CLA-2:CO:R:C:G 083928 JAS
Steven G. Santoro
Metz Metallurgical Corporation
3900 South Clinton Ave.
South Plainfield, New Jersey 07080
RE: Gold-Tin Alloy Powder
Dear Mr. Santoro:
In your letter to the Area Director of Customs, New York
Seaport, dated February 17, 1989, you request reconsideration
of a ruling issued to you by that office concerning the
classification of a powder from West Germany produced from an
alloy of gold and tin. Our ruling follows.
FACTS:
By letter ruling dated January 9, 1989 (836186),
merchandise described as gold-tin solder powder was held to be
classifiable under the provision for other articles of gold,
in subheading 7115.90.1000, Harmonized Tariff Schedule of the
United States Annotated (HTSUSA). The rate of duty under this
provision is 7.8 percent ad valorem.
You state that the merchandise is a powder for tariff
purposes, and is properly classifiable under the duty-free
provision for nonmonetary gold powder, in subheading
7108.11.0000, HTSUSA.
The merchandise is variously described as a gold-tin
solder powder, gold-tin alloy powder, gold alloy, and gold-tin
alloy. This may have resulted in some initial confusion over
its condition as imported. In fact, the merchandise at issue
is an alloy, consisting of 80 percent gold and 20 percent tin.
After the gold and tin are melted together the product is
reduced to powder form, after which it is cleaned, dried and
screened. After importation, the gold-tin alloy powder will
be combined with other ingredients to form a solder paste.
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ISSUE:
Is the merchandise in question a powder for tariff
purposes? Is it classifiable as nonmonetary gold powder in
Heading 7108, or as tin powders and flakes in Heading 8005?
LAW AND ANALYSIS:
In accordance with General Rule of Interpretation 2(b),
HTSUSA, the classification of goods consisting of more than
one material or substance shall be according to the principles
of Rule 3. Rule 3(a) states, in part, that two or more
headings each referring to part only of the materials or
substances contained in mixed or composite goods are to be
regarded as equally specific in relation to those goods, even
if one of them gives a more complete or precise description of
the goods. Rule 3(b) states, in part, that mixtures and
composite goods consisting of different materials or made up
of different components are to be classified as if they
consisted of the material or component which gives them their
essential character.
The factor or factors which determine essential character
will differ with the goods. Often, however, the nature of a
material, its weight or value, and its role in relation to the
use of the goods will be considered. Solder made from powders
of this type are used in the telecommunications and
electronics industries in making contact relays. While tin
provides the bonding ingredient and lowers the cost of the
solder, the gold provides low resistance and better
conductivity necessary in sensitive equipment common to those
industries. It is our opinion, therefore, that the gold
imparts the essential character to the instant merchandise.
Consequently, the merchandise is classifiable in Heading 7108.
In accordance with Chapter 71, Subheading Note 1, HTSUSA,
for the purposes of subheading 7108.11, "powder" means
products of which 90 percent or more by weight passes through
a sieve having a mesh aperture of 0.05 mm. A data sheet
submitted with your original ruling request describes a gold-
tin solder powder 100 percent of the particles being less than
42.21 microns, 84 percent being less than 30.23 microns, 50
percent being less than 19.54 microns, and 16 percent being
less that 10.69 microns. You state the powder will pass
through a 0.04 mm. (325 U.S. Standard Mesh) aperture. The
instant merchandise is therefore a powder for purposes of
subheading 7108.11.
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HOLDING:
The gold-tin alloy in powder form is classifiable under
the provision for nonmonetary gold powder, in subheading
7108.11.0000, HTSUSA, subject to entry free of duty.
EFFECT ON OTHER RULINGS:
The ruling to you dated January 9, 1989 (835186), is
hereby revoked under the authority of section 177.9(d),
Customs Regulations.
Sincerely,
John Durant, Director
Commercial Rulings Division