(Tiểu luận) report subject customs procedure topic determine the hs code for durian export and plastic import

VIETNAM GENERAL CONFEDERATION OF LABOUR
TON DUC THANG UNIVERSITY
------------------o0o----------------

REPORT
SUBJECT: CUSTOMS PROCEDURE
TOPIC: DETERMINE THE HS CODE FOR DURIAN EXPORT
AND PLASTIC IMPORT
Group ID: 2
LECTURER: PhD.TRAN NGUYEN CHAT

Ho Chi Minh City, 25th October 2022.

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GROUP ASSESSMENT

ID Student Name

Student ID

% Contribution

1

Vũ Nguyễn Bảo Trân

720K0622

100%

2

Dương Nguyễn Bích Châu

220K0066

100%

3

Hồ Quang Tú

720K0629

100%

4

Huỳnh Nguyễn Hữu Lộc

720K0465

100%

5

Trần Vũ Thanh Huyền

720I0156

100%

Member
Score

Group Score:

2

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Table of Contents
GROUP ASSESSMENT..............................................................................................2
TABLE OF CONTENTS.............................................................................................3
TABLE OF TABLE......................................................................................................4
TABLE OF FIGURE...................................................................................................5
CONTENT................................................................................................................... 6
INTRODUCTION.......................................................................................................6
CHAPTER 1: BRIEF INTRODUCTION TO THE HARMONIZED SYSTEM....7
1.1.

1.2.
1.3.
1.4.

DEFINITION AND STRUCTURE OF HARMONIZED SYSTEM.................................7
THE SIGNIFICANCE AND OBJECTIVES OF HARMONIZED SYSTEM......................8
A SUMMARY OF THE HS CONVENTION FORMATION PROCESS..........................9
REVIEW THE SIX HS CODE APPLICATIONS RULES:..........................................11

CHAPTER 2: ANALYSIS OF HS CODE DETERMINATION FOR SELECTED
PRODUCTS...............................................................................................................15
2.1. BASIC INFORMATION ON FRESH DURIAN FROM NHP FOODS...........................16
2.1.1. Overview of Durian....................................................................................16
2.1.2. Determination of Fresh Durian’s HS CODE..............................................19
2.2. BASIC INFORMATION OF HDPE F00952.............................................................20
2.2.1. Overview of HDPE F00952 from Saudi Basic Industries Corporation......20
2.3. THE PROCEDURE FOR DETERMINING THE HS CODE...........................................22
CHAPTER 3. FINDINGS.........................................................................................28
3.1. ADVANTAGES.....................................................................................................28
3.2. DIFFICULTIES.....................................................................................................28
3.3. EXPERIENCE GATHERING, RISK AND LESSONS LEARNED....................................29
3.3.1 Experience gathering..................................................................................29
3.3.2 Risks............................................................................................................ 29
3.3.3 Lessons learned...........................................................................................30
CONCLUSION..........................................................................................................31
APPENDIX.................................................................................................................32

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Table of table
Table 1: Fresh durian specification..............................................................................18
Table 2: Information of HDPE F00952........................................................................23
Table 3: Characteristics of plastic................................................................................28

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Table of figure
Figure 1: The figure illustrates commodities in each chapter.....................................................8
Figure 2 Specific order when identifying the HS code.............................................................11
Figure 3: Structure of the HS....................................................................................................12
Figure 4: Ngân Hoà Phát FOODS company logo.....................................................................16
Figure 5: Ngân Hoà Phát FOODS Durian on Alibaba..............................................................17
Figure 6: SABIC logo...............................................................................................................20
Figure 7 Top 100 Listed Companies in 2022 by Forbes Middle East.......................................21
Figure 8: HDPE F00952...........................................................................................................22
Figure 9: Outcomes of our group's search for "polyethylene"..................................................24

Figure 10: Section VII: Plastics and Articles Thereof Rubber and Articles Thereof................25
Figure 11: Chapter 39: Plastics and articles thereof..................................................................25
Figure 12: Sub-chapter I...........................................................................................................26
Figure 13: SubHeading 39.01...................................................................................................27

