HS Code for Metal chips

Metal chips are classified under HS code 7204.41 as ferrous waste and scrap. This specific subheading is designated for turnings, shavings, chips, milling waste, sawdust, and filings resulting from the mechanical working of iron or steel. The classification is based on the material's status as industrial waste and its physical form. These chips are typically generated during machining processes such as lathing, milling, drilling, or grinding. Under the Harmonized System, waste and scrap are classified based on the base metal they are derived from; since these are ferrous (iron or steel), they fall under Chapter 72. The code 7204.41 specifically identifies these small-fragment byproducts, distinguishing them from larger pieces of heavy melting scrap.

Products Included

• Steel turnings from lathe operations
• Iron shavings from industrial planers
• Metal milling waste and fragments
• Ferrous sawdust from metal sawing
• Iron and steel filings from finishing processes

Common Misclassification

A common misclassification occurs with HS code 7204.49, which is a residual category for "other" ferrous waste and scrap. 7204.41 is more specific for small fragments like chips and shavings. Additionally, if the chips are contaminated with significant amounts of oil or chemical residues, some may attempt to classify them under 2620 (slags and ash), but if the metallic nature is preserved, 7204.41 remains correct. Non-ferrous chips, such as aluminum chips, must be classified under 7602.00.

FAQ

What is the HS code for Metal chips?

The HS code for ferrous metal chips, turnings, and shavings is 7204.41.

Are stainless steel chips classified here?

No, stainless steel waste and scrap are specifically classified under HS code 7204.21, which takes precedence over the general ferrous scrap codes due to the alloy content.