Published 29 April 2026

Steel Scrap: IMSBC Code Schedule and Carriage

Contents

Steel scrap (ferrous metal scrap) is a major dry bulk cargo, with global seaborne trade of approximately 90 to 100 million tonnes per year. The cargo is principally collected and processed in mature industrial economies (the United States, the European Union, Japan) and exported to electric arc furnace steelmakers in Türkiye, India, Bangladesh, Pakistan, China, and Southeast Asia. Steel scrap is the dominant feedstock for electric arc furnace steelmaking, which produces approximately 30 per cent of global steel output and a higher fraction in importing markets that lack iron ore. The IMSBC Code regulates steel scrap shipments under a Group C schedule.

Schedule structure

The IMSBC Code includes the following ferrous scrap schedule entries:

Ferrous metal: bulk steel and iron scrap. Group C (not liquefiable, no chemical hazard) but with handling provisions for contamination and fire risk.
Borings, shavings, turnings, or cuttings (UN 2793): machining swarf with high surface area and fire risk. Subject to specific handling under the IMSBC Code and IMDG Code. Group B in some classifications.

Most marine ferrous scrap trade is the bulk steel and iron scrap entry, which covers heavy melt scrap (HMS), shredded scrap, bushelling, and similar processed grades.

Cargo grades

Steel scrap is traded in standardised grades reflecting size, density, and cleanliness:

HMS 1 and HMS 2 (Heavy Melt Scrap): heavy gauge structural and plate scrap, typically 6 millimetres or thicker. HMS 1 is cleaner; HMS 2 has more contamination.
Bushelling: light gauge new manufacturing scrap, typically clean and high-density.
Shredded scrap: scrap mechanically shredded to fist-sized pieces, with high density and low contamination.
Turnings and borings: machining swarf, lower density, higher fire risk.
Pig iron and slabs: cast or rolled product scrap.

The grade affects bulk density (HMS 1 around 2.0 tonnes per cubic metre, shredded around 1.5 to 2.0 tonnes per cubic metre, turnings around 1.0 to 1.3 tonnes per cubic metre) and the IMSBC handling provisions.

Cargo handling concerns

Steel scrap is non-toxic and non-flammable in its main bulk forms, but secondary hazards apply:

Contamination by oils, paint, plastics, and combustible debris: scrap that includes residues of organic material can self-heat or burn during voyage. The IMSBC schedule and class society guidance require pre-loading inspection to identify and reject contaminated consignments.
Sealed containers and gas cylinders: empty pressurised gas cylinders, paint cans, aerosols, and similar items must not be present in bulk scrap consignments. Such items can rupture during loading or in the cargo hold and cause fires or explosions.
Radioactive material: scrap consignments are screened for radioactive contamination at major ports, since orphan radioactive sources have occasionally been found in mixed scrap. Detection at loading ports is mandatory at most major scrap-exporting facilities.
Sharp edges and falling hazards: cargo handling crew face mechanical injury risks from sharp scrap edges and falling pieces.
Hold paint damage: scrap loading is highly damaging to hold paint coatings, and bulk carriers carrying frequent scrap cargoes typically have heavily reinforced or sacrificial hold paint systems.
Magnetic contamination of compass and navigation equipment: large mass of ferrous scrap close to the bridge can affect magnetic compass deviation. Modern GPS and gyrocompass-equipped vessels are largely immune, but compass deviation is checked before departure on traditional vessels.

Major routes

Steel scrap seaborne trade flows include:

United States to Türkiye: the dominant trade lane, with US East and Gulf Coast scrap moving through container and bulk carriers to Iskenderun, Aliağa, and Mediterranean Türkiye ports.
European Union to Türkiye: significant Mediterranean trade complementing the transatlantic flow.
Japan and South Korea to Vietnam, Bangladesh, and Pakistan: regional flows.
United States to India and Bangladesh: Pacific and round-the-world routes.
Russia to Türkiye and South Korea: Black Sea and Far Eastern exports (subject to sanctions complications since 2022).

Türkiye is the largest single importer of seaborne steel scrap globally, accounting for approximately 25 to 30 per cent of trade and supplying its EAF-based steelmaking sector.

Loading and discharge

Loading is by grab-fitted shore cranes at scrap export terminals such as US East Coast facilities, European port facilities, and Japanese coastal terminals. Loading rates are 1,500 to 3,500 tonnes per hour per grab. The cargo is highly irregular in shape and does not self-trim; bulldozer trimming is generally required for hatch closure, with care to avoid hold paint damage.

Discharge at receiving ports is similarly by grab and shore crane. Some destinations including Türkiye and Bangladesh have specialised scrap discharge facilities with electromagnet-equipped cranes that can sort and discharge scrap directly into shore stockpiles or trucks.