Finishing calculator
Coating Scrap Cost Calculator
Price the scrap event at what left the building. Enter the unrecoverable parts, their loaded value and the event's containment burden.
What this calculator does
- Price a scrapped finishing run at the loaded value it absorbed, plus the containment and replacement burden the event triggered.
Formula used
- Sunk value lost = scrapped parts × loaded value at scrap
- Total scrap cost = sunk value + sorting labor + replacement burden
- Cost per scrapped part = total scrap cost ÷ scrapped parts
Inputs explained
- Scrapped Coated Parts: Truly unrecoverable parts; recoatable rejects belong elsewhere.
- Loaded Value at Scrap: Everything absorbed by failure: substrate, machining, pretreatment, powder, oven.
- Sorting and Documentation Labor: Event containment: sorting, quarantine tagging and reject reporting.
- Replacement or Expedite Burden: Rush re-runs, expedited freight, overtime and spot-bought substrate.
How to use the result
- Best suited to pricing a scrapped run for review, building the yield-project case, comparing scrap against strip and recoat.
- Customer consequences such as returns and line-down claims sit outside the arithmetic. Loaded value is a costing judgment; standard costs and actuals can differ. This prices one event; a yield case sums a period of events.
Current U.S. benchmarks
- Industrial electricity averages 9.77 cents per kWh across the U.S. (EIA, Jul 2026), up 4.7% from a year earlier. Energy-intensive steps carry this directly into unit cost.
- The producer price index for industrial chemicals stands at 336.006 (BLS, Aug 2026), up 13.3% from a year earlier. Quotes priced off last quarter's material cost miss this move.
- The U.S. has 14,543 chemical manufacturing establishments employing about 911,245 workers (Census County Business Patterns, 2023).
Common questions
- How do you calculate coating scrap cost? Scrapped parts times loaded value, plus containment labor and replacement burden. The example's 100 parts at $14.50 with $150 sorting and $75 expedite totals $1,675.
- What should a scrapped coated part be valued at? Everything it absorbed by failure: substrate, machining and fabrication, pretreatment, powder, cure energy and handling. A part failing final inspection carries the whole chain.
- Why do small scrap events cost so much per part? Containment ignores the count. Sorting, tagging and reporting cost nearly the same for a dozen parts as for a hundred, so the dozen pays the burden across fewer parts.
- Should scrap be tracked as a rate or in dollars? Both, but dollars decide. A 1% rate on $45 housings costs more than 3% on $14 brackets, so rank the month's defect modes by the dollar totals.
Last reviewed 2026-10-01.