Chinese tech giant Huawei on Tuesday unveiled the world's first triple-folding phone at more than three times the price of the newest iPhone, hours after its US competitor lifted the curtain on its own new handset built for AI.

The Mate XT was officially launched in a keynote presentation by Huawei executive Richard Yu at the firm's headquarters in the southern city of Shenzhen.

Originally designed as a premium phone for a niche audience, more than three million people registered interest in buying the Mate XT ahead of its launch.

The gadget officially goes on sale on September 20, with prices beginning at an eye-watering $2,800 -- over three times more than the new iPhone 16.

Advertised in a sleek red and gold design, the phone can transform into a 10.2 inch (26 centimetre) tablet and weighs 298 grams (10.5 ounces).

"This is the world's first triple-folding phone," Yu said at the keynote.

"We have put in a huge amount of effort into solving the problems regarding mass production and product reliability," he added.

Its release comes a day after Apple announced its iPhone 16, built for generative artificial intelligence as it seeks to boost sales and keep up in the technology race.

Taking on Apple?

One observer said the launch of Huawei's trifold phone was unlikely to make a big dent in Apple's sales in the premium phone sector given its price and the California giant's hold in China.

"Its impact on Apple's market share is likely to be very limited" given Apple's popularity in the country, said Ethan Qi, associate director at research firm Counterpoint.

But another added that it would boost the company's "technological leadership".

"It will fortify its position as a leader in the foldable phone sector among consumers," Toby Zhu, senior analyst at Canalys, told AFP.

He also said the high price may not necessarily deter the target consumer group as "the purchasing power of China's most affluent consumers has increased despite the less favourable general economic climate".

Huawei was once the country's largest domestic smartphone maker, before it became embroiled in a tech war between Washington and Beijing.

It is now China's fourth-largest smartphone maker, shipping 10.6 million units in the last quarter, according to a recent report by research firm Canalys.

US sanctions cut off its access to American technology and crippled its smartphone business -- but it made a surprise comeback last year with smartphones powered by domestically made chips.

It is also the biggest seller of foldable phones in China, with more than half of the domestic market share in the first half of 2024.