On June 2, 2010, the CIT issued its decision in BP Products North America Inc. v. United States, a dispute over the classification of 93 octane conventional gasoline. CBP claimed that it properly classified the subject merchandise as “preparations” under HTSUS subheading 2710.11.15, dutiable at a rate of 52.5 cents per barrel. BP Products North America, Inc. (BP) disagreed, arguing that the merchandise should have been classified under HTSUS subheading 2707.50.00 at a free rate of duty.
The CIT ultimately granted summary judgment in favor of the US Government. It concluded that the 93-octane conventional gasoline was “a preparation, rather than a petroleum oil...because the liquid has been specially prepared for a specific use.” The CIT further noted that “[i]f Congress intended heading 2707 to be a catch-all for any predominantly aromatic substance produced by the distillation and blending of any organic hydrocarbon source, the limiting adjective ‘similar’ would not be present.”