Steel Market Update offers the following definitions of the various forms of scrap utilizing the basic guidelines described by the Institute of Scrap Recycling Industries (ISRI):
HMS = Heavy Melt Scrap #1 & #2
- HMS #1 steel scrap is wrought iron or steel scrap .250” (one quarter inch) and over in thickness with individual pieces not exceeding 5 feet (60”) in length with widths around 18” to 36”. The material is bundled in a manner consistent with charging box size so the product will insure compact charging (in a furnace). Number 1 HMS is not supposed to have galvanized or other metallically coated steels.
- HMS #2 steel scrap (common foundry grade) is wrought iron and steel scrap – both black and galvanized (coated) at least .125" (one-eighth inch) thick. This material is also bundled in a manner consistent with charging box size so the product will insure compact charging.
- Shredded scrap (shred or frag) is homogenous or a blend of iron and steel scraps which is magnetically separated. Shredded scrap origins are from automobiles (with engines, tires and gas tanks removed) as well as unprepared #1 and #2 steel, miscellaneous bailing and sheet scrap. The average density is 50 to 70 pounds per cubic foot. Typically 25% of the shredded scrap is automotive parts.
- Number 1 (#1) Busheling (bush) is clean steel scrap not exceeding 12 inches in any dimension. Most material are new factory sheet clippings, drops, stampings, etc. According to the ISRI guidelines for ferrous scrap (FS-2009) number one busheling cannot include old auto body and fender stock. The material is to be free of metallic coatings (such as galvanized), vitreous enameled and electrical sheet steel containing over 0.5% silicon.
#1 & #2 Bundles
- Number 1 (#1) Bundles are new black sheet steel scrap (no coated material) from clippings, sheet side trims, and skeleton scrap. All material is bundled and banded to charging box size so the material can be handled with a magnet. The bundles should not weight less than 75 pounds per cubic foot. Can include mandrel wound bundles (such as slitter side trim). No metallic coated material, vitreous enameled and electrical steel containing more than 0.5% silicon.
- Number 2 (#2) Bundles are old black (uncoated) or galvanized sheet scrap, drops, or metallic coated materials which have been compressed and are banded to charging box size.
Steel Market Update follows Heavy Melt Scrap Pricing (HMS) as well as Shredded and #1 Busheling. For many years Bundles was a key component in determining scrap prices but was removed in 2008 when Chrysler stopped publishing (or allowing to be published) the results of their auto bundle auctions.