What is HMS 1 & 2 Scrap Metal

In the vast and interconnected world of scrap metal recycling, HMS 1 and HMS 2 are two of the most widely traded ferrous scrap grades. These categories, vital to industries such as steel manufacturing and construction, play a crucial role in global recycling efforts and sustainable development. Despite their widespread usage, many outside the recycling or metal industries have little understanding of what HMS 1 & 2 are, their differences, applications, and why they’re so essential to the global economy.

This blog aims to provide a comprehensive understanding of HMS 1 & 2 scrap metal — from technical specifications and standards to practical uses and global trade dynamics.

What is HMS Scrap Metal?

HMS stands for Heavy Melting Steel or Heavy Melting Scrap. It is a classification of recyclable steel and wrought iron, typically derived from dismantled or demolished structures, heavy equipment, ships, and vehicles. HMS is subdivided into two major categories:

  • HMS 1
  • HMS 2

These classifications are standardized by the Institute of Scrap Recycling Industries (ISRI), which sets globally recognized specifications for different grades of scrap.

HMS 1 Scrap Metal: Definition and Features

HMS 1 refers to heavier, thicker scrap steel that is free from galvanized or blackened steel and generally devoid of thin or coated materials. It includes structural steel and plate scrap that is 1/4 inch (6.35 mm) thick or more.

Key Characteristics of HMS 1:

  • Thickness: Minimum 1/4 inch (6.35 mm)
  • Type: Wrought iron and steel
  • Cleanliness: Free from non-metallics (wood, plastic, rubber)
  • No galvanized or blackened steel
  • Density: Higher density than HMS 2 (typically over 0.7 tons per cubic meter)

Common Examples of HMS 1:

  • Construction beams and columns
  • Heavy industrial machinery parts
  • Demolished ship steel
  • Heavy metal plates

HMS 1 is highly favored by steel mills and foundries due to its density and purity, making it more efficient in the melting process.

HMS 2 Scrap Metal: Definition and Features

HMS 2, on the other hand, consists of lighter scrap steel that may include galvanized and blackened steel, and generally contains thinner materials than HMS 1.

Key Characteristics of HMS 2:

  • Thickness: Less than 1/4 inch (6.35 mm)
  • May include: Galvanized steel, blackened steel, sheet scrap
  • Type: Wrought iron and steel
  • Cleanliness: Still largely free from non-metallic contamination
  • Density: Lower than HMS 1 (typically around 0.6–0.7 tons per cubic meter)

Common Examples of HMS 2:

  • Car body panels
  • Sheet metal from appliances
  • Light steel frames
  • Galvanized roofing sheets

Although HMS 2 has slightly lower steel content and density, it remains a valuable commodity for steel production, especially in countries or industries where cost-efficiency is prioritized.

HMS 1 vs. HMS 2: The Key Differences

FeatureHMS 1HMS 2
Thickness≥ 1/4 inch (6.35 mm)< 1/4 inch (6.35 mm)
IncludesHeavy steel onlyLight steel, galvanized steel
Galvanized SteelNot allowedAllowed
DensityHigherLower
PurityCleaner scrapMore diverse in type
Market PriceSlightly higherSlightly lower
Melting EfficiencyHigher (more yield)Slightly lower

ISRI Codes for HMS Scrap

The Institute of Scrap Recycling Industries (ISRI) provides internationally accepted codes for both HMS 1 and HMS 2 to standardize quality.

  • ISRI 200 to 202: HMS 1
  • ISRI 203 to 206: HMS 2

These codes specify the exact types of materials allowed under each grade, helping buyers and sellers agree on quality standards.

Why HMS 1 & 2 Are Important

HMS 1 & 2 are some of the most sought-after ferrous scrap grades in the global recycling market. Their significance lies in:

1. Sustainability

Steel is 100% recyclable without loss of quality. Recycling HMS scrap reduces the need for mining virgin iron ore and lowers greenhouse gas emissions.

2. Cost Efficiency

Using scrap steel is often more economical than producing steel from raw materials. Scrap-based steel production consumes up to 74% less energy.

3. Industrial Demand

Steel mills around the world rely heavily on HMS for producing new steel products. It is used in rebar, beams, plates, pipes, and more.

Price Influences:

Prices of HMS 1 & 2 are determined by:

  • Global demand and supply
  • Shipping costs
  • Iron ore prices
  • Energy costs
  • Government tariffs and trade policies

Challenges in the HMS Scrap Industry

  1. Quality Control: Ensuring consistent purity and thickness in scrap loads can be difficult.
  2. Contamination: Non-metallic contamination can reduce the value and usability of scrap.
  3. Transport & Logistics: High volumes and heavy loads make shipping a logistical challenge.
  4. Market Volatility: Prices fluctuate frequently based on global economic and political factors.

Uses of HMS Scrap Metal

HMS scrap metal is melted and reused in various industrial applications, such as:

  • Construction steel (rebars, beams)
  • Automotive parts
  • Shipbuilding
  • Infrastructure (bridges, roads)
  • Heavy machinery and tools

In developing countries, HMS 1 & 2 are sometimes directly reused in fabrication with minimal processing.

Tips for Buyers and Sellers

For Buyers:

  • Request ISRI-grade specification sheets
  • Inspect thickness and purity
  • Check for contamination (plastic, rubber, etc.)
  • Verify supplier credibility

For Sellers:

  • Sort and clean the scrap before shipping
  • Ensure proper packaging (e.g., baled or bundled)
  • Provide detailed photos and documentation
  • Comply with export/import regulations

Final Thoughts

HMS 1 and HMS 2 scrap metals are the backbone of the global ferrous recycling industry. Understanding their specifications, differences, and roles in steelmaking can benefit anyone involved in manufacturing, construction, or metal trading.

As the world shifts toward greener technologies and circular economies, the demand for high-quality recycled materials like HMS scrap will only continue to rise. Whether you’re a scrap metal trader, recycler, or investor, keeping a close eye on this segment can offer both environmental and economic benefits.

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