The short answer
Buy used pallets when the pallet only has to move goods safely from one place to another, and buy new when the pallet itself has to meet a requirement: a customer's specification, an automated line, a clean-room or food-contact standard, or a non-standard size. Most businesses end up using both.
When used pallets are the better buy
Used pallets, sometimes called recycled or reconditioned pallets, have already been in service, been inspected, and been repaired where needed. They cost less than new and are usually available quickly in the standard 48 x 40 size.
They are a good fit for domestic shipping, internal warehouse moves, storage, and one-way shipments where the pallet will not come back. Grade A used pallets look close to new and have had little or no repair. Grade B pallets show more wear and repair and cost less again, which suits loads where appearance does not matter.
When new pallets are worth it
New pallets are built from fresh lumber to a specification, so every pallet in the order is the same size, strength, and weight. That consistency matters on automated conveyors and palletizers, in high racking where a weak board is a safety problem, and for customers who audit incoming pallets.
New is also the practical route for anything non-standard. If you need an unusual size, a higher load rating, or a particular deck layout, a custom-built pallet will do the job better than trying to find used ones that happen to match.
What about export?
Pallets leaving Canada for most countries must be heat-treated and stamped under the ISPM-15 standard. Both new and used pallets can qualify, but the stamp has to be present and readable, and a pallet that has been repaired with untreated wood no longer complies until it is treated and marked again. If you ship internationally, say so when you order so the pallets you receive carry the right mark.
How to decide
Ask four questions. Does anyone downstream set a pallet specification? Will the pallet go into racking or onto automated equipment? Is the shipment leaving the country? Does the pallet come back to you? If the answers are no, no, no, and no, used pallets will almost certainly do the job for less.
If you are not sure, tell us what you are shipping, how heavy it is, and where it is going. Magic Pallets supplies new, Grade A, Grade B, block, custom, and heat-treated pallets, and we will tell you which one fits rather than selling you more pallet than you need.