Superfund Tax on Chemical Substances; Request To Modify List of Taxable Substances; Notice of Filing for Methylene Diphenyl Diisocyanate; n=2.0-3.0

Issuing agencies

Abstract

This notice of filing announces that a petition has been filed requesting that methylene diphenyl diisocyanate ((C<INF>8</INF>H<INF>6</INF>NO)(C<INF>8</INF>H<INF>5</INF>NO)<INF>n-2</INF> (C<INF>7</INF>H<INF>4</INF>NO); n=2.0-3.0), also known as "MDI," be added to the list of taxable substances. This notice of filing also requests comments on the petition. This notice of filing is not a determination that the list of taxable substances is modified.

Full Text

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<title>Federal Register, Volume 91 Issue 164 (Wednesday, August 26, 2026)</title>
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[Federal Register Volume 91, Number 164 (Wednesday, August 26, 2026)]
[Notices]
[Pages 55166-55167]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-17432]


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DEPARTMENT OF THE TREASURY

Internal Revenue Service


Superfund Tax on Chemical Substances; Request To Modify List of 
Taxable Substances; Notice of Filing for Methylene Diphenyl 
Diisocyanate; n=2.0-3.0

AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Notice of filing and request for comments.

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[[Page 55167]]

SUMMARY: This notice of filing announces that a petition has been filed 
requesting that methylene diphenyl diisocyanate 
((C<INF>8</INF>H<INF>6</INF>NO)(C<INF>8</INF>H<INF>5</INF>NO)<INF>n-2</INF>
(C<INF>7</INF>H<INF>4</INF>NO); n=2.0-3.0), also known as ``MDI,'' be 
added to the list of taxable substances. This notice of filing also 
requests comments on the petition. This notice of filing is not a 
determination that the list of taxable substances is modified.

DATES: Written comments and requests for a public hearing must be 
received on or before October 26, 2026.

ADDRESSES: Commenters are encouraged to submit public comments or 
requests for a public hearing relating to this petition electronically 
via the Federal eRulemaking Portal at <a href="https://www.regulations.gov">https://www.regulations.gov</a> 
(indicate public docket number IRS-2026-1028 or Methylene Diphenyl 
Diisocyanate; n=2.0-3.0) by following the online instructions for 
submitting comments. Comments cannot be edited or withdrawn once 
submitted to the Federal eRulemaking Portal. Alternatively, comments 
and requests for a public hearing may bemailed to: Internal Revenue 
Service, Attn: CC:PA:01:PR (Notice of Filing for Methylene Diphenyl 
Diisocyanate; n=2.0-3.0), Room 5203, P.O. Box 7604, Ben Franklin 
Station, Washington, DC 20044. All comments received are part of the 
public record and subject to public disclosure. All comments received 
will be posted without change to <a href="https://www.regulations.gov">https://www.regulations.gov</a>, including 
any personal information provided. You should submit only information 
that you wish to make publicly available. If a public hearing is 
scheduled, notice of the time and place for the hearing will be 
published in the Federal Register.

FOR FURTHER INFORMATION CONTACT: Jacob W. Peeples at (202) 317-6855 
(not a toll-free number).

