CLA-2 OT:RR:CTF:TCM H009527ARM
Ms. Julie Ann Kinyoun
EMD Biosciences, Inc.
10394 Pacific Center Court
San Diego, CA 92121
RE: Modification of NY R03289; Tariff classification of NAD, Lithium
(CAS 64417-72-7) from Germany.
Dear Ms. Kinyoun:
This is in reference to New York (NY) Ruling Letter R03289, dated March 13, 2006, issued to you by Customs and Border Protection (“CBP”) concerning the classification, under the Harmonized Tariff Schedule of the United States (HTSUS), of NADH Disodium Salt and NAD, Lithium. In NY R03289, both goods were classified under subheading 2934.99.90, HTSUS, as other heterocyclic compounds. For the reasons set forth below, NY R03289 is modified with respect to NAD, Lithium.
Pursuant to section 625(c)(1), Tariff Act of 1930 (19 U.S.C. 1625 (c)(1)), as amended by section 623 of Title VI (Customs Modernization) of the North American Free Trade Agreement Implementation Act (Pub. L. 103-182, 107 Stat. 2057), notice of the proposed action was published in the CUSTOMS BULLETIN, Volume 43, No. 50, on December 10, 2009. No comments were received in response to the notice.
FACTS:
The merchandise at issue is NAD, Lithium (CAS # 64417-72-7) and has a chemical formula of C21H27N7O14P2.Li. It is the lithium salt of NAD (nicotinamide adenine dinucleotide). The compound is a modified aromatic monolithium salt of a zwitterionic compound containing the following functional groups: heterocyclic with nitrogen hetero-atoms, heterocyclic with oxygen hetero-atoms, amide, amine, phosphate, and alcohol.
ISSUE:
Whether NAD, Lithium is a modified aromatic heterocyclic compound of subheading 2934.99.39, HTSUS, or an other heterocyclic compound of subheading 2934.99.90, HTSUS.
LAW AND ANALYSIS:
Merchandise is classifiable under the HTSUS in accordance with the General Rules of Interpretation (GRIs). GRI 1 provides that classification shall be determined according to the terms of the headings and any relative Section or Chapter Notes. In the event that the goods cannot be classified solely on the basis of GRI 1, HTSUS, and if the headings or notes do not require otherwise, the remaining GRIs 2 through 6 may be applied.
At issue is the proper eight-digit national tariff rate applicable to the instant merchandise. GRI 6 provides that the classification of goods in the subheadings of headings shall be determined according to the terms of those subheadings, any related subheading notes and, mutatis mutandis, to the GRIs. The HTSUS provisions under consideration are as follows:
2934: Nucleic acids and their salts, whether or not chemically defined; other heterocyclic compounds:
Other:
2934.99 Other:
Aromatic or modified aromatic:
Other:
2934.99.39 Products described in additional U.S. note 3 to section VI
* * * * *
Other:
Other:
2934.99.90 Other
The Additional U.S. Notes to Section VI, HTSUS, state, in pertinent part, the following:
2. For the purposes of the tariff schedule:
(a) The term "aromatic" as applied to any chemical compound refers to such compound containing one or more fused or unfused benzene rings;
(b) The term "modified aromatic" describes a molecular structure having at least one six-membered heterocyclic ring which contains at least four carbon atoms and having an arrangement of molecular bonds as in the benzene ring or in the quinone ring, but does not include any such molecular structure in which one or more pyrimidine rings are the only modified aromatic rings present;
* * * * *
3. The term "products described in additional U.S. note 3 to section VI" refers to any product not listed in the Chemical Appendix to the Tariff Schedule and--
(a) For which the importer furnishes the Chemical Abstracts Service (C.A.S.) registry number and certifies that such registry number is not listed in the Chemical Appendix to the Tariff Schedule; or
(b) Which the importer certifies not to have a C.A.S. registry number and not to be listed in the Chemical Appendix to the Tariff Schedule, either under the name used to make Customs entry or under any other name by which it may be known
The structure of the instant merchandise contains 2 six-sided heterocyclic rings each containing four or more carbon atoms and an arrangement of bonds as in a benzene ring, an aromatic compound. In accordance with Additional U.S. Note 2(b) to Section VI, the instant merchandise consists of a modified aromatic compound. Further, it is not listed in the Chemical Appendix to the HTSUS and is assigned a CAS registry number not listed in the Chemical Appendix to the HTSUS. As such, it is classified in subheading 2934.99.39, HTSUS.
HOLDING:
By application of GRIs 1 and 6, the NAD, Lithium is classified in heading 2934, HTSUS. It is specifically provided for in subheading 2934.99.39, HTSUS, which provides for: “Nucleic acids and their salts, whether or not chemically defined; other heterocyclic compounds: Other: Other: Aromatic or modified aromatic: Other: Products described in additional U.S. note 3 to section VI.” The 2009 column one general rate of duty is 6.5% 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 the internet at www.usitc.gov.
EFFECT ON OTHER RULINGS:
New York (NY) Ruling Letter R03289, dated March 13, 2006, is modified.
In accordance with 19 U.S.C. 1625(c), this ruling will become effective 60 days after publication in the CUSTOMS BULLETIN.
Sincerely,
Myles B. Harmon, Director
Classification and Trade Facilitation Division