The European Union’s recent directive, which mandates USB-C as the standard charging port for all electronic devices sold within its borders, is poised to significantly impact the refurbished smartphone market. Starting from 28 December 2024, this directive will, on paper, block imports of smartphones without USB-C ports. The reality depends on enforcement by EU member states. This move has created both challenges and opportunities in the refurbished device sector.
Impact on the secondary mobile market: Apple iPhone dominance
Currently, most used and refurbished smartphones sold in the EU are Apple iPhones, specifically the iPhone 12 and 13 models, which still use the Lightning port. Although the launched Apple iPhone 15, introduced last year, complies with the USB-C requirement, it will take time before this model becomes widely available in the refurbished and used market. This delay is expected to create a supply crunch, especially as non-USB-C phones gradually phase out. While devices already in the EU can continue to be sold, the transition period will necessitate meticulous inventory and supply chain management to meet ongoing demand.
Increasing investment in local trade-in programs
To tackle this impending shortage, companies in the secondary phone market will need to invest heavily in trade-in programs. And luckily, we have seen more and more trade-in schemes being implemented in Europe. This will encourage consumers to trade in their much-needed older models—particularly non-compliant devices—will be vital in maintaining a steady flow of refurbished, USB-C compliant phones. Diogo Santos, IDC’s global lead for used device research, stresses that proactive measures will be essential to stabilize supply during this transition.
Boosting consumer awareness for greater trade-in participation
Consumer participation in trade-in programs will be crucial. Europe has the highest number of unused phones languishing in drawers, which represents both a waste of resources and a potential source of compliant devices. By raising awareness of the benefits of trading in old phones, the industry can reduce electronic waste while ensuring a steady flow of devices that meet the EU’s USB-C standards.
A path forward: adaptation and innovation
As the EU implements this directive, adaptability and innovation will be key. Companies that embraced the changes and invested in solutions to address the supply challenges will be well-positioned to thrive. This is a pivotal moment for the refurbished smartphone market—a time to turn regulatory challenges into opportunities for sustainable growth and progress.
Market
Trade-in
Repair
Refurbishing