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CONTENT
INTRODUCTION
In the present trend of economic opening, the process of economic integration
necessarily requires that our country grow and develop in line with the general trend of
the times in order to gain knowledge from the outside. Trade between countries is
constantly developing, in which import-export activities, cooperative trade activities,
external economic expansion and economic cooperation are increasingly important. In
that context, customs authorities are an important force in contributing to the
management of import and export activities, transit and exit of goods across borders.
For the current development of production, business and import-export activities, in
order to ensure consistency in management, classification and code application for
import-export goods under the HS Convention (The International Convention on the
Harmonized Commodity Description and Coding System), the role of the
classification analysis of import-export goods is very important. In addition to
contributing to improving the efficiency of state management of customs and
preventing loss of budget revenue, the determination of HS codes of import-export

goods also plays an important role in reforming administrative procedures in the field
of the customs area, determining the tax code of the product accurately and
conveniently during customs procedures. Because import-export goods are
increasingly diverse and rich, giving accurate results will help create a consensus
between

Customs

Procedures

and

Enterprises,

avoiding

disagreements

in

classification, and applying codes to goods, thereby shortening the time for completing
procedures for import-export activities of enterprises.
Since then, the goal of clarifying the content of using HS codes to classify
goods is regulated in accordance with the provisions of the Goods Classification
System issued by WCO (the World Customs Organization), our team will apply 6
principles to determine the HS code to analyze the HS code of two items, which are
export (sell overseas/abroad) and import (buy from abroad). In terms of exports, our
group chose a kind of fruit that is quite new to Western European tourists, which is

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durian. The imported product is SABIC® HDPE F00952, which has been widely used
in the world for extrusion of blown film ...
With quite limited knowledge, especially the actual assessment experience is
still not profound and complete in analyzing and determining HS codes of products.
Therefore, in the report, errors are not avoided. We would like to ask for your
comments so that our team can improve on the following topics. At last, our team
would like to express our sincere thanks to you.
CHAPTER 1: BRIEF INTRODUCTION TO THE HARMONIZED
SYSTEM
1.1.

Definition and structure of Harmonized System

The number of goods for import and export worldwide is so great that the
World Customs Organization - WCO has created a standardized code for the purpose
of classifying, managing and controlling the number of goods exported and imported
on a global scale. That type of code is called HS Code (Harmonized System Code) this is the type of code that is commonly used during the export of goods and they are
updated every 5 years.
Nowadays, the Harmonized System (HS Code) consists of 8 digits, 10 digits or
even 12 digits. WCO has divided the HS Code structure based on a few basic factors
so that each commodity has its own code such as chapters, headings, sub-headings,
tariff lines, and national tariffs. Our country is using an 8-digit HS Code. Product

classification is significant in calculating customs duties and tariffs, as tariffs and other
exceptions will be based on the specifics of a product, which the HS Code itself will
take care of taking that job.
This system is used by more than 200 countries worldwide to collect
international trade statistics, and most of goods in international trade are classified
according to the HS Code (more than 98%). For a more detailed analysis of HS Code,
they have 21 sections (such as animals, plants, stone products, jewelry, machinery,
electrical equipment...), 97 chapters (2-digit), 1,222 headings (4-digits), 5,387 subheadings (6-digits). The HS Code has a total of 99 chapters, but the first 77 chapters
are intended for future use, and chapters 98-99 are intended for specific uses by

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signatories to the HS Convention. Goods from chapters 1 to 83 are usually classified
according to the material of manufacture, and chapters 84 to 97 are classified
according to the function of that good. HS Code classifies goods from raw materials to
processed products, the first two characters (chapters) are a general description of the
goods, and the next two characters (chapters) are used to classify commodity
categories from simple to complex, followed by sub-headings divided into more
generic groups from the group and the final Tariff line defined by different countries.

Figure 1: The figure illustrates commodities in each chapter

1.2.

The significance and objectives of Harmonized System

HS Code has actively contributed to customs procedures and international
trade. Many stakeholders that join in the process of importing and exporting goods
nationwide will benefit from the declaration and proper use of HS codes for each type
of good.
For the government, the HS Code is a tool whose purpose is to identify the
types of goods imported and exported to collect taxes, the amount of tax that the
Customs authorities must collect for the import-export businesses and the customs
authorities. Other obligations are to contribute to the enforcement of domestic laws
and international treaties, to assist in the analysis of micro and macro strategies and to
negotiate international trade.

