CLA-2-84:OT:RR:NC:N1:102

Wynne Wen
Neway
9757 Stafford Centrd
Stafford, TX 77477

RE: The tariff classification of various items used in oil well production from China

Dear Wynne Wen:

In your letter dated October 16, 2018, you requested a tariff classification ruling. Illustrations were provided.

The merchandise under consideration is identified in your letter as items used in oil well production.

The first item is referred to as a casing head and can be made of either alloy steel or stainless steel material. The casing head is described as an adapter and is installed in between a casing string and a blowout preventer stack or a wellhead.

The second item is referred to as a cross. The cross consists of three or more connections and is described as a component of a Christmas Tree, which functions as a valve assembly that consists of a master valve, wing valves and swab valves. The cross can be made-up of either alloy steel or stainless steel.

The third item is referred to as a seat. The seat, which is a component of the valve, allows the valve’s closing element to position itself. The valve seat is illustrated with a manually-operated valve and is said to be made of either alloy steel or stainless steel material.

The fourth item is referred to as a casing hanger. The casing hanger is described as a subassembly of a wellhead that supports the casing string when it is run into the wellbore. The casing hanger positions a drilling string and is a sealing device. The casing hanger is made up of either alloy steel or stainless steel material.

The fifth item is referred to as a weldneck flange. The weldneck flange is described as a pipe fitting that has a radial collar with holes. The holes allow for the flange to be bolted to pipe components. The weldneck flange is made of either alloy steel or stainless steel material.

The applicable subheading for the casing head will be 7326.90.8688, HTSUS, which provides for Other articles of iron or steel: Other: Other. The general rate of duty is 2.9 percent ad valorem.

The applicable subheading for the cross will be 8481.90.9085, HTSUS, which provides for Taps, cocks, valves and similar appliances, for pipes, boiler shells, tanks, vats or the like, including pressure-reducing valves and thermostatically controlled valves: parts thereof: Other. The rate of duty is Free.

The applicable subheading for the seat will be 8481.90.3000, HTSUS, which provides for iron or steel parts of hand-operated and check valves. The general rate of duty will be 4 percent ad valorem.

The applicable subheading for the casing hanger will be 8479.89.9450, HTSUS, which provides for Machines and mechanical appliances having individual functions, not specified or included elsewhere in this chapter; parts thereof: Other: Oil and gas field wireline and downhole equipment. The general rate of duty will be 2.5 percent ad valorem.

The applicable subheading for the stainless steel weldneck flange will be 7307.21.5000, HTSUS, which provides for Tube or pipe fittings (for example, couplings, elbows, sleeves), of iron or steel: Other, of stainless steel: Flanges: Other. The general rate of duty will be 5.6 percent ad valorem.

The applicable subheading for the alloy steel weldneck flange will be 7307.91.5030, HTSUS, which provides for Tube or pipe fittings (for example, couplings, elbows, sleeves), of iron or steel:Other: Other: Of alloy steel. The general rate of duty will be 5.5 percent ad valorem.

Effective July 6, 2018, the Office of the United States Trade Representative (USTR) imposed an additional tariff on certain products of China classified in the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(b), HTSUS.  The USTR imposed additional tariffs, effective August 23, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(d), HTSUS.  Subsequently, the USTR imposed further tariffs, effective September 24, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(f) and U.S. Note 20(g), HTSUS. For additional information, please see the relevant Federal Register notices dated June 20, 2018 (83 F.R. 28710), August 16, 2018 (83 F.R. 40823), and September 21, 2018 (83 F.R. 47974).  Products of China that are provided for in subheading 9903.88.01,  9903.88.02, 9903.88.03, or 9903.88.04 and classified in one of the subheadings enumerated in U.S. Note 20(b), U.S. Note 20(d), U.S. Note 20(f) or U.S. Note 20(g) to subchapter III shall continue to be subject to antidumping, countervailing, or other duties, fees and charges that apply to such products, as well as to those imposed by the aforementioned Chapter 99 subheadings.

Products of China classified under subheading 8481.90.9085, HTSUS, unless specifically excluded, are subject to the additional 25 percent ad valorem rate of duty.  At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.01, in addition to subheadings 8481.90.9085, HTSUS, listed above.

Products of China classified under subheadings 7307.21.5000, 7307.91.5030, 7326.90.8688 and 8479.89.9450, HTSUS, unless specifically excluded, are subject to the additional 10 percent ad valorem rate of duty.  At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.03, in addition to subheadings 7307.21.5000, 7307.91.5030, 7326.90.8688 and 8479.89.9450, HTSUS, listed above.

The tariff is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Notice cited above and the applicable Chapter 99 subheading.

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 World Wide Web at https://hts.usitc.gov/current.

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 Sandra Martinez at [email protected].

Sincerely,

Steven A. Mack
Director
National Commodity Specialist Division