HQ 084615

August 31,1989

CLA-2 CO:R:C:G 084615 AJS

TARIFF NO: 9017.20.80; 8471.92.90.

Mr. Edward Cardinali
Precision Source Inc.
P.O. Box 6307
E. Rochester, N.H. 03867

RE: Digitizer (Podscat PT3030) from Taiwan

Dear Mr. Cardinali:

Your letter of April 28, 1989, requesting a tariff classification of the Podscat PT3030 digitizer was referred to this office for reply.

FACTS:

Certain computer peripheral input devices are known as digitizers and/or mice. Mice are more specifically a type of digitizer.

Essentially, digitizers are hand-held computer peripheral devices used to move the cursor (the flashing position indicator) on a computer screen and/or select menu items. They may be used (1) to trace, draw or create graphic illustrations on the computer screen to be viewed on the screen, manipulated on the screen and/or subsequently plotted on paper, (2) to select menu items displayed on the computer screen or on a tablet (menu items are simply words or symbols which indicate computer operations that are performed once selected), or (3) to direct the computer (in a manner other than by selection of menu items) to perform certain operations, such as moving text or graphics. This latter operation can be accomplished by pointing to the text or graphic to be moved, "grabbing" it by depressing a button on the digitizer, moving it by moving the digitizer, and releasing it by releasing the button.

The Podscat PT3030 is an input device used with small personal computers and is similar in function to a mouse or

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scanner. The unit has a built in single chip computer which can emulate other well known digitizers (i.e. Summa, GTCO, Hitachi etc.). The digitizer has a surface area of 12 inches by 12 inches and possesses a cursor with a crosshair sight. The manufacturer's literature also shows that the digitizer contains an emulation mode and configuration menu which allows tablet top selections, plus a built in eeprom which allows custom configuration to be stored.

The article in question also possess a replaceable template that contains a menu which would allow the user to run AUTO CADD, a popular type of computer assisted design and drafting program. The template may be removed and replaced by other menus or the unit may be operated as a drawing board without a template. The article will be shipped with a tablet, cursor, cable, power adapter, user's manual and a template.

The user's reference manual states that the tablet uses electro-magnetic proximity sensing technology. This technology uses an electromagnetic field which allows for a higher degree of accuracy than that used on other digitizers (i.e. mechanical and mechanical/optical digitizers). It works by the use of a microprocessor in the tablet that senses the cursor's location as it is moved over the surface of the tablet. The microprocessor then calculates the x and y coordinates of the cursor and sends them, as well as the status of the buttons, to the communications port in the output format determined by the tablets current emulation mode. This enables the digitizer to transmit absolute position, which allows for greater precision because it enables the user to position the cursor in an exact location on the screen before beginning to draw. Lastly, the tablet is also able to detect the cursor's movement up to 1/2 inch above the surface of the active area.

ISSUE:

Whether the digitizer is properly classifiable within subheading 9017.20.80 of the Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for other drawing, marking-out or mathematical calculating instruments; or are these articles classifiable within subheading 8471.92.90, HTSUSA, which provides for other input units, whether or not entered with the rest of a system and whether or not containing storage units in the same housing.

LAW AND ANALYSIS:

Classification of products under the HTSUSA is governed by the General Rules of Interpretation (GRI's). GRI 1 provides that

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classification is determined first in accordance with the terms of the headings of the tariff and any relative section or chapter notes.

Heading 9017, HTSUSA, provides for drawing, marking-out or mathematical calculating instruments. Classification of certain digitizers as drawing instruments within 9017 has been anticipated as evidenced by the inclusion of the statistical suffix 9017.20.8040 which provides for "[h]and operated input devices which transmit position data to computer processors or displays (digitizers)." Thus, since digitizers designed for drawing, drafting and other graphics applications are specifically mentioned under subheading 9017.20.80, they appear to be within the terms of that provision.

However, only digitizers embodying technology that provides at least a certain degree of accuracy can be considered designed for use as drawing instruments. But not all digitizers that possess this degree of accuracy should be considered drawing instruments. Digitizers using only imprecise technology function as pointers for menu selection and the movement of existing text or graphics and are not designed for use as drawing instruments.

Mechanical mice, mechanical/optical mice and other low resolution digitizers are designed for use as input devices principally with desk-top publishing, word processing programs, accounting spread sheet programs, music programs and game programs, none of which utilize the mouse as a drawing instrument, and should not be classified under 9017.

To determine which digitizers are designed for drawing and which are designed as general input devices, Customs conducted extensive inquiries with various producers. We have determined that while the inability of the mechanical, optical, and mechanical/optical mice to create precise drawings indicates that they are not drafting or drawing instruments, the ability to produce precise coordinate data does not necessarily make a digitizer a drafting or drawing instrument. Recent developments in software applications require precision in non-drawing applications as well as graphics applications. To determine the appropriate classification it is necessary to examine each digitizer carefully to determine the use for which it was designed. Once it is determined that a digitizer utilizes one of the technologies necessary to create accurate drawings (electromagnetic induction, electrostatic technology, or similar technologies), it must be determined that this precision is not intended to be utilized for non-drawing purposes. Such an indication can be presumed when the digitizer utilizes a crosshair sight or a large tablet, as is the case here.

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The PT3030 is a drawing and drafting instrument because it possesses the required technology and precision to enable the user to create accurate drawings. This conclusion is supported by a wide variety of information. The tablet has an active surface area of 12 inches by 12 inches, which by itself does not indicate design for drawing but is one indicator of drawing capability. The digitizer also utilizes electro-magnetic induction which can be used for detailed drawing. It possess a cursor with a crosshair sight which provides for accuracy in tracing of 1/100th of an inch. Lastly, it is equipped with a template that contains a menu for a design and drafting program. Therefore, these digitizers clearly possess the type of technology required for them to be classifiable as drawing instruments.

Subheading 8471.92.90, HTSUSA, provides for other input units. Explanatory Note (I)(A) of heading 84.71, describes an input unit as a device which receives input data and converts it into signals which can be processed. The digitizer at issue is described by the importer as an input device and meets the description of one in the Explanatory Notes. Those digitizers and mice not designed for use as drawing instruments, and not classified elsewhere by virtue or their function or otherwise, are input devices under this subheading. However, those digitizers used as drafting and drawing machines like the PT3030, are excluded from heading 8471 by Chapter Note 5. This note excludes from heading 8471, machines working in conjunction with an automatic data processing machine and performing a specific function. These machines, the PT3030 in this case, are classified in the headings appropriate to their respective function. The PT3030 is a input machine working with an automatic data processing machine that performs the function of a drawing and drafting machine. Therefore, it is classifiable in the heading appropriate to its function, which in this case is that of drawing and drafting machines.

HOLDING:

The PT3030 is properly classifiable in subheading 9017.20.8040, HTSUSA, which provides for other drawing, marking- out or mathematical calculating instruments, hand operated input devices which transmit position data to computer processors or displays (digitizers), dutiable at the rate of 5.8 percent ad valorem.

Sincerely,


John Durant, Director
Commercial Rulings Division