pallet.design

Pallet grades: Grade A, Grade B, remanufactured and combo pallets

Summary

Used pallets are sold by grade. Grade A (#1) pallets are clean and sound with few or no repairs; Grade B (#2) pallets are sound but repaired, often with companion stringers. Remanufactured and combo pallets are rebuilt from used and new parts. Definitions vary by vendor, so write yours down.

Pallet grades are how the recycled pallet market sorts used pallets into price tiers. They are useful shorthand, but they are not a standard. One vendor's Grade A can be another's Grade B, so a grade name on a quote is only as good as the definition behind it.

Note

Used pallet grades are not governed by a single industry standard. The definitions below are typical of how US recyclers describe their grades. Always get your vendor's written grade definition, or give them yours.

Pallet grades at a glance

Grade Also called Condition (typical) Repairs Typical 48 × 40 price, 2026 US estimate
Premium A Premium #1, "like new" Near-new appearance, bright wood, uniform None Upper end of Grade A
Grade A #1, A-grade Sound, clean, all boards intact, stringers solid None or minimal; no companion stringers or plates $6–14
Grade B #2, B-grade Sound and serviceable Replaced or doubled boards; companion stringers or plates $3–8
Grade C / economy #3, utility Usable for internal or one-way moves Multiple repairs; mismatched Low
Core Cores Unsorted used pallets bought for repair Any What recyclers pay, often a few dollars or less
Remanufactured Reman, rebuilt Built from salvaged components, often to a non-standard size N/A (rebuilt) Varies by size
Combo Combination New and recycled components mixed N/A Between reman and new

Prices are estimates for standard 48 × 40 in stringer pallets and vary widely by region; see pallet cost.

Grade A (#1) pallets

A Grade A pallet is a used pallet in the best condition a recycler sells. Typical vendor criteria:

  • All deckboards present and securely nailed; no broken, cracked or split boards beyond small checks
  • Stringers solid, not cracked; no companion stringers, plugs or metal plates
  • No protruding nails
  • Clean: no stains, oil, odors, debris or mold
  • Usually the standard GMA configuration: 7 top boards, 5 bottom boards, 3 notched stringers
  • Some vendors require uniform, bright wood (no gray weathering) for Premium A

Grade A is what retailers with strict pallet rules expect when they accept used pallets. Walmart's supply chain standards, for example, require pallets to meet or exceed Grade A, and for stringer pallets explicitly disallow double stringers, patched boards and metal repair plates.

Grade B (#2) pallets

A Grade B pallet is sound and safe to use but shows repairs. Typical criteria:

  • Boards may be replaced, or doubled (a new board nailed alongside a damaged one)
  • Stringers may have companion stringers or metal connector plates
  • Mixed wood colors and species
  • May have fewer boards than a standard GMA pallet, or wider lead boards
  • Still no broken or missing boards, no protruding nails, no heavy contamination

Grade B is the workhorse of one-way and internal shipping. Amazon FBA is widely reported to accept GMA standard Grade B or better. See Amazon pallet requirements.

Remanufactured and combo pallets

Remanufactured pallets are built by dismantling used pallets and reassembling the salvaged boards and stringers, often into non-standard sizes. They are the recycled route to a custom size.

Combo pallets mix recycled components with new ones, commonly new stringers with recycled deckboards, or the reverse.

The Pallet Design System classifies manufacture as New, Remanufactured or Remanufactured/Combo, and the Uniform Standard for Wood Pallets has rules for recycled lumber in these pallets. If you buy reman or combo pallets for export, they must be heat-treated and marked as a whole after assembly; old ISPM 15 marks do not carry over. See heat-treated pallets.

Lumber grade is a different thing

Don't confuse pallet grades with lumber grades. Grade A and Grade B describe the condition of a whole used pallet. Lumber grades such as Standard, Utility and Economy describe the defects allowed in new boards. A new pallet built from Utility-grade lumber is not a "Grade B pallet". See pallet lumber grades.

Repair classes in the Uniform Standard

The Uniform Standard for Wood Pallets takes a more technical approach than market grades. It defines repair methods (replacing boards, companion stringers, plugs, metal connector plates), limits on which species and sizes can be used in repairs, and recommends marking repaired pallets with the repair class, repairer, date and owner. Its durability model assumes repaired joints recover only part of their original strength, which is why heavily repaired pallets do not last as long. See pallet repair.

