CLA-2 CO:R:C:M 089170 KCC
District Director
U.S. Customs Service
Patrick V. McNamara Building
477 Michigan Avenue
Detroit, Michigan 48266
RE: Protest No. 3801-91-100657; ND-YAG Laser RSY 500 P;
8515.80.00; laser for welding machine; Note 1(m) to Section
XVI; EN 90.13; functional unit; Note 4 to Section XVI; Note
3 to Chapter 90; parts for laser welding and cutting
machines; Note 2 to Chapter 90; Note 1(e) to Chapter 90
Dear Sir:
This is in response to the Application for Further Review of
Protest No. 3801-91-100657, dated March 7, 1991, which pertains
to the tariff classification of lasers and various laser parts
under the Harmonized Tariff Schedule of the United States
(HTSUS). Additional submissions dated August 9, September 12,
1991, February 11, 1992, and October 13, 1992, as well as
information gathered at meetings on November 20, 1991 and
September 29, 1992, were examined in rendering this decision.
FACTS:
The articles under consideration are the ND-YAG Laser RSY
500 P for a welding machine ("laser") and various parts of lasers
used in welding and cutting machines. Upon importation, the
entry for the laser was liquidated under subheading 9013.20.00,
HTSUS, which provides for "Liquid crystal devices not
constituting articles provided for more specifically in other
headings; lasers, other than laser diodes; other optical
appliances and instruments, not specified or included elsewhere
in this chapter; parts and accessories thereof...Lasers, other
than laser diodes." The parts were classified throughout the
HTSUS depending on the description of the part.
The protestant, Rofin-Sinar, Inc., contends that the laser
is properly classified under subheading 8515.80.00, HTSUS, which
provides for "Electric (including electrically heated gas), laser
or other light or photon beam, ultrasonic, electron beam,
magnetic pulse or plasma arc soldering, brazing or welding
machines and apparatus, whether or not capable of cutting;
electric machines and apparatus for hot spraying of metals or
sintered metal carbides; parts thereof...Other machines and
apparatus." Furthermore, the protestant contends that parts of
laser welding machines are properly classified under subheading
8515.90.20, HTSUS, which provides for "...Parts...Of welding
machines and apparatus", and that parts of laser cutting machines
are properly classified under subheading 8466.93.70, HTSUS, which
provides for "Parts and accessories suitable for use solely or
principally with the machines of headings 8456 to 8465, including
work or tool holders, self-opening dieheads, dividing heads and
other special attachments for machine tools; tool holders for any
type of tool for working in the hand...Other...For machines of
heading 8456 to 8461...Other...Other...."
The ND-YAG Laser RSY 500 P is designed as a laser beam for a
welding machine for use in a broad range of industrial settings
requiring precision laser beam welding of metals which are
characterized by a high reflection coefficient, high thermal
conductivity and thermal sensitivity. The laser consists of the
laser head, power supply, microprocessor control console, and an
interface.
The microprocessor control console receives command signals
from the user's workstation. Based on the commands received, the
microprocessor control console shapes the temporal intensity of
the laser's pulse and stores pulse parameters such as height,
shape, frequency, length, energy, average poser, as well as those
parameters which regulate the laser's internal temperature and
safety functions. Additionally, the microprocessor control
console will store up to 100 pre-programmed pulse conditions
involving all of the pulse parameters for multiple application.
In performing this function the microprocessor control
console interfaces with the user's workstation to control the
feeding and positioning of the device, as well as the automatic
observing and checking of the welding operation to allow for
programmed adjustments of the positioning of the workpiece and
termination of the welding process. In other words, the
interface connects the laser and microprocessor control console
to the user's customized parts handling device or workstation.
ISSUE:
Is the ND-YAG Laser RSY 500 P properly classified under
subheading 8515.80.00, HTSUS, as a laser welding machine and
apparatus, or under subheading 9013.20.00, HTSUS, as a laser?
What is the proper classification of various parts for
lasers under the HTSUS?
LAW AND ANALYSIS:
The classification of merchandise under the HTSUS is
governed by the General Rules of Interpretation (GRI's). GRI 1,
HTSUS, 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...."
I. Classification of ND-YAG Laser 500 P
The competing headings for the laser are heading 8515 and
9013, HTSUS.
Heading 8515, HTSUS, is within Section XVI, HTSUS, making
the Section XVI, HTSUS, notes applicable to the classification of
the laser. Note 1(m) to Section XVI, HTSUS, states that this
section does not cover "[a]rticles of chapter 90...." Therefore,
classification under heading 8515, HTSUS, is precluded if the
laser beam is considered an article of Chapter 90, HTSUS.
Explanatory Note (EN) 90.13 of the Harmonized Commodity
Description and Coding System (HCDCS) states that heading 9013,
HTSUS, includes lasers and states that:
In addition to the lasing medium, the energy source
(pumping system) and the resonant optical cavity (reflector
system), i.e., the basic elements combined in the laser head
(possibly with Fabry-Perot interferometers, interference
filters and spectroscopes), lasers generally also
incorporate certain auxiliary components (e.g., a power
supply unit, a cooling system, a control unit and, in the
case of the gas laser, a gas supply system or, in the case
of liquid lasers, a tank, fitted with a pump for the dye
solutions). Some of these auxiliary components may be
contained in the same housing as the laser head (compact
laser) or may take the form of separate units, connected to
the laser head by cables, etc. (laser system). In the
latter case the units are classified in this heading
provided they are presented together.
