Pallet Grades Explained: Grade A vs B vs C
Used pallets are sold by grade, which describes their condition and how much repair they’ve had. Understanding grades helps you pay the right price and avoid buying pallets that won’t hold up.
The grades
Grade A (#1): near-new, no visible damage, no stringer repairs, clean and structurally solid. The most expensive used grade and the closest to new.
Grade B (#2): good condition with some wear — may have minor repairs or “plugs” and companion (added) boards. Fully functional for most shipping and storage.
Grade C / Economy: heavily used with multiple repairs and visible wear. Fine for lower-stakes or one-way use; not ideal for automated lines or heavy racking.
Below Grade C are “culls” — broken pallets sold for repair or lumber. New/virgin pallets sit above Grade A.
How grading affects price and choice
Price follows grade: Grade A commands the most, Grade C the least. For repeated shipping, retail deliveries, or racking, Grade A or B pays off in reliability.
For a single outbound shipment where the pallet won’t come back, Grade C or mixed grades can save real money without risk.