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For businesses, the use of the HS Code will ensure that businesses comply with
domestic and international laws, if an enterprise intentionally or unintentionally
misclassifies HS Code, it will be an inevitable delay in the delivery process, and the
goods inspection step will be more difficult, there is a risk of being sanctioned and as a
result, causing an additional cost in the import and export of goods. And vice versa,
when an enterprise declares the correct classification of goods by HS Code, that
business will enjoy many benefits from the Free Trade Area (FTA) in accordance with

regulations.
Analyzing more clearly the role of the HS Code, they help businesses classify
goods for the purpose of determining the appropriate tax rate corresponding to that
type of goods according to the regulations of the state so that businesses will be able to
understand the taxes that they have to pay to avoid the situation that the business has to
pay excess tax and have to go through the tax refund procedures, which will cause loss
of time and effort for the business and related parties. The early preparation of
procedures and identification of the correct classification of goods with HS codes can
help businesses create a good impression and reputation on the Customs authorities,
helping the goods to be cleared faster. Thus, HS is a standard economic language and
code for products that are an essential factor for global trade.
1.3.

A summary of the HS Convention formation process

The Harmonized System is abbreviated as HS Code and later known as the HS
Convention with the official name called "International Convention on Harmonized
Commodity Description and Coding Systems" - is the international code on the
common global language for goods was adopted by the WCO ( World Customs
Organization) in Brussels (Belgium) in 1983 and come into effect on 1 January 1988.

The HS Convention is considered a harmonized system of the product description,
classification and coding. According to research data, this is the result of an
intellectual product that was researched by 60 customs organizations of member
countries and 20 other international organizations for nearly ten years (1976 - 1983).
the task of maintaining, selectively inheriting the results achieved so far and
developing it.

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As one of the global common languages for goods, the HS Convention not only
facilitates international trade negotiations, promotes reforms related to administrative
procedures, accelerates speed of integration with countries around the world, but also
contribute to the fight against smuggling and trade fraud, protect the legitimate
interests of businesses and support the automation and modernization of customs
procedures.
The HS Convention was created with an extremely effective legal mechanism
by creating a coding system that aims to ensure the classification and description of
goods imported and exported on a global scale. The HS Convention consists of a
Preamble, 20 articles and an Appendix. The introduction will tell the reader why HS
Code is supported by the international community. On 20 articles dealing with the
regulations, responsibilities and obligations of Member States, the role of the Council
and the Commission, the Harmonized System, dispute settlement, work and revised
procedures between the Member States. Contracting Party and of the Customs
Cooperation Council. And finally, the Appendix is considered the nomenclature for the
actual classification of goods. Countries that are parties to the HS Convention are
obligated to ensure that their tariffs and statistical lists on imported and exported goods
are correctly declared and in accordance with the Harmonized System.
After the Convention was implemented, they were widely spread with more
than 200 countries and economies, customs and economic associations currently using
and serving as the basis for their national Customs tariffs. In addition to being used as
the basis for the tariff schedule, the HS Convention is also used for many other
purposes such as:

- A basis for rules of origin
- A basis for Customs tariffs
- For transport statistics and tariffs
- For the internal taxes collection
- A theoretical basis for trade negotiations, such as FTAs (Free Trade
Agreements), and Goods Schedules (WTO schedules of concessions).

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- This is also considered one of the core important factors in the management and
control of procedures in the field of Customs processes, including information
technology, compliance, and risk assessment.
- For the monitoring of controlled goods (narcotics, wastes, ozone layer-depleting
substances, endangered species, chemical weapons)
On July 1, 1993, Vietnam joined the HS Convention, but it was not until March
6, 1998, that the President of Vietnam recognized it by Decision No. 49/QD-CTN.
Therefore, the HS Convention officially came into effect in Vietnam on January 1,
2000, and is currently being applied to more than 98% of the total trade in goods in
Vietnam. Amendments, updates and additions to the content of the HS Convention
were made in 1992, 1996, 2002, 2007, 2012, and 2017.
1.4. Review the six HS code applications rules:
The General Interpretative Rules (GIR) will be used to categorize items. It
enables the uniform application of the Harmonized System (HS) nomenclature and

offers a step-by-step basis for the classification of commodities.
GIR needs to be used in a specific order:

Figure 2 Specific order when identifying the HS code

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Structure of the HS:

