CLA-2-38:OT:RR:NC:2:239
Mr. Dayne Delahoussaye,
Neste Oil US, Inc.
1800 West Loop South, Suite 1700
Houston, Texas 77027
RE: The tariff classification of NEXBTL Non-Ester Renewable Diesel from Finland, Singapore, or the Netherlands
Dear Mr. Delahoussaye:
In your letter dated March 03, 2014 you requested a tariff classification ruling.
The instant product is called NEXBTL. NEXBTL consists of various paraffinic hydrocarbons.
Product literature states in part that:
“Unlike traditional biofuels, NEXBTL is a ’dropin’ fuel and is fully compatible with existing fuel infrastructure, distribution systems, and engines. Proprietary hydrotreating technology converts vegetable oil and waste fats into premium-quality fuel. Therefore, NEXBTL renewable diesel is a pure hydrocarbon with significant performance and emission benefit”.
It is further stated that:
Hydrotreated Vegetable Oil (HVO) is a mixture of straight chain and branched paraffins – the simplest type of hydrocarbon molecules from the point of view of clean and complete combustion. Typical carbon numbers are C15 ... C18….HVO is also called Renewable diesel or HDRD (Hydrogenation Derived Renewable Diesel)”.
You suggest classification in heading 2710, HTSUS. However, NEXBTL 100% Hydrotreated Vegetable Oil does not meet the requirement in heading 2710 which provides for: "Petroleum oils and oils obtained from bituminous minerals, other than crude; preparations not elsewhere specified or included, containing by weight 70 percent or more of petroleum oils or of oils obtained from bituminous minerals, these oils being the basic constituents of the preparations." Therefore, the product must be classified elsewhere in the tariff.
The applicable subheading for the NEXBTL Non-Ester Renewable Diesel will be 3824.90.9290, Harmonized Tariff Schedule of the United States (HTSUS), which provides for: Prepared binders for foundry molds or cores; chemical products and preparations of the chemical or allied industries (including those consisting of mixtures of natural products), not elsewhere specified or included: Other: Other: Other: Other: Other. The General rate of duty will be 5 percent 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 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 the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding this ruling regarding Chapter 27, contact National Import Specialist Frank Cantone at (646) 733-3038, or for Chapter 38 contact, National Import Specialist Paul Hodgkiss at 646-733-3046.
Sincerely,
Gwenn Klein Kirschner
Acting Director
National Commodity Specialist Division