3 Things Businesses Should Remember When Handling Used Consumer Electronics

By Kerry Chen • Aug 2, 2023

Opinions expressed by Entrepreneur contributors are their own.

Recycling or handling used consumer electronics is a complex endeavor for all involved parties. Employers, consumers, electronics manufacturers, repair services, and recycling companies all need to play their part since there are many factors to consider when recycling consumer electronics.

For example, consumers often lack convenient ways to dispose of consumer electronics properly. Additionally, after a product has been recycled, there will most likely be some toxic waste that has to be properly stored and disposed of. This electronic waste, or e-waste, is a big issue for the environment and people's health.

Some components, such as batteries, must be fully disassembled to extract toxic elements for proper disposal. Additionally, capacitors, resistors, and other electronic components that can be reused need to be removed and properly stored instead of being thrown on massive piles of e-waste in a landfill.

So, to effectively recycle consumer electronics, a circular economy is necessary. That being said, there are some things to keep in mind when handling or recycling used consumer electronics.

Related: How the Circular Economy of Consumer Electronics Can Change Sustainability

The proliferation of consumer electronics in the last decades has led to a rapid surge in electronic waste generation. Globally, more than 53 million metric tons of e-waste are being produced each year, and it is projected that the global e-waste generation will reach 75 million metric tons annually by 2030.

Due to the presence of toxic substances, such as lead, mercury, and cadmium, e-waste poses a severe threat to the environment. Consequently, many countries worldwide have set regulations to ensure the responsible handling of e-waste. For example, China banned the import of e-waste over two decades ago. While this helped immensely, there are still tons of e-waste being imported illegally.

Since proper electronic waste disposal practices demonstrate commitment to environmental responsibility, it shouldn't be surprising that companies with high ratings for environmental, social and governance (ESG) and corporate social responsibility (CSR) factors have been found to have lower debt and equity costs. Further, consumer electronics contain valuable resources, including precious metals and rare earth elements.

As a result, the production of consumer electronics leads to the depletion of finite natural resources. Not only does extracting these materials through recycling reduce the impact of environmentally damaging mining practices, but it is also a massive value gain since the raw materials found in e-waste are estimated to be worth around $60 billion.

Additionally, recycling conserves energy and reduces greenhouse gas emissions that occur while producing new electronics. So, it is imperative to understand the benefits and necessity of recycling and properly disposing of consumer electronics. Further, ensuring accessible and sustainable disposal or recycling options for consumers is crucial to encourage responsible e-waste management.

Related: Why Many Tech Execs Are Skipping the Consumer Electronics Show

While selling or donating used electronic devices can extend their lifespan and reduce e-waste, it comes with its own host of challenges. For example, neglecting to wipe clean electronic devices from data can pose a significant risk, especially if they are not properly disposed of.

When an intact storage medium, like an SD card or an SSD, is found and still contains data, the information that's on it can be extracted. This can potentially lead to identity theft or data breaches. So, it is vital to properly wipe data or physically destroy storage mediums before disposing of a device.

Another factor to consider when handling used consumer electronics is proper storage. Of course, this is usually not a big issue when devices are being repaired. However, the situation is more complex when devices get recycled.

Toxic elements found in electronics can contaminate soil, water, and air if not handled correctly. This can not only lead to serious health issues, but it can also negatively affect the environment. Hence, proper e-waste management is essential. This involves separating hazardous materials, recycling reusable components, and ensuring the safe disposal of toxic substances.

Since only around 17 percent of the global annual e-waste is recycled, implementing appropriate disposal methods, such as sending e-waste to certified recycling facilities, can have a huge impact, especially if the recycling infrastructure is made accessible to consumers.

While there are challenges associated with handling or recycling used electronic devices, the demand for refurbished and used consumer electronics is increasing. Even though supply chains for pre-owned consumer electronics are still underdeveloped across the globe, consumer sentiment is shifting, and people are looking for sustainable ways to handle their used devices. Accordingly, ATRenew has seen a rise in engagement and has transacted more than 32 million used devices via its nearly 2,000 offline stores in 2022.

To effectively handle consumer electronics, both consumers and businesses should follow some guidelines. For example, consumers should consider donating or selling their device to extend its lifespan if it is in good working condition. Further, they should avoid throwing away electronic devices in regular waste bins.

Instead, they should look for certified local e-waste recycling centers or collection events. Additionally, consumers should always ensure that all personal data is erased before they dispose of any electronic device. For example, at ATRenew, we've developed a data cleaning system, dubbed AiQingChu, that protects users' data security through multiple times of data erasure and overwriting, thus preventing malicious recovery of data.

On the other hand, businesses should ensure that these options are as accessible to consumers as possible. Further, they should collaborate with certified e-waste handlers to build the necessary infrastructure.

By offering trade-in or recycling programs, companies can encourage consumers to return old devices for proper recycling or disposal. Not only does this promote convenience and encourage responsible e-waste management, but it also enables businesses to educate consumers.

Handling and recycling consumer electronics requires careful consideration and responsible practices from all involved parties. While consumers and businesses have a big role, legislation worldwide is also essential when properly recycling used consumer electronics. Fortunately, many countries already have legislation in place.

For example, China implemented e-waste regulations decades ago, and Germany has been known for its advanced recycling infrastructure and collection systems for ages. Further, it has pioneered initiatives that hold manufacturers responsible for recycling their products.

By prioritizing proper disposal methods, addressing data security concerns, and promoting accessible recycling options, the amount of e-waste and its detrimental impact on the environment and human health can be reduced. Embracing a circular economy approach ensures that valuable resources are extracted, toxic substances are safely disposed of, and electronic devices are given a second life.