, indicated the sources.

While Asustek has been able to ramp up its shipments in India since the beginning of 2016, shipments from local and China-based brands however have been growing at a pace faster than Asustek's, commented the sources.

Asustek shipped two million smartphones in India in 2015 and aims to ramp up shipments to three million in 2016.