Refurbished in Ukraine: a global trend gaining momentum in Ukraine and the world

There is a growing interest in refurbished gadgets around the world, and Ukraine is no exception. This market segment is developing rapidly, offering consumers high-quality equipment at a more affordable price and helping to reduce waste, while buyers should be careful, taking into account the risks of poor-quality refurbishment and unscrupulous sellers of equipment, writes UNN.

Global market: Apple leads in recoveryApple is the leader among brands in the used and refurbished smartphone sector. According to Counterpoint Research, in 2022, sales volume of refurbished iPhones increased by 16% compared to the previous year, providing Apple with almost 49% of the global refurbished smartphone market share. This indicates the general growing consumer confidence in refurbished equipment.

Another Persistence Market Research study says that the market for refurbished and used mobile phones in Europe will grow from over $24 million in 2025 to $47 million in 2032, with an average annual growth rate of about 11.5%. The development of this market is already facilitated by consumer demand for affordable smartphones, attention to sustainable development and technological progress in the field of recovery.

Ukrainian market: growing demand and challengesIn Ukraine, demand for refurbished gadgets is also growing. Official retailers and service centers strive to meet European standards, offering high-quality refurbished equipment with a guarantee. Many users return their old devices for exchange for newer models, which creates a base for restoration and resale.

However, there are also challenges. According to international business associations, the total share of the shadow market for individual smartphone models in Ukraine can reach up to 71%, which leads to losses of UAH 5.5 billion (more than USD 135 million). At the same time, if we take into account not only individual brands of phones, but also equipment in general – both new and refurbished – these figures increase tenfold.

In addition to financial losses, the issue also concerns quality, because unscrupulous sellers do not focus on the well-being of buyers. According to sources of the publication, sometimes up to 40-50% of sales of “gray” networks are refurbished devices. On TikTok, Instagram, X and other platforms, you can find many reviews from service masters, former employees of unscrupulous sellers and consumers themselves that the quality of restoration and subsequent operation of gadgets were unsatisfactory. 

Often, equipment with significant defects is equipped with non-original parts of low quality, and the work of masters in such services is often put on the conveyor, without proper control. Moreover, gadgets with minor defects are often passed off as new, avoiding explanations as to why there are no seals on the boxes.

And if official sellers, after high-quality service, mostly provide a one-year warranty (like on new gadgets), then a 2-3 month warranty is a serious reason to be wary.

To be or not to be?Refurbished gadgets have every chance to become a new trend in the electronics market in Ukraine. They offer consumers savings, environmental friendliness and high quality – provided they are purchased from responsible sellers. At the same time, the “gray” market with dubious quality of restoration and short guarantees can nullify the efforts of legal business and turn Ukraine into a “garbage dump” for Europe.

A large share of responsibility in this whole process remains with consumers, and here experts advise to approach the choice of refurbished gadgets with caution. Experts recommend carefully checking the seller’s reputation, reading reviews, asking about warranty terms and carefully inspecting the equipment. It is also important to make sure that the device has a certificate of restoration and a clearly indicated condition. This approach will help to avoid unpleasant surprises and turn the purchase of a refurbished gadget into a profitable and safe investment.

Let us remind youAbout a month ago, the State Tax Service of Ukraine revealed schemes of evading VAT payment for more than UAH 286 million in the “Yabko” and Yabluka networks. The head of the department, Ruslan Kravchenko, said that during the inspections, tax officials discovered massive facts of trade without the use of RRO/PRRO and the absence of documents on the origin of the equipment. At the same time, the STS also handed over to law enforcement officers the facts of artificial division of sales by the above-mentioned networks: legal entities involved up to 300 related sole proprietors on a simplified system. Tax officials identified 170 entrepreneurs involved in these manipulations. Their total revenue is UAH 1.72 billion.

Earlier, the Bureau of Economic Security of Ukraine, in response to a request from UNN, reported that law enforcement officers are investigating the facts of tax evasion and smuggling in the field of electronics trade. According to UNN sources, the investigations cover the facts of supplying equipment of well-known brands to the territory of Ukraine – we are talking about more than 30 criminal proceedings and suspicions of 7 persons, part of the materials have already been submitted to the court for consideration.

The head of the Verkhovna Rada tax committee, Danylo Hetmantsev, noted that in particular the company “Yabko” openly stated that they work “in the shadows”, breaking up into sole proprietors. He stressed that this is a direct violation of the law – a crime under at least Article 212 of the Criminal Code regarding tax evasion.