CLA-2-1:OT:RR:NC:1:117

Mr. Viacheslav Poleev
Air Quality Experts, LLC
1521 Concord Pike, Suite 301
Wilmington, DE 19803

RE: The tariff classification of drill pipe, drill collar, square kellys and drill-stem subs from Russian Federation

Dear Mr. Poleev:

In your letter dated September 30, 2013 you requested a tariff classification ruling.

The products being imported are drill pipe, drill collars, square kellys and drill-stem subs. The drill pipe is seamless, cold-rolled alloy steel. It is made to API 5D specifications. The outside diameter does not exceed 168.3mm and the wall thickness exceeds 9.5mm. The drill pipe is designed to produce axial load onto the rock-destroying tool and to transfer torque from the rotor when drilling complex horizontal wells. The drill collar is intended to produce axial load onto the drill bit and to increase rigidity of the drill string. The square kelly is used to transmit rotation from the rotor to the drill string. The drill-stem subs are intended to connect separate parts of the drill pipe string with different types of threads and to join equipment for oil well drilling to the drill pipe string.

The applicable subheading for the drill pipe will be 7304.23.6045, 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: Casing, tubing and drill pipe, of a kind used in drilling for oil or gas: Other drill pipe: Of alloy steel: Having an outside diameter not exceeding 168.3mm: Having a wall thickness exceeding 9.5mm. The rate of duty will be free.

The applicable subheading for the drill collars, square kellys and drill-stem subs will be 8431.43.8060, Harmonized Tariff Schedule of the United States (HTSUS), which provides for parts suitable for use solely or principally with the machinery of headings 8425 to 8430: of machinery of heading…8430: parts for boring or sinking machinery of subheading 8430.41 or 8430.49: other, of oil and gas field machinery: other. The rate of duty will be free.

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/.

You have asked whether these products are subject to antidumping duties or countervailing duties (AD/CVD). 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/.

You also inquired as to specific import requirements for these products. Please be advised that mill certificates are required at time of entry for the drill pipe. Section 141.89, CBP Regulations (19 C.F.R. §141.89), lists certain additional information that is required on invoices at the time of entry. With regard to the instant merchandise, the regulation states that: [I]ron or steel classifiable in Chapter 72 or headings 7301 to 7307, HTSUS (T.D. 53092, 55977) -- Statement of the percentages by weight or carbon and any metallic elements contained in the articles, in the form of a mill analysis or mill test certificate.

In addition, steel or SIMA licenses are required for all imported steel mill products. Steel licenses are issued by the International Trade Administration at the Department of Commerce. Further information can be accessed at http://ia.ita.doc.gov/steel/license.

Regarding your question on additional fees for importations, there may be merchandise processing fees which will be applied. Under 19 U.S.C. §58c(a)(9), a merchandise processing fee equal to 0.3464 percent ad valorem may be assessed upon merchandise that is formally entered or released. 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,

Gwenn Klein Kirschner
Acting Director
National Commodity Specialist Division