HS Code for Crude oil

Petroleum oils and oils obtained from bituminous minerals in their crude form are classified under HS code 2709.00. This code is part of Chapter 27, which deals with mineral fuels, mineral oils, and products of their distillation. Heading 2709 is unique because it specifically targets the raw, unprocessed liquid hydrocarbons extracted from underground reservoirs. The classification is critical for global energy trade, as it distinguishes between the raw feedstock and the refined products found in heading 2710. To be classified under 2709.00, the oil must not have undergone any refining processes such as distillation, cracking, or reforming. It may, however, have been subjected to basic treatments to facilitate transport or storage, such as the removal of water, basic sediment, or light fractions to stabilize vapor pressure, provided these treatments do not change the fundamental nature of the crude oil. This code also includes condensate, which is a liquid hydrocarbon recovered from natural gas through refrigeration or condensation.

Products Included

• Crude petroleum oil
• Lease condensate
• Crude bituminous mineral oils
• Unrefined shale oil

Common Misclassification

The most frequent misclassification occurs with HS code 2710, which covers refined petroleum oils. If the oil has undergone any distillation process that results in specific fractions like gasoline, diesel, or kerosene, it must be classified under 2710. Another confusion arises with HS code 2711 for petroleum gases. While some light hydrocarbons are present in crude oil, if they are separated and traded as gas, they move to 2711.

FAQ

What is the HS code for crude oil?

The HS code for crude petroleum oils and oils obtained from bituminous minerals is 2709.00.

Does 2709.00 include refined gasoline?

No, refined gasoline and other processed fuels are classified under HS code 2710.