How recyclers grade pallets

Grading happens at the recycler's sort line. A typical flow:

  1. Size sort. 48 × 40 in pallets are separated from other sizes, and pooled pallets (blue, red, iGPS plastic) are pulled out for return.
  2. Visual check. Each pallet is looked over on both faces for broken, cracked or missing boards, stringer damage and contamination.
  3. Grade assignment. Pallets that pass with no repairs become Grade A; those needing minor repair go to the repair line and come out Grade B; poor pallets go to dismantling or grinding.
  4. Repair. Replacement boards and companion stringers are added.
  5. Stacking and banding by grade, often in stacks of about 20–25.

Because the decision is made by eye at speed, grades vary between plants. Buyers who need consistency inspect a sample of every delivery. See pallet inspection.

Grade and pallet performance

A repaired pallet is not as strong or durable as a new one. Durability modeling in the Pallet Design System assumes a repaired joint recovers only about 65% of its original damage resistance, and each board replacement further weakens the connection. In practice:

  • Grade A pallets are close to new in performance for most loads.
  • Grade B pallets are fine for floor-stacked and one-way loads but are a poorer choice for racking and heavy loads.
  • Companion stringers add wood but not always stiffness where it matters, and they can narrow fork openings.

Which grade should you buy?

Use Suggested grade Why
Retail supply chains with strict specs (Walmart) Grade A or new Explicit Grade A requirement
Amazon FBA Grade B or better (confirm) Widely reported minimum
Food and pharma New or Premium A Unknown history of used pallets
Automation (conveyors, AS/RS) New or Premium A Board variation causes jams
Racked storage Grade A or new Repairs reduce stiffness and strength
Internal moves, one-way domestic Grade B Lowest cost that is still safe
Non-standard size Remanufactured, combo or new Recycled A/B are mostly 48 × 40
Export Any, if HT-marked; reman and repaired need re-treatment ISPM 15

How to write a grade into an order

Because definitions vary, put the criteria on the purchase order:

  1. Size and configuration (for example 48 × 40 in, 7 top / 5 bottom boards, 3 notched stringers)
  2. Allowed repairs: none, replaced boards only, or companion stringers and plates allowed
  3. Maximum number of repaired components
  4. Cleanliness: no stains, oil, odors, mold, debris
  5. No protruding nails; no broken, split or missing boards
  6. Painted or pooled pallets excluded
  7. ISPM 15 mark required, if exporting
  8. Acceptance sampling: how many pallets you will inspect per load, and what happens to rejects

The pallet inspection guide has a receiving checklist you can adapt. If no recycled grade fits your size or performance needs, the GMA 48 × 40 template is a starting point for a new-pallet spec.

Frequently asked questions

What is a Grade A pallet?

A used pallet, usually 48 × 40 in, that is structurally sound, clean and has no or minimal repairs, with no companion stringers or plates. Some vendors also require uniform appearance and bright wood. Definitions vary.

What is a Grade B pallet?

A used pallet that is sound and serviceable but has been repaired: replaced or doubled boards, and often companion stringers or metal plates. It may be darker or mismatched in color.

Is there an official pallet grading standard?

No single standard governs used pallet grades in the US. The Uniform Standard for Wood Pallets defines repair classes and quality levels, and large buyers such as Walmart publish their own Grade A requirements, but vendors grade to their own rules.

Can I use Grade B pallets for Amazon or Walmart?

Amazon is widely reported to accept GMA Grade B or better. Walmart's supplier standards require Grade A and do not allow patched boards, double stringers or metal repair plates. Check the current retailer guide.

What is a core pallet?

A used pallet bought by a recycler for repair or resale, before sorting and grading. Recyclers pay for cores by condition and size.

Sources and references

  • Uniform Standard for Wood Pallets, repair and remanufacture (Woodpack Global, formerly NWPCA)
  • Walmart Supply Chain Standards, Pallet Standards section, August 2023 edition (Walmart Inc.)

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Last reviewed 2026-09-24. 1,302 words.