SUPPLEMENTARY INFORMATION: Request to Add Substance to the List:
    (a) Overview. A petition was filed pursuant to Rev. Proc. 2022-26 
(2022-29 I.R.B. 90), as modified by Rev. Proc. 2023-20 (2023-15 I.R.B. 
636), requesting that MDI be added to the list of taxable substances 
under section 4672(a) of the Internal Revenue Code (List). The petition 
requesting the addition of MDI to the List is based on weight and 
contains the information detailed in paragraph (b) of this document. 
The information is provided for public notice and comment pursuant to 
section 9 of Rev. Proc. 2022-26. The publication of petition 
information in this notice of filing is not a determination and does 
not constitute Treasury Department or IRS confirmation of the accuracy 
of the information published.
    (b) Petition Content.
    (1) Substance name: Methylene diphenyl diisocyanate 
((C<INF>8</INF>H<INF>6</INF>NO)(C<INF>8</INF>H<INF>5</INF>NO)<INF>n-2</INF>
(C<INF>7</INF>H<INF>4</INF>NO); n=2.0-3.0).
    The substance is also known as MDI.
    (2) Petitioner: Huntsman International LLC is an exporter and 
importer of MDI.
    (3) Proposed classification numbers:
    (i) HTSUS number: 2929.10.8010.
    (ii) Schedule B number: 2929.10.8010.
    (iii) CAS number: 101-68-8, 9016-87-9.
    (4) Petition filing dates:
    (i) Petition filing date for purposes of making a determination: 
November 21, 2025.
    (ii) Petition filing date for purposes of section 11.02 of Rev. 
Proc. 2022-26, as modified by section 3 of Rev. Proc. 2023-20: July 1, 
2024.
    (5) Description from petition: MDI is a homologous series of 
aromatic diisocyanates, which enter the market in several forms from 
pure (or monomeric) MDI through to polymeric MDI. MDI is used in the 
production of a variety of polyurethane products including coatings, 
adhesives, sealants, rigid, flexible, semi-rigid, and polyisocyanurate 
foams.
    On average, MDI's degree of functionality (n) varies from n = 2.0 
for pure (or monomeric) MDI to n = 2.1 to 3.0 for polymeric MDI. This 
petition uses the lowest degree of functionality for MDI (i.e., n = 
2.0) to demonstrate that more than 20% of the substance is made from 
taxable chemicals, and the midpoint degree of functionality for MDI 
(i.e., n = 2.5) to calculate the tax rate for the entire range.
    (6) Process identified in petition as predominant method of 
production of substance: The predominant method of producing MDI is via 
the reaction of aniline and formaldehyde to produce methylenedianiline 
(``MDA''), which is treated with phosgene with evolution of 
hydrochloric acid followed by fractionated distillation or distillation 
followed by crystallization. Aniline is made from mononitrobenzene and 
hydrogen. Mononitrobenzene is made from benzene and nitric acid. 
Hydrogen is made from steam-methane reforming. Formaldehyde is made 
from the oxidation of methanol. Methanol is made from the oxidation of 
methane. Phosgene is made from chlorine and carbon monoxide.
    (7) Stoichiometric material consumption equation, based on process 
identified as predominant method of production: n 
C<INF>6</INF>H<INF>6</INF> (benzene) + n HNO<INF>3</INF> (nitric acid) 
+ [3/4n+1/2(n-1)] CH<INF>4</INF> (methane) + n Cl<INF>2</INF> 
(chlorine) + [n+(n-1)] CO (carbon monoxide) + 1/2(n-1) O<INF>2</INF> 
(oxygen) [rarr] 
(C<INF>8</INF>H<INF>6</INF>NO)(C<INF>8</INF>H<INF>5</INF>NO)<INF>n-2</INF>
(C<INF>7</INF>H<INF>4</INF>NO) (MDI)+ [3/2n +(n-1)] H<INF>2</INF>O 
(water) + [3/4n+1/2(n-1)] CO<INF>2</INF> (carbon dioxide) + 2n HCl 
(hydrochloric acid)
    (8) Tax rate calculated by Petitioner, based on Petitioner's 
conversion factors for taxable chemicals used in production of 
substance:
    (i) Tax rate: $10.20 per ton
    (ii) Conversion factors: 0.62 for benzene, 0.50 for nitric acid, 
0.13 for methane and 0.56 for chlorine.
    (9) Public docket number: IRS-2026-1028.

Michael H. Beker,
Senior Counsel (Energy, Credits, and Excise Tax), IRS Office of Chief 
Counsel.
[FR Doc. 2026-17432 Filed 8-25-26; 8:45 am]
BILLING CODE 4831-GV-P


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