Abstract: This invention is a system of automatically classifying defects both for sorting defective products (metallic surfaces, especially tube surfaces) as to the reworking operation required for correcting the defect, and for classifying the defect as to the preceding manufacturing operation which is the most probable cause of that defect and sending a signal to that operation to provide for adjustments to minimize future defects. The system uses a source of electromagnetic radiation (typically a laser beam which is scanned across the surface) and at least two sensors (adjusted such that the radiation is reflected from a defect-free surface principally received by one of the sensors but that there is a measured amount of radiation in the other sensor). An average signal of the principal sensor is developed as a function of scan position. Threshold circuitry detects when the ratio of sensor signal to average signal varies by a predetermined amount.