Figure 3: Structure of the HS

Rule 1: General rule of thumb
The designations of Sections, Chapters, and Sub-Chapters are simply for
reference; they are insufficient to classify items (determining HS codes).
Important classifying factors include:
- 2.1 Each group's specific content
- 2.2 Section and Chapter Notes (Explanations)
In the event that item 2 above cannot be used to categorize, the following rules
shall be followed in the order listed. Chapter 39, for example, is titled "Plastic and
Objects of Plastic." On the other hand, Chapter 95—rather than Chapter 39—deals
with plastic children's toys.
Rule 2: In the same group, unfinished goods and compounds
a) If a product possesses the same fundamental characteristics as a finished or

dead item, it will come under the same category when it is classed under that heading.
The same classification applies to things that have the essential quality of the good in
their finished or finished condition, or in their finished or finished shape (or to be

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classified as finished or finished goods in accordance with the provisions of this
Article). This rule must be observed, but not put together or taken apart.
For example, a bicycle that is unfinished without a saddle and pedals is
nonetheless considered to be a bicycle (87.12). For instance, the excavator's parts are
disassembled to facilitate shipment, and each piece is given an HS number based on
the vehicle.
The HS Convention was created as the most effective legal mechanism to
guarantee a standardized system of good description and coding, becoming a global
commodities classification system. Additionally, this convention fosters favourable
conditions for international trade discussions, helps to modernize the administrative
processes used by Customs, hastens regional and global integration, and deters
smuggling. Additionally, trade fraud safeguards company interests while also assisting
in the modernization and automation of customs procedures.
b) If a substance or material is classified under one category, a compound or
mixture of that substance or material with other substances or materials is also
categorized under that heading. Products made entirely of one material or substance
must be classified with that material or substance or as a component of it. The

classification of objects made of two or more materials or substances is governed by
Rule 3.
For example, two products, Product 1 (06.07) and Product 2 are included in
Mixture A. (06.07). The HS Code for Mixture A will be used with the heading 06.07.
Rule 3: At first look, goods can be classified into a variety of categories.
Due to rule 2(b) or for any other reason, when objects can initially be divided
into two or more headings, the categorization shall be as follows:
a) When categorizing objects, groupings with more detailed descriptions will be
given preference over those with more general ones. When two or more heads, each
referring to a portion of the material or substance contained in a good, are considered
to characterize the goods equally, even if one of the headings is a combination or

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compound, or only a portion of the good in the case of a good inset put up for retail
sale.
b) If not categorized under Rule 3(a), mixed goods made up of various materials
or goods composed of various components, as well as goods packaged in sets for retail
sale, are classified in accordance with the substance or component that bestows their
basic character.
c) In the event that the items cannot be categorized in accordance with rules
3(a) or 3(b) above, they must be categorized in the final heading in numerical order
among the equivalent headings being taken into account.

Rule 4: The most similar goods
Commodities that cannot be classed using the aforementioned guidelines are
listed under the topic that corresponds to the category of goods that they are the most
related to.
Rule 5: Packaging and containers
The commodities listed below are covered by the provisions below.
a) Cases manufactured specifically for storing objects or sets, such as those
made for storing cameras, camcorders, musical instruments, pistols, sketching tools,
jewels, and similar items. These items are bundled with a few durable goods that go
with the items when they are sold and can be utilized for extended periods of time.
However, this idea does not hold true for packaging that is vastly superior to the goods
it holds.
b) In addition to ruling 5(a), if the packaging is of a type that is typically used
for the good, the packaging in which the good is included is also classified with the
good. However, this strategy does not apply to packages that are obviously made to be
reused.
Rule 6: Explain how to properly classify and compare

