CLA-2-85:S:N:N1:109 843415

Ms Joan M. McLeod
Northern Telecom Inc.
77 Oriskany Drive
Tonawanda, New York 14150

RE: The tariff classification of a digital packet network (DPN) from Canada.

Dear Ms. McLeod:

In your letter dated July 13, 1989, you requested a tariff classification ruling. The submitted literature describes the digital packet network (DPN) as equipment which enables the user to send data between multiple points, usually host computers or terminals. Typical user applications are electric funds transfer, electronic mail, file transfers between computers, etc. The merchandise appears to be dedicated to the transmission between two points of electrical impulses representing text and/or images and other data using a line connection connecting the transmitting station to the receiving station. The equipment does not apperar dedicated to the transmission of speech or other sounds.

The applicable subheading for the digital packet network will be 8517.30.5000, Harmonized Tariff Schedule of the United States (HTS), which provides for "[t]elegraph switching apparatus." The rate of duty will be 4.7 percent ad valorem.

Goods classifiable under subheading 8517.30.5000, HTS, which have originated in the territory of Canada, will be entitled to a 3.7 percent ad valorem rate of duty under the United States - Canada Free Trade Agreement (FTA) upon compliance with all applicable regulations.

This ruling is being issued under the provisions of Section 177 of the Customs Regulations (19 C.F.R. 177).

A copy of this ruling letter should be attached to the entry documents filed at the time this merchandise is imported. If the documents have been filed without a copy, this ruling should be brought to the attention of the Customs officer handling the transaction.

Sincerely,

Jean F. Maguire
Area Director
New York Seaport