Is 1001 Nights hentai?
No
Rated R+ (Mild Nudity) on MyAnimeList and not tagged as Hentai.

Movie · 1999 · 1 episodes · R+ - Mild Nudity
Avant Garde, Fantasy, Mythology, Romance
Presented in the form of a feverish love dream, 1001 Nights (based on Amano`s book of artwork) is the first performance of the groundbreaking "Filmharmonic" series, which presents new orchestral works by film composers in tandem with short films made by A-list directors. Nights is the series's only animated work, and plans originally called for the film to be completely computer animated. (Source: AniDB)
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