Sales of used smartphones in Japan hit a record high for the seventh straight year in fiscal 2025. The rising prices of new models due to surging semiconductor demand, and the yen's depreciation, largely contributed to the popularity of used ones.

MM Research Institute says sales reached 3,607,000 units in the year through this March, up 12.4 percent from a year before. The institute is projecting that sales of used smartphones will top five million units in fiscal 2029.

A survey by the institute shows that consumers spent an average of 78,771 yen, or around 490 dollars, on a new device, as of January. This is up around 30 percent from December 2021.

Mercari, which runs a popular resale site, announced on Tuesday that it has now set up a website dedicated to sales of professionally refurbished second-hand smartphones and other products.

Used smartphones are put on the market after functional tests and cleaning by specialists. The company will accept returns and requests for repairs after purchase under certain conditions.

Shinohara Takaaki, an official at Mercari, said: "Customers feel more anxious about purchasing expensive second-hand products. So, used items with quality guaranteed by professionals has become another, quickly-growing market."