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ITC Posts 2016 HTS; Changes in Chapters 1-49 Include New Classifications for Veal, Vaping Liquids

The International Trade Commission recently released the 2016 edition of the Harmonized Tariff Schedule (here). The new HTS implements a recent presidential proclamation that terminated benefits under the African Growth and Opportunity Act for Burundi (see 1512220025). Other changes include the addition of several new schedule B numbers for heavy fuel oils, the addition of new tariff numbers for veal and vaping liquids, and a lower duty rate for some wood flooring panels. Most changes took effect Jan. 1.

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(NOTE: This is the first part of a two-part summary of the 2016 Basic Edition of the HTS, covering changes to chapters 1-49. A summary of changes to chapters 51-99 will appear in an upcoming edition of International Trade Today. The effective date of all of the changes listed below is Jan. 1, 2016, unless otherwise noted.)

St. Kitts and Nevis. The new version of the HTS removes St. Kitts and Nevis from the list of Generalized System of Preferences beneficiaries under general note 4(a), effective Jan. 1, 2014. The Caribbean country had been graduated from GSP in a 2012 presidential proclamation, but subsequent versions of the HTS had erroneously continued to include it in the list.

Burundi terminated from AGOA. Burundi is removed from the list of African Growth and Opportunity Act beneficiaries in general note 16(a), to reflect termination of the country as an AGOA beneficiary.

Schedule B numbers. The “Notice to Exporters” in the 2016 HTS is updated to add four Schedule B numbers for heavy fuel oils containing various amounts of sulfur.

Veal. Statistical breakouts are added in chapter 2 for unprocessed bone-in cuts of fresh and chilled veal (0201.20.5015), unprocessed boneless cuts of fresh and chilled veal (0201.30.5015) and unprocessed frozen veal (0202.30.5015). New breakouts for “other” unprocessed bovine meat are added accordingly.

Fluorinated hydrocarbons. A new statistical breakout is added for “difluoromethane; pentafluoroethane; and 1,1,1-trifluoroethane” under subheading 2903.39.2035. The subheading for “other” fluorinated hydrocarbons is changed to 2303.39.2040.

Carboxylic acids. The API “BH” is added to special duty rates column 1 of subheading 2918.29.06 (“1,6-Hexanediol bis(3,5-dibutyl-4-hydroxyphenyl)propionate”) in a technical correction that affords Bahrain duty free treatment.

Photographic chemicals. Statistical breakout 2933.19.3015 for “coupler dispersions, for use in color negative photographic paper” is removed, and the breakout for “other” photographic chemicals renumbered to 2933.19.3095.

Hormones. Statistical breakout 2937.29.9010 for “salts and esters of cortisone” is removed, and the relevant “other” breakout renumbered.

Food colorings. Statistical breakout 3205.00.4030 for violet food colorings described in additional U.S. note 3 to section VI is eliminated, and the relevant “other” breakout renumbered.

Hydrofluorocarbon refrigerant blends. A statistical breakout for “hydrofluorocarbon refrigerant blends” specified in statistical note 2 to this chapter” is added as subheading 3824.78.0020, and new breakout for “other” mixtures “containing perfluorocarbons (PFCs) or hydrofluorocarbons (HFCs) but not containing chlorofluorocarbons (CFCs) or hydrochlorofluorocarbons (HCFCs)” is added as subheading 3824.78.0050. New statistical note 2 to chapter 38 clarifies that “the term ‘hydrofluorocarbon refrigerant blends’ consists of hydrofluorocarbon mixtures containing at least pentafluoroethane (R125) and difluoromethane (R32) mixed, with or without other ingredients; or mixtures containing at least pentafluoroethane (R125) and 1,1,1-trifluoroethane (R143a) mixed, with or without other ingredients.”

Vaping liquids. New statistical suffixes 3824.90.2840 and 3824.90.9280 are added for “mixtures of a kind used in personal electric or electronic vaporizing devices (with classification determined by whether the liquid contains five percent or more by weight of aromatic substances). New statistical note 3 to chapter 38 clarifies that, “’mixtures for use in personal electric or electronic vaporizing devices’ means a formulated liquid, whether or not containing nicotine, and whether or not packaged for retail sale in cartridges or tanks adaptable to such devices. Personal electric or electronic vaporizing devices electrically heat or atomize liquids or other substances producing a vapor to be inhaled through the mouthpiece. These devices are commonly known as electronic cigarettes, ‘e-cigarettes’, ‘e-hookahs’, ‘e-pipes’, vaporizers or ‘vaping’ systems.”

Natural gums. Statistical breakouts for “jelutong or pontianak” (4001.30.0015) and “leche caspi and sorva” (4001.30.0025) are eliminated from the 2016 HTS, and the subheading for similar natural gums is renumbered to 4001.30.0055.

Tires for lawn and garden. Tires used “for turf, lawn and garden” applications are added to three existing subheadings for new pneumatic tires under heading 4011. These subheadings are renumbered to 4011.69.0020 for “herring-bone” tread new pneumatic tires, 4011.99.4520 for radial new pneumatic tires and 4011.99.8520 for “other” new pneumatic tires, and the relevant “other” subheadings are renumbered accordingly.

Hair sheep and cabretta skins. Statistical breakout 4102.21.0030 for pickled hair sheep and cabretta skins, without hair on, is removed from the 2016 HTS. Subheadings for other pickled skins without wool are renumbered.

Buffalo skins. Statistical breakouts for “upper leather” and “other” wet buffalo skins under subheadings 4104.19.3010 and 4104.19.3060 are removed, consolidating all tanned or crust wet buffalo skins without hair under a single subheading.

Port oxford cedar. Statistical breakout 4403.20.0045 for rough “Port Oxford cedar” is eliminated, and the subheading for “other” coniferous wood in the rough is changed to 4403.20.0064.

Plywood. Statistical breakout 4412.94.3131 for plywood with a face ply of sen (Kalopanax spp.) is removed. Tariff numbers for “other” uncovered (or transparently covered) plywood with a face ply of non-coniferous wood are adjusted accordingly.

Duty rate for assembled flooring panels. The duty rate for subheading 4418.72.95 (“Builders' joinery and carpentry of wood, including cellular wood panels and assembled flooring panels; shingles and shakes: Assembled flooring panels: Other, multilayer: Other: Other:”) is lowered from 8% to 5%, effective Dec. 31, 2015.