CLA-2-39:OT:RR:E:NC:SP:237
Mark D. Pinchok
Bayer Corporate and Business Services LLC
100 Bayer Road
Pittsburgh, Pennsylvania 15205-9741
RE: Tariff classification of an aqueous polyurethane dispersion from Germany.
Dear Mr. Pinchok:
In your letter dated April 29, 2008, on behalf of Bayer Material Science LLC (BMS), you requested a tariff classification ruling. You provided Bayhydrol XP 2414 Product Information bulletin and MSDS sheets with your submission.
Bayhydrol XP 2414 is described as an anionic dispersion of an aliphatic polycarbonate polyurethane (CAS-343326-68-1) in water. The composition is given as: 40.2% polyurethane (resin), 57.3% water (solvent), 1.3% triethylamine (wetting and penetrating agent), and 1.2% 2-amino-2-methyl-1-propanol (emulsifying and dispersing agent). The product is designed for use as a binder for waterborne, oven-drying basecoats for two-layer automotive coatings and industrial coatings.
In your letter, you suggested that the product be classified under subheading 3909.50.2000, HTSUS, which provides for polyurethane cements. However, your product does not meet the definition of a cement, which is an adhesive substance used for making solid bodies adhere to each other. Established uses for polyurethane adhesives include: laminating adhesives for textiles, plastic films, aluminum foil, paper and board. For bonding rubber, textiles, leather, plasticized PVC. For bonding metal to metal, and metal to rubber and plastics. The Bayhydrol XP 2414 Product Information bulletin does not state that the product is capable of being used as a cement similar to any of these examples. Based on your submission the product is used for coatings.
Bayhydrol XP 2414 is described as a binder used in automotive and industrial primer coatings. The polyurethane binder consists of resin particles that make up the film-forming component of the base coating. After application of the aqueous dispersion, the polyurethane resin particles disperse on the substrate and then coalesce to form a film. As the water evaporates, the resin particles further polymerize and cross-link to produce a continuous film or coating. The anionic product is applied by electro-depositing to the metal automotive substrate. Adhesion is achieved as the aqueous dispersion penetrates into all surface pores and crevices before drying. The top coat is applied only after the base coat has thoroughly dried. The dried base coat does not bind the top coat to the substrate as you suggested. The dried base coat forms a uniform surface for the later application of a top coat. Dispersions of polyurethane resins in aqueous solvents are commonly used as surface-coatings in the automotive industry.
The applicable subheading for Bayhydrol XP 2414 aqueous polyurethane dispersion will be 3909.50.5000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for: Amino-resins, phenolic resins and polyurethanes, in primary forms: Polyurethanes: Other. The rate of duty will be 6.3% ad valorem.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at http://www.usitc.gov/tata/hts/.
This merchandise may be subject to the requirements of the Toxic Substances Control Act administered by the U.S. Environmental Protection Agency. You may contact them at 402 M Street, S.W., Washington, D.C. 20460, telephone number (202) 554-1404.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).
A copy of the ruling or control number shown above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist Frank Cantone at 646-733-3038.
Sincerely,
Robert Swierupski
Director,
National Commodity
Specialist Division