Classification of lubricants according to the Combined Nomenclature P.Brunerie

13/06/2013

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Legislation, information and notices

• • Commission Implementing Regulation (EU) N° 927/2012 of 9/10/2012 amending Annex I to Council Regulation (EEC) N° 2658/87 on the tariff and statistical nomenclature and on the Common Customs Tariff (OJ EU L304 of 21/10/2012); Explanatory notes to the Combined Nomenclature (C.N.) of the European Union (OJ EU C137 of 6/05/2011) 2

CHAPTER 34 OF THE C.N.

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CHAPTER 34

SOAP, ORGANIC SURFACE-ACTIVE AGENTS, WASHING PREPARATIONS, LUBRICATING PREPARATIONS, ARTIFICIAL WAXES, PREPARED WAXES, POLISHING OR SCOURING PREPARATIONS, CANDLES AND SIMILAR ARTICLES, MODELLING PASTES, ‘DENTAL WAXES’ AND DENTAL PREPARATIONS WITH A BASIS OF PLASTER

• Lubricating preparations are classified in heading 3403 • Note 4 to Chapter 34: in heading 3403, the expression ‘petroleum oils and oils obtained from bituminous minerals’ applies to the products defined in note 2 to Chapter 27.

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CHAPTER 34 OF THE C.N.

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3403 Lubricating preparations (including cutting-oil preparations, bolt or nut release preparations, anti rust or anti-corrosion preparations and mould-release preparations, based on lubricants) and preparations of a kind used for the oil or grease treatment of textile materials, leather, furskins or other materials,

but excluding preparations containing, as basic

constituents, 70 % or more by weight of petroleum oils or of oils obtained from bituminous minerals:

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CHAPTER 34 OF THE C.N., heading 3403

– Containing petroleum oils or oils obtained from bituminous minerals: – – 3403 11 00 Preparations for the treatment of textile

materials, leather, furskins or other materials

– – 3403 19 Other: – – – 3403 19 10 Containing 70 % or more by weight of petroleum oils or of oils obtained from bituminous minerals but not as the basic constituent – – – 3403 19 90 Other – Other: – – 3403 91 00 Preparations for the treatment of textile materials,

leather, furskins or other materials

– – 3403 99 00 Other 5

Example of product Containing 70 % or more by weight of petroleum oils or of oils obtained from bituminous minerals but not as the basic constituent (3403 19 10 ) • Stabilised suspensions of molybdenum disulphide in mineral oil, containing by weight 70 % or more of mineral oil, for adding, in small quantities, solely by reason of their special lubricating properties, to lubricating oils for engines, etc., the molybdenum disulphide being the basic constituent 6

Explanatory notes to the C.N. for 3403 19 90 • • • This subheading includes preparations for lubricating machines, appliances and vehicles. This subheading covers the preparations referred to in the HS Explanatory Note to heading 3403, first paragraph, (A), which contain by weight less than 70 % petroleum oils or oils obtained from bituminous materials. This subheading does not include such preparations containing by weight 70 % or more of petroleum oils or of oils obtained from bituminous minerals.

When such oils are the basic constituent of the preparation, they fall in subheadings 2710 11 11 to 2710 19 99 and in other cases in subheading 3403 19 10. 7

Explanatory notes to the C.N for 3403 91 00 and 3403 99 00 • • • • • • These subheadings cover preparations of the type referred to in heading 3403 which do not contain petroleum oils or oils obtained from bituminous materials. The expression ‘petroleum oils or oils obtained from bituminous materials’ means the products defined in note 2 to Chapter 27. These subheadings include: 1. lubricating preparations consisting of molybdenum disulphide and polypropylene glycol and other lubricating preparations with a basis of molybdenum disulphide, whether concentrated or in the form of pencils, rods, small plates, sheets and the like; 2. mould-release preparations consisting of an aqueous dispersion of polyethylene wax and aminoalcohol soap; 3. lubricating preparations with a basis of sodium soap or calcium soap and borax, intended to protect and lubricate steel wires during wire-drawing operations. 4. preparations for lubricating machines, appliances and vehicles.

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Link between lubricants of Chapter 34 and Chapter 27 (note 2 to Chapter 27)

in heading 3403, the expression ‘petroleum oils and oils obtained from bituminous minerals’ applies to the products defined in note 2 to Chapter 27: " References in heading 2710 to ‘petroleum oils and oils obtained from bituminous minerals’ include not only petroleum oils and oils obtained from bituminous minerals but also similar oils, as well as those consisting mainly of mixed unsaturated hydrocarbons, obtained by any process, provided that the weight of the non aromatic constituents exceeds that of the aromatic constituents.

However, the references do not include liquid synthetic polyolefins of which less than 60 % by volume distils at 300 °C, after conversion to 1 013 mbar when a reduced-pressure distillation method is used (Chapter 39)." 9

CHAPTER 27 OF THE C.N.

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2710 Petroleum oils and oils obtained from bituminous minerals, other than crude; preparations not elsewhere specified or included, containing by weight 70 % or more of petroleum oils or of oils obtained from bituminous minerals, these oils being the basic constituents of the preparations; waste oils:

• – Petroleum oils and oils obtained from bituminous

minerals (other than crude) and preparations not elsewhere specified or included, containing by weight 70 % or more of petroleum oils or of oils obtained from bituminous minerals, these oils being the basic constituents of the preparations, other than those containing biodiesel and other than waste oils:

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CHAPTER 27 OF THE C.N., heading 2710

• • – – 2710 12 Light oils and preparations:

(no lubricants)

