Classification of Vegetable Oil Fractions

HQ 088613 June 10,1991 CLA-2 CO:R:C:G 088613 JGH CATEGORY: CLASSIFICATION TARIFF NO.: 1517.90.2080 Mr. T. Ohashi Fuji Vegetable Oil, Inc. Westchester Financial Center 11 Martine Ave White Plains, N.Y. 10606 RE: Classification of Vegetable Oil Fractions Dear Mr. Ohashi: Your letter of February 11,1991, concerns the tariff classification under the Harmonized Tariff Schedules of the United States ( HTSUS) for vegetable oil fractions. FACTS: You state that four types of vegetable oil fractions will be imported into the United States to be further processed and sent to manufacturers in Canada for use as a cocoa butter substitute in making chocolate confections. The refining process, in general, is said to consist of degumming and neutralization of the particular oil, then fractionalization into the hard part (stearin) and the soft part (olein); next bleaching and deodorization take place; finally, additives such as tocopheral, citric acid, lecithin are added in small amounts. The four products listed are: 1) Palmy, a mixture of Sheanut and Palm oil stearins, produced in Singapore from West African Sheanut oil and Malaysian Palm oil. -2- 2) Palkena, a fully refined palm kernel stearin, from Malaysia. 3) Sheanut stearin, from Japan, is the hard fraction of sheanut oil. 4) Palm oil stearin, a fraction produced in Singapore. ISSUE: Classification of vegetable oil fraction under the HTSUS. LAW AND ANALYSIS: The Explanatory Notes to heading 1504, HTSUS, state that the chapter covers not only vegetable fats or oils and their fractions, but notes that small amounts of additives, such as lecithin, starch, coloring, or vitamins are permitted. HOLDING: 1) Palmy, as a refined mixture of stearins of sheanut and palm oil, is classifiable under the provision for other artificial mixtures of two or more of the products provided for in 1501 to 1515, inclusive, in subheading 1517.90.2080, HTSUS. The rate of duty is 10 percent ad valorem. 2) Palkena, a fully refined palm kernel stearin, which is said to be fractionated in Malaysia, is classifiable under the provision for palm kernel and babassu oil and fractions thereof, whether or not refined, in subheading 1513.29.00, HTSUS. It is free of duty. 3) Sheanut stearin (from Japan) is the hard fraction of sheanut oil. It is classifiable under the provision for other nut oils in subheading 1515.90.20, HTSUS. It is free of duty. -3- 4) Palm oil stearin (from Singapore) is classifiable under the provision for palm oil and its fractions, whether or not refined, in subheading 1511.90.00, HTSUS, and is free of duty. Sincerely, John Durant, Director Commercial Rulings 6cc A.D. Seaport, N.Y. 2cc CIE hurley library/peh 088613