There's a lot of controversy about this. Different countries have different standards about what can be and cannot be said regarding medical claims. No US pine tar maker can legally say the same things about its pine tar that the Swedish Auson company is saying about its kiln burn pine tar. Most especially, no US company would dare claim their pine tar is safe for human use, since that would make the pine tar a drug subject to FDA rules and regulations. This would be true even if the pine tar products from Sweden and from the US came out of the exact same barrel. So I take all these clams (or lack thereof) with a huge grain of salt. I happen to like the Auson kiln burn tar, but I have used pine tar sold by US companies with good results too.
While this probably is very true. For me I would rather use a Swedish "medical grade" pine tar than a construction or even horse US grade pine tar. Even if they are the same thing. If I were asked "what pine tar do you use?" I would not feel comfortable showing them a construction product or something for horse hooves. I'm still digging though. I really hope to find a US company that claims cosmetic grade with their pine tar.
For personal use there are many pine tar's I would be comfortable using.
Wiki: "Pine tar has also been used for treating skin conditions, often as soap, though this use as a drug was banned by the FDA along with many other ingredients, due to a lack of proof of effectiveness."
This should not apply to "cosmetic grade", but I cant find details on this yet. It could be that if a company claims "cosmetic" for pine tar that the FDA assumes they must be inferring medical use.
* more details:
I can't find the full text of the bill. But the way it was written could very well include cosmetic grade. This is from P90-52 (page-2) back in 1990.
"Once the ban takes effect in six months, manufacturers wishing to
include any of these ingredients in nonprescription products will have to
provide FDA evidence that the ingredient is safe and effective for its
intended use and obtain the agency's approval."
http://pinch.com/skin/docs/fda/FDA-OTC-ingredients-ban
I cannot find "pine tar" on any FDA cosmetic prohibited ingredient lists though. So use in soap/cosmetics seems fine, but maybe pine tar companies cannot list it as safe for human use? Anyone know the legalities of this all, I'm done looking for now.