CBP Receives Domestic Party 19 USC 1516 Petition to Reclassify Certain Sugar Beet Thick Juice
U.S. Customs and Border Protection (CBP) has issued a notice announcing that it has received a petition submitted under 19 USC 1516 on behalf of the U.S. Beet Sugar Anticircumvention Coalition (USBSAC) requesting the reclassification under the Harmonized Tariff Schedule (HTS) of certain sugar beet thick juice.
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CBP states that before making a determination on this matter, it is inviting written comments on the petition by interested parties on or before November 13, 2006.
According to the notice, CBP has classified sugar beet thick juice under HTS 1702.90.4000 (0.35 cents per liter, not subject to tariff rate quota (TRQ)) pursuant to NY J84482, while the petitioner claims that the sugar beet thick juice competes directly with sugar, and given the history of tariff engineering with sugar products, should be classified under various subheadings of HTS 1701 covering raw sugar (subject to TRQ) or, in the alternative, under HTS 1702.90.5800 covering blended syrups (subject to TRQ).
Classification of Sugar Beet Thick Juice is Essentially Based on its Composition
CBP states that the classification of sugar beet thick juice is based on the composition (including the chemical composition) of the product in its imported condition.
Petitioner Claims Sugar Beet Thick Juice Should Be Classified as Raw Sugar, Subject to TRQ
According to the notice, the petitioner put forth a number of arguments in favor of CBP classifying sugar beet thick juice as raw sugar under HTS subheading 1701.12.1000 or 1701.12.5000, which provides for, among other things, raw beet sugar, in solid form, not containing added flavoring or coloring matter. CBP notes that these subheadings are subject to a TRQ.
CBP states that it has previously considered sugar beet thick juice to be precluded from classification in HTS heading 1701 because it is an aqueous solution and not in solid form.
Petitioner States if Sugar Beet Thick Juice is Not Classified as Raw Sugar, it Should be Classified as Blended Syrup, Subject to TRQ
According to the notice, in the alternative, the petitioner submits that CBP should classify sugar beet thick juice as blended syrup under HTS subheading 1702.90.5800 which provides for, among other things, other sugars; sugar syrups not containing added flavoring or coloring matter: other: other. This tariff number is also subject to a TRQ.
CBP states that it has been its view that the "blended syrups" of HTS 1702.90.5800 do not include sugar beet thick juice that is formed through the blending of different sugar beet juices with various concentrations of sugar and viscosities (carbonation juice, thin juice, thick juice), as described by the petitioner.
CBP further notes that HTS subheading 1702.90.5800, provides for sugar syrups other than those derived from sugar cane or sugar beets.
When this subheading is analyzed in the context of Additional U.S. Note 4 to Chapter 17, HTS, CBP's view has been that the blended syrups of HTS 1702.90.5800 must partly consist of sugar syrups not derived from sugar cane or sugar beets.
Because the entire imported sugar beet juice covered in NY J84482 is derived from sugar beets, CBP states that it has considered it to be precluded from classification in HTS subheading 1702.90.5800.
- written comments must be received on or before November 13, 2006
CBP Contact - Heather Pinnock (202) 572-8828
CBP Final Rule (D/N USCBP-2006-0087, FR Pub 09/11/06) available at http://a257.g.akamaitech.net/7/257/2422/01jan20061800/edocket.access.gpo.gov/2006/pdf/E6-14924.pdf