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For the purpose of legality, items must be classified into a heading's
subheadings in accordance with the text of each subheading, any applicable
subheading comments, and the aforementioned regulations with any necessary

modifications, as long as only subheadings of the same level can be compared. This
rule states that, unless the subheading specifies otherwise, the pertinent section and
chapter notes also apply.
For instance, 1 brick is equivalent to 1 tile, and 2 tiles are equivalent to 2 tiles.
(In the tariff's description of products, the dash is a bullet point "-" before the item
name.). Apply rules 01 and 06, then rules 2, 3, 4, or 5 when looking up an HS code, as
appropriate.
CHAPTER 2: ANALYSIS OF HS CODE DETERMINATION FOR
SELECTED PRODUCTS
After choosing Durian and Polymers of ethylene (in primary form) from the
selected list for our report, all the team members had one day to search for information
about 2 kinds of products. Here are our results:
There are three methods for looking up and identifying HS codes:
Method 1: Search for this link: This is the
General Department of Vietnam Customs website, and we use it for reference
purposes. We also search for statistics on importing and exporting products on this
website.
Method 2: Using this website: . We can use this
website for searching HS codes, however, most information requires a fee. It is
expensive and we are worried about making mistakes because of a lack of knowledge
of this website.
Method 3: We use this website Import and Export Tariff Schedule of Vietnam
in 2022 to serve our complete analytical method because of its convenience and
information.
The content and specific implementation, as well as the outputs, occurred as
follows, including the general and special processes below, based on the rules given in
class (which were rewritten in section 1.4).

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2.1. Basic information on Fresh Durian from NHP FOODS
2.1.1. Overview of Durian
Durian originally comes from Southeast Asia, also referred to as the King of
Fruit in some regions is a well-known and well-liked native fruit. It is regarded as
being incredibly delicious and has a distinguished odour. The fruit can grow up to 1
foot (30 cm) long and 6 inches (15 cm) wide. A typical durian fruit has about 2 cups
(486 grams) of edible pulp. It has a hard external husk, covered with spines and
contains several compartments, each filled with a cream-coloured pulp in which are
embedded with chestnut-sized seeds.
Durian is a climacteric fruit with a brief shelf life at room temperature because
of the quick post-harvest alterations it experiences. These adjustments are necessary
for a high-quality product for consumption. Although the fruit is typically eaten fresh,
it can also be processed into other goods. Due to the success of novel ways to consume
fruit, both fresh and processed durian have recently grown in popularity in the local
and international markets. Additionally, a sizable amount of unusable husk residue has
generated biomass, which can be turned into a variety of inventive products.
2.1.1.1. Overview of NHP FOODS
2.1.1.1.1. About NHP FOODS:
NHP Foods is a part of Ngan Hoa Phat Trading Service Co., Ltd. It’s a wholesale company

Figure 4: Ngân Hoà Phát FOODS company logo

that mainly provides products including fresh, frozen and dried fruits from Vietnam since

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2017. Their strength is all about their supply chain optimization from various factory and
local agent, which allow them to offer their customer special demand, price and standards.
NHP FOODS are an innovative local company that purchases fruit from farmers for
distribution to nearby shops and markets. After two years, they began selling our goods
internationally. At first, they marketed regional goods like passion fruit, sweet potatoes,
avocados, and bananas. They are currently adding the national specialties of mango and
dragon fruit to our range of products. They are aware that delivering high-quality products is
crucial to keeping clients happy. Because of this, they focus on ensuring that the best quality
is chosen for export and work closely with farmers to guarantee that the greatest agricultural
farming methods are used.

2.1.1.1.2. About NHP FOODS product (mainly in 3 types):
- Fresh fruits (direct from the farm)
- Frozen fruits (95% fresh by using IQF technology)
- Dried fruits (soft dried, heat dried, dry dried)
2.1.1.2. Specification of Fresh Durian
Needless to say, durian from NHP FOODS is 100% original from Vietnam with a
careful selection like durian ripe well, intact, still stalked, not deformed, not rotten,
fermented, musty, and pests to be qualified for export.

Figure 5: Ngân Hoà Phát FOODS Durian on Alibaba

Fresh durian specification:

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Item

Value

Style

Fresh

Type

Durian

Product Type

Tropical & Sub-Tropical Fruit

Size (cm)

15~17cm

Certification

Global GAP

Grade

Export

Weight (kg)

3

Place of Origin

Vietnam, Dak Lak

Brand Name

NHP FOODS

Model Number

No

Cultivation Type

Organic

Taste

Delicious Sweet

Color

Yellow Natural

Quality

100% Natural

Feature

Nasty Taste

Fresh Durian Fruits

Eat Fresh Durian

Shelf Life

14-15 days after loading

Packing

10 Kg/ Carton

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Origin

Vietnam

Durian Type

Luxury Durian

Product Name

Vietnam Fresh durian

Grade

Export

Table 1: Fresh durian specification

2.1.2. Determination of Fresh Durian’s HS CODE
Based on what we learnt from the 6 HS code assignment rules here is the way to
determine fresh durian HS code
Step 1: First we need to find which section fresh durian belongs in
according to Rule 1.

