HSN code 7404 covers 'Copper Waste and Scrap' in India, a critical category for the recycling and secondary production of copper-based materials. This heading is vital for procurement teams, accountants, and customs house agents (CHAs) dealing with recycled copper. Understanding this code ensures correct customs classification, duty assessment, and GST compliance. It distinguishes raw recycled copper from refined copper (HSN 7403) or copper powders (HSN 7405). Proper classification under 7404 facilitates smoother import/export processes and accurate inventory management for businesses integrating recycled copper into their manufacturing cycles. This HSN code is fundamental for sustainable sourcing and cost-effective production in the Indian metals market.
What HSN 7404 Covers
HSN 7404 is exclusively designated for 'Copper Waste and Scrap'. This includes all forms of discarded copper materials that are suitable for reprocessing or remelting. It encompasses items like used copper wire, dismantled copper pipes and tubes, copper offcuts from manufacturing processes, and rejected copper components. Crucially, HSN 7404 applies only to materials considered 'waste' or 'scrap' and not to refined copper in standard forms (covered under HSN 7403) or processed copper semi-finished products. It also excludes copper powders and flakes (HSN 7405/7406). The primary intention of this HSN code is to facilitate the recycling industry by allowing duty benefits or specific GST treatments on copper waste and scrap imported or traded domestically. Buyers and sellers must clearly document the material as scrap to align with customs classifications under 7404, differentiating it from virgin copper or manufactured copper articles. Proper identification ensures correct duty and tax liabilities are applied.Common Materials & Grades (HSN 7404)
- Copper Wire Scrap: Insulated or uninsulated copper wires from electrical applications, often sorted by grade (e.g., ']I', ']II').
- Copper Pipe Scrap: Used copper plumbing pipes, air conditioning tubes, and industrial piping.
- Copper Sheet/Plate Scrap: Offcuts and used sheets or plates sourced from manufacturing or demolition.
- Copper Turnings/Chips: Machining scrap generated from shaping copper alloys.
- Copper Radiator Scrap: Used automotive or industrial radiators containing copper.
- Copper Scale/Ash: Byproducts from copper smelting or refining processes.
Trade Names & Synonyms (HSN 7404)
- Copper Scrap
- Used Copper
- Copper Rejects
- Copper Waste
- Copper Remnants
- Old Copper
- Copper Cuttings
- Copper Offcuts
Typical Industrial Uses
- Copper Recycling & Smelting
- Manufacturing of Copper Alloys
- Production of Electrical Wires and Cables
- Remanufacturing of Copper Tubes and Pipes
- Foundry Operations
- Metal Reclamation
- Production of Brass and Bronze Components
- Industrial Metal Processing
GST Rate (Indicative)
Copper waste and scrap under HSN 7404 typically attracts a GST rate of 5% or 18%. The exact rate can depend on the specific type of scrap and any processing involved. It is essential to verify the applicable GST rate on the official CBIC portal for accurate compliance.
Related HSN Codes
- HSN 7403: Refined copper and copper alloys, unwrought.
- HSN 7405: Copper powders and flakes.
- HSN 7406: Copper powders and flakes.
- HSN 7407: Copper and articles thereof, bars, rods and profiles.
- HSN 7408: Copper wire.
- HSN 7409: Copper plates, sheets and strip, of a thickness exceeding 0.15 mm.
Related on MetaleMart
- Parent: HSN 74 — Copper and articles thereof
- HSN 7401 — COPPER MATTES; CEMENT COPPER (PRECIPITATED COPPER)
- HSN 7402 — UNREFINED COPPER; COPPER ANODES FOR ELECTROLYTIC REFINING
- HSN 7403 — REFINED COPPER AND COPPER ALLOYS, UNWROUGHT
- HSN 7405 — MASTER ALLOYS OF COPPER
- Browse all HSN codes
- Metal Grades Library
- Shop industrial metals
Frequently Asked Questions about HSN 7404
What exactly is covered under HSN 7404 for copper scrap? Does it include refined copper?
HSN 7404 exclusively covers waste and scrap of copper, commonly referred to as 'used copper' or 'copper remnants'. It does not include refined copper (HSN 7403) or copper master alloys (HSN 7405). Importers should ensure clear documentation distinguishing scrap from new/refined copper to avoid classification disputes. GST for copper scrap is typically 5% under specific conditions, but verify on the CBIC portal.
What are the common forms of copper scrap under HSN 7404 bought/sold in India?
Under HSN 7404, the primary materials are copper scrap and copper waste. This includes dismantled electrical motors, used copper wires, copper pipes, and rejected copper components. For procurement, buyers should specify the form of scrap (e.g., ']I' grade, ']II' grade, insulated copper wire scrap) as this impacts pricing and handling. Suppliers often sell in bulk bags or loose. Its classification under 7404 is critical for GST compliance.
What is the typical GST rate for HSN 7404 in India?
HSN 7404 is specifically for copper waste and scrap. This Indian HSN code is crucial for customs duties and GST. The typical GST rate band for copper scrap is often 5% or 18%, depending on specific conditions and whether it's processed or not. Always verify the exact GST rate on the official CBIC portal before transacting.
Where can I procure materials under HSN 7404, and what are typical supplier notes and MOQs?
HSN 7404 covers copper waste and scrap, vital for recycling in India's manufacturing sector. Buyers sourcing under this code often look for consistent quality scrap for remelting. Common suppliers are scrap dealers, recycling units, and sometimes large industrial units with copper offcuts. Minimum Order Quantities (MOQs) for copper scrap vary greatly, from small LCL shipments to full container loads. The listed materials like copper wire scrap and copper pipe scrap are key commodities.