The AAST colon scale runs by how much of the bowel wall is breached. Think of it as a ladder: partial-thickness or contusion sits at $I$, a laceration under half the circumference at $II$, a laceration over half the circumference at $III$, a clean transection at $IV$, and a transection with loss of tissue/blood supply at $V$.
Here the wound crosses more than 50% of the circumference yet the colon is not fully divided, so it stops at the over-half-circumference rung.
\[ \text{laceration} > 50\% \text{ circumference, no transection} \Rightarrow \text{Grade III} \]
\[\boxed{\text{Grade III}}\]