CLA-2 RR:CR:GC 961332 JAS

Mr. David Kirby
Tokyo Electron America, Inc.
2400 Grove Boulevard
Austin, Texas 78741

RE: NY A89407 Modified; Oxidation/Diffusion Furnace, Resistance Heated Furnace; Subheading 8514.30.20, Other Furnaces for Diffusion, Oxidation or Annealing of Semiconductor Wafers; GRI 6

Dear Mr. Kirby:

NY A89407, which the Director, Customs National Commodity Specialist Division, New York, issued to you on November 25, 1996, in part classified a vertical diffusion furnace in subheading 8514.30.20, Harmonized Tariff Schedule of the United States (HTSUS), as other furnaces for diffusion, oxidation or annealing of semiconductor wafers.

Pursuant to section 625(c)(1), Tariff Act of 1930 (19 U.S.C. 1625(c)(1)), as amended by section 623 of Title VI (Customs Modernization) of the North American Free Trade Agreement Implementation Act, Pub. L. 103-182, 107 Stat. 2057, 2186 (1993), notice of the proposed modification of NY A89407 was published on February 25, 1998, in the Customs Bulletin, Volume 32, Number 8.

FACTS:

The merchandise in issue is the Tokyo Electron (TEL) vertical diffusion furnace designed to oxidize/diffuse the surface of silicon semiconductor wafers to prepare them for further processing. It has a working temperature range of between 500 to 1,200 degrees Centigrade. NY A89407 also addressed the classification of the TEL low pressure chemical vapor deposition (LPCVD) system, the TEL Clean Track Mark 7 and Mark 8 coater/developer machines, the TEL etchers and TEL probers. The classification of these machines is not in issue here. - 2 -

The subheading 8514.30.20, HTSUS, classification expressed in NY A89407 with respect to the TEL vertical diffusion furnace was based on insufficient information as to its source of heat. It now appears that this furnace is, in fact, resistance heated, that is, the heating element is a metal resistance wire that is wrapped around the outside of the furnace tube to provide even heat throughout the zone. Alternating current from an element transformer heats the wire. The provisions under consideration are as follows:

8514 Industrial or laboratory electric...furnaces and ovens...; parts thereof:

8514.10 Resistance heated furnaces and ovens:

8514.10.40 For the manufacture of semiconductor devices on semiconductor wafers

8514.10.80 Other 8514.30 Other furnaces and ovens:

8514.30.20 For diffusion, oxidation or annealing of semiconductor wafers

ISSUE:

Whether the TEL vertical diffusion furnace is resistance heated.

LAW AND ANALYSIS: Merchandise is classifiable under the Harmonized Tariff Schedule of the United States (HTSUS) in accordance with the General Rules of Interpretation (GRIs). GRI 1 states in part that for legal purposes, classification shall be determined according to the terms of the headings and any relative section or chapter notes, and provided the headings or notes do not require otherwise, according to GRIs 2 through 6. GRI 6 states in part that the classification of goods in the subheadings of a heading shall be according to the terms of those subheadings and any related subheading notes, and to Rules 1 through 5 applied by appropriate substitution of terms. Only subheadings at the same level are comparable.

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The Harmonized Commodity Description and Coding System Explanatory Notes (ENs) constitute the official interpretation of the Harmonized System. While not legally binding on the contracting parties, and therefore not dispositive, the ENs provide a commentary on the scope of each heading of the Harmonized System and are thus useful in ascertaining the classification of merchandise under the System. Customs believes the ENs should always be consulted. See T.D. 89-80. 54 Fed. Reg. 35127, 35128 (Aug. 23, 1989).

Relevant ENs at p. 1463, state that electric furnaces and ovens of heading 85.14 are of many types used for many purposes. They are described as consisting essentially of a more or less closed space or vessel in which a relatively high temperature is obtained. Among the furnaces and ovens covered by heading 85.14 are (A) Resistance heated furnaces and ovens in which the heat is produced by the passage of a current through heating resistors (Emphasis original). The TEL vertical diffusion furnace meets this description.

For purposes of GRI 6, this furnace will be classified in the subheading of heading 8514 that most narrowly and specifically describes it, that is, the subheading having the requirements that are the more difficult to satisfy. In this case, subheading 8514.10 describes a particular group of furnaces by their singular source of heat but without regard to any specific function they may perform. Subheading 8514.30 on the other hand, describes a residual group of furnaces but not those that are resistance heated. It is apparent that no resistance heated furnaces can be classified in subheading 8514.30 but that furnaces designed to oxidize and/or diffuse silicon wafers can be classified in subheading 8514.10 if they are resistance heated. Therefore, we conclude that subheading 8514.10, HTSUS, is a more specific provision for the instant furnace than is subheading 8514.30, HTSUS.

HOLDING:

Under the authority of GRI 1, made applicable at the subheading level through GRI 6, the TEL vertical diffusion furnace is provided for in heading 8514. It is classifiable in subheadings 8514.10.40 or 8514.10.80, HTSUS, as appropriate.

NY A89407, dated November 25, 1996, is modified with respect to the TEL vertical diffusion furnace. In accordance with 19 U.S.C. 1625(c)(1), this ruling will become effective 60 days after its publication in the Customs Bulletin. Publication of - 4 -

rulings or decisions pursuant to 19 U.S.C. 1625(c)(1) does not constitute a change of practice or position in accordance with section 177.10(c)(1), Customs Regulations (19 CFR 177.10(c)(1)).


Sincerely,

John Durant, Director
Commercial Rulings Division