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Newly Released CBP HQ Rulings for Feb. 1

The Customs Rulings Online Search System (CROSS) was updated Feb. 1 with the following headquarters rulings (ruling revocations and modifications will be detailed elsewhere in a separate article as they are announced in the Customs Bulletin):

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Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

H308063: Application of Further Review of Protest Numbers 5203-2019-100095; Concerning Hydrofluorocarbon Blends from the People’s Republic of China under Antidumping Order A-570-028

Ruling: CBP improperly assessed ADD on RLX’s entries of HFC Blends under the ADD order.
Issue: whether CBP properly assessed liquidated RLX’s entries of HFC Blends
Items: Hydrofluorocarbon Blends. R-410A, exported from Brazil by RLX Industrial Importadora, LTDA. The HFC blends were made using Chinese origin components, R-125 and R32, which were blended in Brazil to make the imported R-410A. On the entry documents, RLX listed the country of origin as Brazil and made an “01” consumption entry without the payment of ADD cash deposits. The commercial documents list RLX as both the supplier and consignee. Lastly, RLX provided a Brazilian Certificate of Origin, in Portuguese, with all three entries. In communications with the Pharmaceuticals, Health, and Chemicals Center (“the Center”), RLX provided further information regarding the mixing ratio of the R-32 and R-125, and the country of origin of the R-410A.
Reason: In July 2016, Commerce explained “this investigation includes any Chinese HFC components ... that are blended in a third country to produce a subject HFC blend before being imported into the United States." Once the final scope ruling applicable to RLX’s Dec. 7, 2017, and May 1, 2018, entries was issued, the third country language was noticeably missing. Commerce contemplated the inclusion or exclusion of third country blended Chinese origin R-32 and R-125 components and did not expressly include that in its scope ruling. CBP, in its ministerial capacity, cannot ignore the omission.
Ruling Date: Nov. 30, 2021