• – – 2710 19 Other: – – – Heavy oils: – – – – Lubricating oils; other oils: 11

CHAPTER 27 OF THE C.N., heading 2710, subheading 2710 19

• – – – – Lubricating oils; other oils: • • • – – – – – 2710 19 71 For undergoing a specific process – – – – – 2710 19 75 For undergoing chemical transformation by a process other than those specified in respect of subheading 2710 19 71 – – – – – For other purposes: 12

2710 19 71 (Lubricating oils; other oils) for undergoing a specific process • • Entry under this subheading is subject to the conditions laid down in Articles 291 to 300 of Commission Regulation (EEC) No 2454/93 laying down provisions for the implementation of Council Regulation (EEC) N° 2454/92 establishing the Community Customs Code(OJ L 253, 11.10.1993, p. 1)) Articles 291 to 300 are related to the admission of goods with favourable tariff treatment by reason of their end-use 13

2710 19 75 (Lubricating oils; other oils) for undergoing chemical transformation by a process other than those specified in respect of subheading 2710 19 71 • • Entry under this subheading is subject to the conditions laid down in Articles 291 to 300 of Commission Regulation (EEC) No 2454/93 laying down provisions for the implementation of Council Regulation (EEC) N° 2454/92 establishing the Community Customs Code(OJ L 253, 11.10.1993, p. 1)) Articles 291 to 300 are related to the admission of goods with favourable tariff treatment by reason of their end-use 14

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Specific processes specified in respect of subheading 2710 19 71

(a) vacuum distillation; (b) redistillation by a very thorough fractionation process; (c) cracking; (d) reforming; (e) extraction by means of selective solvents; (f) the process comprising all the following operations: processing with concentrated sulphuric acid, oleum or sulphuric anhydride; neutralisation with alkaline agents; decolorisation and purification with naturally active earth, activated earth, activated charcoal or bauxite; (g) polymerisation; (h) alkylation; (ij) isomerisation;

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Specific processes specified in respect of subheading 2710 19 71

(k) (in respect of products of subheadings 2710 19 31 to 2710 19 99 only) desulphurisation with hydrogen resulting in a reduction of at least 85 % of the sulphur content of the products processed (EN ISO 20846, EN ISO 20884 or EN ISO 14596 or EN ISO 24260, EN ISO 20847 and EN ISO 8754 methods); (l) (in respect of products of heading 2710 only) deparaffining by a process other than filtering; (m) (in respect of products of subheadings 2710 19 31 to 2710 19 99 only) treatment with hydrogen at a pressure of more than 20 bar and a temperature of more than 250 °C with the use of a catalyst, other than to effect desulphurisation, when the hydrogen constitutes an active element in a chemical reaction. The further treatment with hydrogen of lubricating oils of subheadings 2710 19 71 to 2710 19 99 (for example, hydrofinishing or decolorisation) in order, more especially, to improve colour or stability shall not, however, be deemed to be a specific process; (o) (in respect of products of subheadings 2710 19 71 to 2710 19 99 only) treatment by means of a high-frequency electrical brush-discharge;

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– – – – – (Lubricating oils; other oils) for other purposes • • • • • • • – – – – – – 2710 19 81 Motor oils, compressor lube oils, turbine lube oils – – – – – – 2710 19 83 Liquids for hydraulic purposes – – – – – – 2710 19 85 White oils, liquid paraffin – – – – – – 2710 19 87 Gear oils and reductor oils – – – – – – 2710 19 91 Metal-working compounds, mould-release oils, anti-corrosion oils – – – – – – 2710 19 93 Electrical insulating oils – – – – – – 2710 19 99 Other lubricating oils and other oils 17

Explanatory notes to the C.N for 2710 19 71 to 2710 19 99 (lubricating oils)

• • These subheadings cover heavy oils as defined in additional note (CN) 2(d) to this chapter providing these oils do not fulfil the conditions set out in additional note (CN) 2(e) (gas oils) or 2(f) (fuel oils) to this chapter. These subheadings cover heavy oils of which less than 85 % by volume, including losses, distils at 350 °C by the ASTM D 86-67 method (reapproved 1972): • • • • 1. which, for a corresponding diluted colour C, have a viscosity V: (a) not exceeding that shown in line I of the concordance table set out in additional note 2(f) to this chapter, when the sulphated ash content is 1 % or more, or when the saponification index is 4 or more; or (b) exceeding that shown in line II of that concordance table when the pour point is lower than 10 °C; or (c) exceeding that shown in line I but not exceeding that shown in line II when less than 25 % distils at 300 °C, when the pour point is not higher than minus 10 °C. These provisions apply only to oils having a diluted colour C of less than 2; 18

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Explanatory notes to the C.N for 2710 19 71 to 2710 19 99 (lubricating oils)

2. for which the following cannot be determined: (a) the distillation percentage at 250 °C by the ASTM D 86-67 method (reapproved 1972) (zero being deemed to be a percentage); or (b) the kinematic viscosity at 50 °C by the ASTM D 445 74 method; or (c) the diluted colour C by the ASTM D 1500 method; 3. which are artificially coloured. The analytical methods to be used for the purposes of item 1 above are those specified for fuel oils (see additional note (CN) 2(f) to this chapter). 19

To resume:

• • Chapter 34: if the preparation contains, as basic constituents less than70 % by weight of

petroleum oils or of oils obtained from bituminous minerals (EXCEPTION FOR 3403 19

10 which can contain 70 % or more of petroleum

oils not considered as basic constituents );

Chapter 27: if the preparation containing, as

basic constituents , 70 % or more by weight of

petroleum oils or of oils obtained from bituminous minerals.

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Who is responsible for classification in the C.N. ?

• • • Customs authorities of MEMBER STATES On a case by cas basis depending in particular on the precise chemical composition of the product The classification is mentioned on binding tariff information (BTIs) delivered by the customs authorities of Member States 21

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THANK YOU FOR YOUR ATTENTION

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