CLA-2-84:OT:RR:NC:1:104

Ms. Marjorie Schoen
Trans-World Shipping Service, Inc.
3206 Frenchmens Road
P.O. Box 795
Toledo, OH 43697-0795

RE: The tariff classification of an algae photo bioreactor from The Netherlands

Dear Ms. Schoen:

In your letter dated July 18, 2008 on behalf of the Center for Innovative Food Technology (CIFT) EISC, Inc. you requested a tariff classification ruling.

The Algae Photo Bioreactor is used for the controlled production of micro algae. The system increases photosynthesis and algae biomass production by reducing the light path and improving culture mixing with little hydrodynamic stress on the cells. Algae cells, nutrients, water and carbon dioxide are circulated through transparent tubes to maximize the amount of light reaching the algae cells. The length of the horizontally positioned tubes varies according to the individual project. They are designed to have light and dark intervals to enhance the growth rate. Pumps control the medium’s pH level and the nutrients level. The harvesting pump regulates the flow to the filter system. The harvested, oil-rich algae can be processed into a number of products such as biodiesel, ethanol, animal feed, food, cosmetics, pharmaceuticals and a variety of plastics.

The system is comprised of the following components: Photo bioreactor consisting of acrylic tubes through which the algae flows Automated cleaning mechanism within the tubes to clean algae from the internal side of the tubes Pump box containing the acidity pump, nutrient pump and the harvesting pump Filter system to collect algae ready for processing Computerized control system Feeding vessel for feeding the algae the required level of nutrients for optimal growth Water pump to regulate the flow of the algae through the photo bioreactor

Algae flows from the feeding vessel into the diaphragm pump which moderates the flow of the algae into the actual tubes. A CO2 inlet valve is built into the pump. Controlled environmental parameters in the tubes enhance the growth rate. Upon completion of the flow through the tubes, the algae pass back to the feeding vessel. It is at this stage that the optical cell density sensor determines the harvesting rate. The algae pass through the connected filtering system which collects the “ready for processing” algae. The remaining algae pass back to the feeding vessel where the process begins anew.

In your letter, you state that the algae photo bioreactor in question is intended for use in laboratories to conduct testing in growing micro algae for use in/as fuel. It is noted that the system does not feature any analytical component or any analytical capability. The sensors included in the system are used to monitor and maintain the environmental parameters and determine the harvesting rate. The system performs no analysis of the algae it is used to create. Any analysis or testing of the algae for use in/as fuel is performed by separate equipment subsequent to the harvesting operations.

In your letter, you propose classifying this merchandise under subheading 8436.80.0090, Harmonized Tariff Schedule of the United States (HTSUS), which provides for other agricultural, horticultural, forestry, poultry-keeping or bee-keeping machinery, including germination plant fitted with mechanical or thermal equipment; poultry incubators and brooders; parts thereof: Other machinery…Other: Other: Other. This device is designed to enhance algae production. This is not a pursuit of agriculture or horticulture or any other practice of heading 8436. Additionally, heading 8419, HTSUS, which provides for machinery, plant or laboratory equipment, whether or not electrically heated…, for the treatment of materials by a process involving a change of temperature…, is not applicable as the device does not involve any change in temperature at a primary or other level. The merchandise is not subject to any trade agreements.

The applicable subheading for the Algae Photo Bioreactor, imported complete in one shipment, will be 8479.89.9897, HTSUS, which provides for Machines and mechanical appliances having individual functions, not specified or included elsewhere in this chapter, parts thereof: Other machines and mechanical appliances: Other: Other: Other. The rate of duty will be 2.5 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 the ruling, contact National Import Specialist Patricia O’Donnell at (646) 733-3011.

Sincerely,

Robert B. Swierupski
Director
National Commodity Specialist Division