CLA-2-73:OT:RR:NC:1:117
Mr. Gordon C. Anderson
C. H. Robinson Worldwide, Inc.
Minneapolis International
14800 Charlson Road, Suite 400
Eden Prairie, MN 55347-5048
RE: The tariff classification of steel pipe spools from China, Thailand, Korea and Malaysia
Dear Mr. Anderson:
In your letter dated May 9, 2011, on behalf of your client, Vogt Power International, you requested a tariff classification ruling.
The products you intend to import are described as pipe spools in various configurations to be used in single or multi pressure heat recovery steam generators. You defined a heat recovery steam generator as an energy recovery heat exchanger that recovers heat from a hot gas stream thereby producing steam that can be used in a process or to drive a steam turbine. You enclosed a CD with pictures of the items to be imported.
The pipe spools are comprised of lengths of either seamless carbon steel pipes or seamless alloy steel pipes, connected by pipe fittings. The seamless carbon steel pipes will be hot finished. The seamless alloy steel pipes are either cold-drawn or hot finished and of heat-resisting steel. All pipe spools can be of various sizes ranging from outside diameters of 2 inches to greater than 24 inches depending on the individual pipe spool system. The grades of steel used will be dependent on the type of HSRG but all pipe spools will be manufactured from grades of steel meeting ASTM standards for high temperature and high pressure, or, intermediate pressure, or, low pressure applications. Seamless carbon steel pipe would conform to ASTM A-106, Grades B and C pipe. Seamless alloy steel pipe would conform to ASTM A-335, Grade P11 and Grade P22. The fittings used would conform to ASTM A-234 for the butt weld carbon steel fittings or to A-182 for the forged flanges. The pipe spools can be straight or have different angles and bends fabricated into them and will include one or several branch outlets or fittings for attaching to the HSRG steam drums and other pipes.
The applicable subheading for the hot finished seamless carbon steel pipe spools will be, 7304.39.00 Harmonized Tariff Schedule of the United States (HTSUS), which provides for tubes, pipes and hollow profiles, seamless, of iron (other than cast iron) or steel: other, of circular cross section, of iron or nonalloy steel: other, suitable for use in boilers, superheaters, heat exchangers, condensers, refining furnaces and feedwater heaters. The rate of duty will be free. The statistical suffixes will be dependent on the outside diameter of each imported pipe spool.
You suggested that the pipe spools made of seamless cold-drawn alloy heat-resisting steel should be classifiable in 7304.51.5015, Harmonized Tariff Schedule of the United States (HTSUS), which provides for tubes, pipes and hollow profiles, seamless, of iron (other than cast iron) or steel: other, of circular cross section, of other alloy steel: cold-drawn or cold-rolled (cold-reduced):other, other: suitable for use in boilers, superheaters, heat exchangers, condensers, refining furnaces and feedwater heaters: of heat-resisting steel. You further suggested that the pipe spools made of seamless hot finished alloy heat-resisting steel should be classifiable in 7304.59.2030, Harmonized Tariff Schedule of the United States (HTSUS), which provides for tubes, pipes and hollow profiles, seamless of iron (other than cast iron) or steel: other, of circular cross section, of other alloy steel: other, other: suitable for use in boilers, superheaters, heat exchangers, condensers, refining furnaces and feedwater heaters: of heat-resisting steel.
We do not agree. The HTSUS, Chapter 72, Additional U.S. Note 1(g) defines heat-resisting steel as alloy steels containing by weight less than 0.3 percent of carbon and 4 percent or more but less than 10.5 percent of chromium. The only grades of alloy steel pipe that you specified in your inquiry are Grades P11 and P22 under ASTM A-335. Both of those materials are shown in ASTM A-335 to contain less than the 4 percent chromium required by the HTSUS for heat resisting steel.
The applicable subheading for the cold-drawn pipe spools of seamless alloy steel will be, 7304.51.5045, Harmonized Tariff Schedule of the United States (HTSUS), which provides for tubes, pipes and hollow profiles, seamless, of iron (other than cast iron) or steel: other, of circular cross section, of other alloy steel: cold-drawn or cold-rolled (cold-reduced): other, other: suitable for use in boilers, superheaters, heat exchangers, condensers, refining furnaces and feedwater heaters: other. The rate of duty will be free.
The applicable subheading for the hot finished pipe spools of seamless alloy steel will be, 7304.59.20, Harmonized Tariff Schedule of the United States (HTSUS), which provides for tubes, pipes and hollow profiles, seamless, of iron (other than cast iron) or steel: other, of circular cross section, of other alloy steel: other, other: suitable for use in boilers, superheaters, heat exchangers, condensers, refining furnaces and feedwater heaters: other. The rate of duty will be free. The statistical suffixes will be dependent on the outside diameter of each imported pipe spool.
The merchandise in question may be subject to antidumping duties or countervailing duties. Written decisions regarding the scope of AD/CVD orders are issued by the Import Administration in the Department of Commerce and are separate from tariff classification and origin rulings issued by Customs and Border Protection. You can contact them at http://www.trade.gov/ia/ (click on “Contact Us”). For your information, you can view a list of current AD/CVD cases at the United States International Trade Commission website at http://www.usitc.gov (click on “Antidumping and countervailing duty investigations”), and you can search AD/CVD deposit and liquidation messages using the AD/CVD Search tool at http://addcvd.cbp.gov/
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 the ruling, contact National Import Specialist Mary Ellen Laker at (646) 733-3020.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division