CLA-2-27:RR:NC:FC:239 A83694

Ms. Sandra Darby
Novacor Chemicals (Canada) Ltd.
P.O. Box 3054
Sarnia, Ontario, Canada, N7T 7V1

RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), of Petrocarb from Canada; Article 509

Dear Ms. Darby:

In your letter dated May 6, 1996, you requested a ruling on the status of Petrocarb from Canada under the NAFTA.

You state in your inquiry that the subject merchandise will be produced from crude petroleum oil feedstock, a wholly originating material which is the product of Canada. Alternatively, it will be produced from crude oil feedstock, wholly originating in Canada but containing a small percentage (less than 1 percent) of non-originating crude or napthta/condensate.

The applicable tariff provision will be 2710.00.0530, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), 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: distillate and residual fuel oils (including blended fuel oils). The general rate of duty will be 5.25 cents per barrel.

This product, being wholly obtained or produced entirely in the territory of Canada, will meet the requirements of HTSUSA General Note 12(b)(I), and will therefore be entitled to a free rate of duty under the NAFTA upon compliance with all applicable laws, regulations, and agreements.

This ruling letter is binding only as to the party to whom it is issued and may be relied on only by that party.

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 Thomas Brady at 212-466-5747.

Sincerely,

Roger J. Silvestri
Director
National Commodity
Specialist Division