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Scrap metal value by composition

List the lot materials with weight, metal content, moisture, impurities and melt loss, type the reference price and see what the lot is really worth and whether the offer is fair.

Pre-sizing and estimating tool: results do not replace design, calculations or reports signed by a licensed professional, nor verification against the applicable codes and standards.

Preliminary estimate
Scrap lot
See what was read

Example prices are fictitious, only to show the math: type your own reference (mill price sheet, exchange, daily quote). Weights in short tons (2,000 lb) and prices per short ton, regardless of the units button.

Costs and offer
—Fair value of the lot
—

From scale weight to metal out of the furnace

For each material, how much of the gross weight is moisture, impurities, non-metal, melt loss and recovered metal.

Tap the chart to see the values.

From reference value to fair value

How much each loss takes from the lot value, with the offer received alongside.

Tap the chart to see the values.

Value by material

Yield is recovered metal over gross weight.

The calculation report gathers this page's inputs, results, equations, assumptions and references, with fields for project, engineer and revision. The full report also includes the charts and interpretations, in color. In the print dialog, choose Save as PDF.

Method, assumptions and references

Equations used

Recovered metal = gross weight · (1 − moisture) · (1 − impurities) · metal content · (1 − melt loss)
Metal value = Σ recovered metal · clean-metal reference price
Fair value = (metal value − freight · gross weight) · (1 − buyer margin); per gross ton = fair value ÷ gross weight
Offer difference = offer ÷ fair value − 1; implied margin = 1 − offer ÷ (metal value − freight)

Assumptions and limits

  • Commercial estimate. Content, moisture, impurities and melt loss are user inputs; ranges quoted in the help are indicative and vary with furnace, preparation and buyer grading.
  • The calculator carries no market prices: the reference price is that of clean metal, typed by the user. Example prices are fictitious.
  • For mixed material, content and price should represent the share that has value; the most accurate approach is to split the lot into rows by metal. Taxes are not included.

Standards and technical documents

  • ISRI (ReMA) Scrap Specifications Circular: classificação de sucatas ferrosas e não ferrosas
  • EFR/EUROFER: EU-27 Steel Scrap Specification
  • EN 13920: Aluminium and aluminium alloys, scrap (série de partes por tipo de sucata)
  • Schlesinger, M. E. Aluminum Recycling, 2nd ed., CRC Press, 2014
  • Fruehan, R. J. (ed.). The Making, Shaping and Treating of Steel, 11th ed., AISE Steel Foundation, 1998

U.S. regulations

  • EPA 40 CFR 261.4(a)(13): excluded scrap metal being recycled
  • EPA 40 CFR 261 (RCRA): identification of hazardous waste (contaminated scrap, batteries)
  • State scrap metal dealer laws (seller ID and records for nonferrous scrap)

Frequently asked questions

How do I work out the fair value of a scrap lot?

Take moisture, impurities, the non-metal share and melt loss off the gross weight, multiply the metal left by the clean-metal reference price, and subtract freight and the buyer margin. The page does that for each material in the lot with the percentages you enter.

How do I read the default result?

The 28.05 short ton lot yields about 23.8 tons of metal (85%). At the example's fictitious prices, that metal is worth about $17,700; less $701 freight and a 10% margin, the fair value is about $15,300, or $546 per gross ton. The $14,000 offer is 8.5% below, which equals a buyer margin of about 17.7%.

Where do I get the reference price?

From the mill or foundry price sheet, the exchange quote for copper, aluminum and brass, or offers from other buyers. The calculator carries no market prices: type the price per short ton of clean, melt-ready metal and update it on the day of sale. Nonferrous prices quoted per pound times 2,000 give the price per ton.

How do I estimate metal content, moisture and impurities?

Take a representative sample, weigh it, dry it and strip what is not metal (dirt, plastic, rubber, oil), weighing again at each step. For motors and insulated wire, copper content can be well under half the weight. Grading reports from earlier buyers also help.

What is a typical melt loss?

It depends on the material and preparation. Heavy clean pieces lose little; turnings, cans, light gauge and painted or oxidized material lose much more, because part of the metal turns into slag or dross. Use the figures from the foundry or mill that will buy it, when available.

Why is the offer usually below the metal value?

The buyer has to cover sorting, baling, freight, grading risk and profit. The useful question is whether the margin implied by the offer is reasonable: in the example it is about 17.7%, close to twice the 10% considered acceptable, which leaves room to negotiate or to sell the high-value materials separately.

What legal points apply to scrap sales?

Sell to licensed recyclers and keep records; many states require seller ID and holding periods for nonferrous scrap. Scrap metal being recycled is excluded from RCRA hazardous waste rules under 40 CFR 261.4(a)(13), but oily turnings, batteries and contaminated material may still be hazardous waste.