What most do not appreciate is that there are always rejects, at some time/point in manufacturing industries.
If materials, like powders, foodstuff ingredients, even materials such as aggregates for concrete. They are simply blended with other streams in order to achieve a product within the specification. Not dumped, unless no other option is available.
Steels are adjusted atbthe melt stage, by analysis and addition of other matetials in order to adjust the analysis of each batch. Nothing is just dumped – if not good enough it would be adjusted for a lowerbquality product.
Take water in your tap. It is blended from different supplies if necessary. Supplies from reservoirs is taken from different outlets (at different depths) to be able to use as much of the contents as possible, without the quality deteriorating. Maximum usage from the supply available – but nothing unused, as far as possibly possible.
Plastic components, out of specification are not dumped – they are either used as lower specification products or recycled by shredding and re-use of thr materials. Experience, here, from injection moulding rejects. Food grade products must be from virgin materials, but things likebpaint pots can be made with previously rejected items. Nothing is dumped, if possible.
Now to model engineering supplies. A lot of industrial/commercial products are required to a high specification. Occasionally products will fall outside the acceptable strict specifications (batch starts and finishes, perhaps?). Where do they go – to the cheap end of the market, if possible, before the expensive alternative of remelting and going through the manufacturing process again. The chinese direct these to people who are satisfied with the lower quality or simply are gullible.
This not only applies to taps and dies. Sintered carbide cutter inserts do not all pass the strict industrial specifications, a lot are sold to unsuspecting buyers because they are cheap (no industrial user would accept them). It even applies to machines – buy cheap buy poor specced machines, where poor castings or machining mishaps on the production line are ‘bodged’ to build as cheap machines.
It’s not all gloom, however. Think, here, that worn machines, less than rigid machines and cheap, poorly specified machines would not get best use of highly specified cutters which would be used in highly specified machines – providing a much longer cutting life. So lower specced items can be used, as adequate quality of the product produced by the machinist can be attained with care. A completely different environment than the mass production market in industry! Where thousands of items may be expected before the product goes out of specification (and round we go, again, with sub-specification products🙂 ).