HS Code for No. 2 Heavy Melting Scrap (2025 Guide)
TL;DR: The HS code for No. 2 Heavy Melting Scrap (HMS 2) is 7204.49 under Chapter 72. This 2025 guide covers classification, uses, shipping challenges, and trade updates for scrap steel importers and exporters.
What is No. 2 Heavy Melting Scrap?
No. 2 Heavy Melting Scrap, or HMS 2, represents a key ferrous scrap grade in global recycling.
It includes mixed steel materials like plates, beams, and structural shapes thicker than 6mm, with some lighter elements.
HMS 2 supports sustainable steelmaking, especially in electric arc furnaces (EAF).
- Thickness: 1/4 inch to 5/8 inch for most pieces
- Common sources: Obsolete machinery, vehicles, demolition waste
- Grade difference: HMS 1 is thicker; HMS 2 allows thinner gauges
- Global volume: Over 500 million tons traded annually
- Recycling rate: Powers 30-40% of world steel production
HS Code for No. 2 Heavy Melting Scrap: 7204.49 Explained
**The primary HS code for No. 2 Heavy Melting Scrap is 7204.49, unchanged in the 2025 HS nomenclature.**
This falls under:
| Level | Code | Description |
| Chapter | 72 | Iron and Steel |
| Heading | 7204 | Ferrous waste and scrap |
| Subheading | 7204.49 | Other ferrous waste and scrap (HMS 2) |
Confirm with local customs, as 2025 national updates in China and EU may add sub-codes for contamination levels.
- World Customs Organization (WCO) reference: HS 2022 edition, valid through 2027
- No major revisions expected until 2027
- Related codes: 7204.41 for HMS 1; 7204.50 for alloys
- Density requirement: Typically 0.6-1.0 tons/cubic meter
- Non-ferrous limit: Under 0.2% by weight
Why Accurate HS Code Classification Matters for HMS 2
**Proper HS code use prevents delays, fines, and rejected shipments for scrap steel trade.**
Misclassification under 7204.49 can trigger penalties up to 20% of shipment value.
In 2025, AI tools scan compositions for precise coding amid stricter Basel Convention rules.
- Customs efficiency: Speeds clearance by 48 hours
- Tariff accuracy: Affects duties (0-5% globally)
- Trade data: Enables market analysis via UN Comtrade
- Compliance: Meets WCO standards
- Cost savings: Avoids re-export fees
Uses of No. 2 Heavy Melting Scrap in Steel Production
**HMS 2 fuels 70% of EAF steel output worldwide, per World Steel Association 2025 data.**
It's melted with direct reduced iron for high-quality billets.
- Cost reduction: 20-30% cheaper than ore-based steel
- Energy savings: 74% less energy than blast furnaces
- CO2 cuts: 58% lower emissions
- Rebar and beams: Primary output products
- Construction boom: Demand up 15% in Asia 2025
How to Classify No. 2 Heavy Melting Scrap for Customs in 2025
**Follow this step-by-step process to classify HMS 2 under HS 7204.49 accurately.**
- Inspect composition: Verify ferrous content >98%, no radioactive materials.
- Measure specs: Thickness 6-15mm, sheared edges under 24x60 inches.
- Check 2025 updates: Review national annexes (e.g., China's GB/T 4171).
- Document: Issue ISRI 2025 specs certificate.
- Declare: Use exact description: "No. 2 Heavy Melting Steel Scrap, HS 7204.49".
People also ask: Does HMS 2 include cars? Yes, shredded auto bodies qualify if processed.
2025 Shipping Challenges for HMS 2 Importers
**Stricter 2025 regulations in EU and China raise HMS 2 shipping barriers by 25%.**
Key issues include contamination bans and higher inspections.
- Basel amendments: Plastic limit <0.3%
- Port delays: Up to 7 days in India
- Freight rates: $40-60/ton FOB 2025
- Volume minimums: 10,000 tons/container ship
- Insurance hikes: Radiation clauses added
HS Code 7204.49: Country-Specific Variations 2025
**HS 7204.49 adapts nationally; check these 2025 updates for HMS 2.**
| Country | HS Extension | Key Rule 2025 |
| USA | 7204.49.00 | No plastic contaminants |
| China | 7204.49.10 | Cu <0.25%, pre-shredded |
| India | 7204.49.20 | Environmental NOC required |
| Turkey | 7204.49 | Free import, high demand |
| EU | 7204.49.00 | REACH compliance |
FAQ: HS Code for No. 2 Heavy Melting Scrap
Quick answers to top People Also Ask questions on HMS 2 HS codes.
- What is the exact HS code for HMS 2? 7204.49 for other ferrous scrap.
- Is HMS 2 the same as HMS 1? No, HMS 2 has thinner materials up to 1/4 inch.
- Can HMS 2 be shipped to China in 2025? Yes, if Cu <0.25% and pre-approved.
- What documents for HMS 2 customs? Bill of lading, quality cert, radiation scan.
- HS code for shredded HMS 2? Still 7204.49 if not alloyed.
- Does India import HMS 2? Yes, under 7204.49.20 with NOC.
- 2025 changes to 7204.49? Minor national tweaks, core code stable.
- How to verify HMS 2 quality? ISRI 244 specs: density >0.6 t/m³.
- Export tax on HMS 2 from USA? None federally, state varies.
- Best ports for HMS 2? Rotterdam, Tianjin, Kandla.
Resources for Scrap Steel Traders
For seamless HS 7204.49 shipments, platforms like FreightAmigo offer tools amid 2025 complexities.
2025 Case Study: A US exporter cut clearance time 40% using digital HS lookup, shipping 20k tons to Turkey.
Contact: Book a Demo | Email: enquiry@freightamigo.com
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