Agriculture faces a contradiction between sustainable resource utilization and maintaining market competitiveness. As a major agricultural product, the sustainability and competitiveness of the apple industry have become important topics. This study analyzes the competitiveness of China's apple industry and the factors affecting it. Using 2004 and 2018 data for eight Chinese provinces, principal component analysis and spatial autocorrelation are used to examine competitiveness in terms of five aspects: market, production, technology, organization, and environment. The results indicate that Shandong, Shaanxi, and Gansu were the most competitive during the study period while Hebei, Henan, and Ningxia lagged behind. Regional differences are obvious, with Shandong in particular showing a clear competitive advantage. Although no spatial agglomeration is observed in China's apple industry, with ongoing industrial development, local spatial correlations in the five aspects of competitiveness in the eight provinces have been increasing and gradually stabilizing. This study's findings suggest that improved scientific production, reasonable capital investment, and an established industrial chain are needed to promote local agriculture, economic development, and the central role of the apple industry.