Rule 1: The titles of Sections, Chapters and sub-Chapters are provided for ease
of reference only; for legal purposes, classification shall be determined according to
the terms of the headings and any relative Section or Chapter Notes and, provided such
headings or Notes do not otherwise require, according to the following provisions.
=> Because fresh durian belongs to the fruit and vegetable category, we
know it is in section II.
Step 2: Still applying rule 1, now we need to find the heading (first 4 digits)
and subheadings (full 6 digits) for fresh durian in Section II.
There is only chapter 8 which contain fruit related product => the first 2 digits
are “08”
In chapter 8 there is a subheading called “Other fruit, fresh “and in the
subheading, we can see durians in there => the rest of the digits are “106000 “
Conclusion the HS code for fresh durian is “08106000”
This is chapter 8 main content: Edible fruit and nuts, peel of citrus fruit or
melons
Notes:
1. This Chapter excludes inedible nuts and fruits.
2. Cold fruits and nuts should be classed under the same categories as fresh fruits and
nuts.

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3. This Chapter's dried fruit or dry nuts may be partly rehydrated or handled for the

following purposes:
For improved preservation or stability (for example, by moderate heat treatment,
sulphuring, or the addition of sorbic acid or potassium sorbate),
To improve or preserve their look (for example, by adding vegetable oil or modest
amounts of glucose syrup), as long as the dried fruit or dry nuts keep their character.
2.2. Basic information of HDPE F00952
2.2.1. Overview of HDPE F00952 from Saudi Basic Industries Corporation
2.2.1.1. Overview of Saudi Basic Industries Corporation
Saudi Basic Industries Corporation, also known as ‫( سسسسابك‬SABIC), is a
production company of chemicals. In addition to industrial polymers, it is engaged in
chemicals, petrochemicals, metals, and fertilizers. It is one of the largest publicly
traded companies in the Middle East, just behind Saudi Aramco, according to its
Forbes Middle East listing (2022).

Figure 6: SABIC logo

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Figure 7 Top 100 Listed Companies in 2022 by Forbes Middle East

2.2.1.2. History
By royal decree, in 1976, SABIC was established to transform oil waste into
usable chemicals, polymers, and fertilizers. Ghazi Abdul Rahman Al Gosaibi, the

minister of industry and electricity, served as the company's first chairman, and Abdul
Aziz Bin Abdullah Al Zamil was its first CEO.
With the arrival of SABIC, the sleepy fishing communities of Jubail on the
Persian Gulf and Yanbu (Red Sea) were transformed into thriving, contemporary
industrial metropolises. Production peaked in 1985 at 6.5 million tones, then increased
significantly over the next five years to 13 million tones, 42 million tones, and
ultimately over 60 million tones by 2012. SABIC has 60 production and compounding
sites spread across more than 40 countries and has more than 40,000 employees
around the world.

2.2.1.3. Production
- In the markets for key products including polyethylene, methanol, ethylene
glycol, engineered plastics, ethylene, and MTBE, SABIC is a market leader.
- The majority of the overall production of SABIC is accounted for by its largest
strategic business segment, petrochemicals.

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- One of the largest fully integrated steel companies in the world is the Saudi Iron
and Steel Company (Hadeed), which is situated in Al-Jubail.
- The fertilizers made by SABIC Agri-Nutrients Company range from general to
highly specialized.
- With its distinctive chemistry and capacity for developing new formulations and

applications, Specialties adds value for customers.

2.2.1.4. Overview of HDPE F00952 (high density polyethylene)
SABIC® HDPE F00952 resin is a high-density polyethylene, high molecular
weight which has an extensive molecular weight distribution. SABIC® HDPE F00952
is well suited for producing slender films with exceptional strength and rigidity thanks
to a unique assemblage of easy extrusion, high melt strength, and superior physical
qualities. The product's design, molecular architecture, and density enable this
combination. The material contains antioxidants.

