CLA-2-84:OT:RR:NC:N1:102
TARIFF NO. 8418.69.0180
H. Michael Leightman
Ernst & Young LLP
1401 McKinney Street
Suite 2400
Houston, TX 77010
RE: The tariff classification of a LNG terminal from a foreign trade zone (FTZ)
Dear Mr. Leightman:
In your letter dated May 9, 2019 you requested a tariff classification ruling on behalf of your client Tellurian Inc. Descriptive information was included with your submission.
The subject merchandise is a LNG terminal that you state will be constructed in a FTZ. This ruling is being issued solely to address the classification of a LNG terminal and makes no determination as to whether the merchandise has been entered properly into the FTZ. We recommend that your client seek advise from the Entry Process and Duty Refunds Branch, Regulations and Rulings, Washington, DC for further guidance.
The LNG terminal consists of various machines that are interconnected to each other to complete a single, closed loop refrigeration process. The conversion of natural gas to liquefied gas begins by treating the feed gas through a filtering and purification process and continues with a refrigeration process that primarily consists of various stages of gas being compressed. The machines involved in the refrigeration process are a cold box, a MR compressor, the suction drums and the air coolers.
The applicable subheading for the complete LNG terminal will 8418.69.0180, Harmonized Tariff Schedule of the United States, HTSUS, which provides for Refrigerators, freezers and other refrigerating or freezing equipment, electric or other; heat pumps, other than the air conditioning machines of heading 8415; parts thereof: Other refrigerating or freezing equipment; Other; Other refrigerating or freezing equipment. The rate of duty is 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 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