◆ Decode the grade sheet
Pallet grades, explained like you're in the yard.
Grade A, Grade B, #1, #2, reconditioned, remanufactured, HT — the vocabulary sounds arbitrary until you see what each one costs you per trip. Here's the whole ladder, plus a comparison table to keep.
Answer first: A/#1 = near-new & pricier. B/#2 = repaired & cheaper. Both haul freight fine.
Not sure which grade you need?
1-min quote● The short version
One grade ladder, top to bottom
Every reclaimed pallet lands somewhere on this ladder. Grade is really a shorthand for two things: how much repair the pallet has had, and how good it looks doing its job.
Grade A / #1 — near-new
The top of the used ladder. Clean, dry deck boards; no broken stringers; no repairs or only a board or two. Looks professional and runs predictably on conveyors and automated storage. You're paying for appearance and consistency as much as strength.
Grade B / #2 — repaired, sound
Structurally solid but visibly used. Replaced boards, plugged or companion-nailed stringers, scuffs and stains. It carries the same freight as an A at a lower price — the trade-off is purely cosmetic. The default smart buy for internal and one-way freight.
Reconditioned / repaired
A damaged core that we tore down, re-boarded with salvaged lumber and brought back to a usable A or B spec. Same footprint as new, a fraction of the cost, and it keeps existing wood in circulation instead of felling a fresh tree.
Remanufactured / combo
Built from mixed salvaged parts to hit a target size and load rating. Ideal for non-standard dimensions and rock-bottom budgets where matching pedigree doesn't matter — just that the size and strength are right. We build these on our remanufacturing line.
◆ Where heat treatment fits
HT / ISPM-15 isn't a grade — it's a stamp
People conflate 'heat-treated' with a quality grade. It isn't. It's a phytosanitary treatment that lets solid-wood packaging cross borders.
What it is
The wood is heated to a core temperature of 56°C for at least 30 minutes to kill pests and larvae. A compliant pallet carries the IPPC wheat stamp with a country code, a facility number and the letters "HT".
Why it matters
ISPM-15 is the international standard for wood packaging in export. If your freight leaves the country on wood, it almost certainly needs an HT-marked pallet. Domestic freight usually doesn't — so don't overpay for HT you won't use.
How it stacks with grade
A pallet can be Grade A and HT, or Grade B and HT — the two are independent. Treatment is one-time and stays valid unless the pallet is rebuilt with untreated wood. We stock HT-marked reclaimed stock across grades.
▤ Keep this
Grade comparison table
Relative price is directional — actual pricing depends on size, quantity, condition and market. Ask us for a real quote.
| Grade | Condition | Typical use | Rel. price |
|---|---|---|---|
| Grade A / #1 | Near-new. No repairs or minimal, clean deck boards, all stringers unbroken, no visible damage. | Retail-facing shipments, automated lines, food & pharma, anything where appearance and reliability matter. | $$$ |
| Grade B / #2 | Repaired but structurally sound. Replaced boards, plugged or companion-nailed stringers, cosmetically used. | General freight, internal moves, one-way or expendable shipping where looks don't matter. | $$ |
| Reconditioned / Repaired | Pulled from service, damaged parts swapped for reclaimed lumber, brought back to a usable A or B spec. | The workhorse of the reuse economy — a like-for-like replacement at a fraction of new-pallet cost. | $$ |
| Remanufactured / Combo | Rebuilt from a mix of salvaged parts of different origins to hit a target size and load rating. | Non-standard sizes, budget builds, and jobs where consistency of size beats consistency of pedigree. | $–$$ |
| Ground / Scrap (below grade) | Beyond repair. Broken stringers, split blocks, rot. Not resold as pallets. | Reclaimed for lumber, ground into mulch or biomass. Nothing to a landfill. | — |
Sizes and load ratings vary by grade too — see the size chart & specs and pallet types for the dimensional side of the decision.
→ Related pages
Put grades to work
? Grade questions
Fast answers on grades
What's the difference between Grade A and Grade B pallets?
Grade A (#1) pallets are near-new: clean boards, no broken stringers, few or no repairs, and a tidy appearance. Grade B (#2) pallets are structurally sound but have been repaired and look used — replaced boards, plugged stringers, scuffs and staining. Both carry freight reliably; you pay a premium for A mostly for appearance and consistency.
Are #1 and #2 the same as Grade A and Grade B?
Effectively yes. '#1' and 'Grade A' are used interchangeably in the used-pallet trade, as are '#2' and 'Grade B'. The numbers are just the recycler's shorthand. What matters is agreeing on the actual condition — always confirm deck-board coverage, stringer repairs and whether the units are heat-treated.
What is a reconditioned pallet?
A reconditioned pallet is a used pallet that came in damaged, had its broken components replaced with salvaged lumber, and was returned to a usable A or B specification. It's the same physical footprint as a new pallet but keeps existing wood in circulation, which is why it costs less and carries a far smaller carbon footprint.
What is a remanufactured or combo pallet?
A remanufactured (or 'combo') pallet is built from a mix of salvaged parts of different origins to hit a specific size and load rating. It's the go-to when you need an odd size or the lowest possible price and don't need every board to match. We build these to spec on our remanufacturing line.
Do recycled pallets come heat-treated?
Many do, and we stock heat-treated (HT / ISPM-15) reclaimed units for export use. Heat treatment is a one-time process — once a pallet is properly HT-marked it stays compliant as long as it isn't rebuilt with untreated wood. Tell us if you're shipping internationally and we'll match you to compliant stock.
Which grade should I actually buy?
If the pallet is seen by a customer or runs on an automated line, buy Grade A. If it's moving freight inside your four walls or shipping one-way, Grade B or reconditioned saves real money with no downside. When you just need a size at a price and looks are irrelevant, remanufactured combos win. When in doubt, tell us the job and we'll spec it.
Tell us the job — we'll spec the grade
Send your size, quantity, whether it ships or export, and your ZIP. A real person replies by email with the right grade and a price.