Figure 8: HDPE F00952

2.3. The procedure for determining the HS code
The procedure of determine the HS Code of HDPE F00952
My group determined that the first of the six HS code assignment rules is the
most appropriate one for HDPE F00952 given these features. To determine and draw
conclusions regarding its HS code, the following procedures were explicitly carried
out:
Step 1: Type "polyethylene" into the search box on the Caselaw website and
Vietnam's Import and Export Tariff Schedule for 2022.
Because we don’t know the HS code of polyethylene, so we decide to make
notes of some of its specific descriptive data in order to determine the matching HS

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code. We utilized the term "polyethylene" in this part to find out where the product is
in the tariff. We also searched the same term in to have more
sources. Besides, my team went to the main page of SABIC to have more specific
information about the product, which is shown below:
- Product’s Name: HDPE F00952
- Product Type: Commercial Product
- Brand: SABIC
- Original: Saudi Arab
Typical information.
Properties
Polymer properties
Melt flow rate (MFR)
At 190oC and 2.16 kg
At 190oC and 2.16 kg
Density
Density
Formulation
Anti oxidant
Film properties
Dart Impact F50
Tear strength MD Elmendorf
Tear strength TD Elmendorf
Tensile test film
Yield stress TD
Yield stress MD
Stress at break TD
Stress at break MD
Vicat softening temperature

Revision 20051216
Test methods

Units SI

Value

g/10 min
g/10 min
kg/m3

0.05
8.5
952

g/cm3

0.952

Mg/kg

+

SABIC method

G
G
G

180
12
60

ASTM D 1709
ASTM D 1922
ASTM D 1922

ISO 1133
ISO 1183

ASTM D 882
40
33
64
66
125

MPa
MPa
MPa
MPa
o
C

ASTM D 1525

Table 2: Information of HDPE F00952

These are the search results on the website of CaseLaw. The outcomes of our

group's search for "polyethylene" are listed below.

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Figure 9: Outcomes of our group's search for "polyethylene"

The result shows us many chapters that have related to “polyethylene”.
However, we cannot establish the HS code of the product. After learning some basic
information, my group moves on to the essential second stage, which involves using
the six learned guidelines to get its HS code.
Step 2: Look for the HS code for the product “HDPE F00952”
Rule 1 - Chapter notes and identifiers:
My group determined the part and chapter of the selected product in this initial
rule using the import and export tariff for 2022. Based on the specification of HDPE
F00952, this product is a high-density, high-molecular-weight polyethylene, which
was produced from the monomer ethylene (H₂ C=CH₂ ). This process is called addition
polymerization. And we found that the product of addition polymerization is a
polymer. Polyethylene is a thermoplastic resin that is used widely in the world, so we
can conclude that SABIC® HDPE F00952 is a kind of plastic, so we can reduce the
searching time by concentrating on Section VII, Chapter 39. Therefore, this is some
information about Section VII, chapter 39 we have searched in the tariff:
- Section VII: Plastics and Articles Thereof Rubber and Articles Thereof.

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Chap
Figure 10: Section VII: Plastics and Articles Thereof Rubber and Articles Thereof

ter 39: Plastics and articles thereof.
- The first note in chapter 39 mentions how materials of heading 39.01 to 39.14
are able to be capable at the moment of polymerisation or at some subsequent stage, of
being formed under external influence. And because SABIC® HDPE F00952 is
produced by addition polymerization through heat and suitable pressure, SABIC®

HDPE F00952’s HS Code is located from heading 39.01 to heading 39.14.
Figure 11: Chapter 39: Plastics and articles thereof

- Note 3 of chapter 39 says that Headings 39.01 to 39.11 only apply to materials
produced by chemical synthesis and fall into the following categories:
(a) Liquid synthetic polyolefins containing less than 60% by volume that distils
at 300°C after conversion to 1,013 millibars using a reduced-pressure distillation
method (headings 39.01 and 39.02);
(b) Non-highly polymerised coumarone-indene resins (heading 39.11);
(c) Other synthetic polymers containing at least 5 monomer units on average;
For example: synthetic polymer (H₂C=CH ₂) n with n>=5
(d) Silicones belong to 39.10;

(e) Resols (heading 39.09) and other prepolymers.
- SABIC® HDPE F00952 is described as a high-density and high-molecularweight polyethylene, and Polyethylene is a synthetic polymer, meaning that we can
apply headings 39.01 to 39.11 for this product.

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