Lasers are classified in this heading not only if they are
intended to be incorporated in machines or appliances but
also if they can be used independently, as compact lasers or
laser systems, for various purposes such as research,
teaching or laboratory examinations.
However, the heading excludes lasers which have been
adapted to perform quite specific functions by adding
ancillary equipment consisting of special devices (e.g.,
work-tables, work-holders, means of feeding and positioning
workpieces, means of observing and checking the progress of
the operation, etc.) and which, therefore, are identifiable
as working machines, medical apparatus, control apparatus,
measuring apparatus, etc....
Examples include:
(i) Machine-tools for working any materials by removal of
material by laser (e.g., metal, glass, ceramics or
plastics) (heading 84.56).
(ii) Laser soldering, brazing or welding machines and
apparatus, whether or not capable of cutting (heading
85.15).
HCDCS, p. 1479. The Explanatory Notes, although not dispositive,
are looked to for guidance in interpreting the HTSUS. 54 Fed.
Reg. 35127, 35128 (Aug. 24, 1989).
According to EN 90.13, lasers classifiable in heading 9013,
HTSUS, may contain auxiliary components such as a power supply
unit, a cooling system, and a control unit. However, lasers
which have been adapted to perform quite specific functions by
the addition of ancillary equipment such as work-tables or
workstations and are, therefore, identifiable as working
machines, are not properly classified as lasers in heading 9013,
HTSUS.
In this case, the issue to be decided is whether the
microprocessor control console and interface are considered
acceptable auxiliary components or are considered ancillary
equipment which would exclude the laser from classification in
heading 9013, HTSUS. The protestant contends that the laser is
excluded from heading 9013, HTSUS, because it contains critical
ancillary equipment, the microprocessor control console and
interface. The protestant claims these components give the laser
the means of feeding and positioning workpieces, as well as the
means of observing and checking the progress of the welding
operation. The protestant states that the microprocessor control
console and interface, like the laser and power supply, are
necessary and critical components which contribute to the
intended function of laser welding.
The micro processor control console receives command signals
from the user's workstation. Based on the commands received, the
microprocessor control console shapes the temporal intensity of
the laser's pulse and stores pulse parameters. The interface
acts as a connection between the microprocessor control console
and the user's workstation. All of these components, the micro
processor control console, interface and user's workstation,
operate together to control the feeding and positioning and the
observing and checking of the welding operation.
We are of the opinion that the microprocessor control
console is a piece of auxiliary equipment listed in EN 90.13 as
"a control unit." However, the interface is not specifically
mentioned in EN 90.13 as a piece of auxiliary or ancillary
equipment. Nevertheless, we find that the interface is a piece
of auxiliary equipment, as it is a part of the microprocessor
control unit. The microprocessor control console shapes the
temporal intensity of the laser's pulse and stores the pulse's
parameters. The pulses are then transmitted to the user's
workstation through the interface. The interface is the medium
through which the laser and microprocessor control console exert
their generated energy. The interface provides the connection
between the microprocessor control console and workstation and
is, therefore, a necessary part of the microprocessor. As the
microprocessor control console and interface are considered
auxiliary equipment of the laser described in EN 90.13, the laser
is not excluded from classification under subheading 9013.20.00,
HTSUS.
Classification of the laser under subheading 9013.20.00,
HTSUS, makes the Chapter 90, HTSUS, notes applicable to this
classification. Note 3, Chapter 90, HTSUS, states that "[t]he
provisions of note 4 to section XVI apply also to this chapter."
Note 4 to Section XVI, HTSUS, states:
Where a machine (including a combination of machines)
consists of individual components (whether separate or
interconnected by piping, by transmission devices, by
electric cables or by other devices) intended to contribute
together to a clearly defined function covered by one of the
headings in chapter 84 or chapter 85, then the whole falls
to be classified in the heading appropriate to that
function.
In this case, the note for functional units is applicable to
the classification of the laser. Clearly, this laser is a
functional unit. It is a machine that consists of individual
components interconnected through electric cables intended to
contribute to the clearly defined function of generating a laser
beam. Therefore, the laser, microprocessor control console and
interface are classified as a functional unit under subheading
9013.20.00, HTSUS.
II. Classification of Parts
The protestant contends that the parts of laser welding and
cutting machines are classified pursuant to Note 2 to Section
XVI, HTSUS, under subheading 8515.90.20, HTSUS, as parts of
welding machines, and under subheading 8466.93.70, HTSUS, as
parts of cutting machines.
However, we have determined that the above described laser
is properly classified under subheading 9013.20.00, HTSUS.
Therefore, to determine the classification of parts in Chapter
90, HTSUS, an examination of the relevant chapter notes must take
place. For the classification of parts, Note 2 to Chapter 90,
HTSUS, states:
Subject to note 1 above, parts and accessories for machines,
apparatus, instruments or articles of this chapter are to
be classified according to the following rules:
(a) Parts and accessories which are goods included in any
of the headings of this chapter or chapters 84, 85 or
91 (other than heading 8485 and 8548 or 9033) are in
all cases to be classified in their respective
headings;
(b) Other parts and accessories, if suitable for use solely
or principally with a particular kind of machine,
instrument or apparatus, or with a number of machines,
instruments or apparatus of the same heading (including
a machine, instrument or apparatus of heading 9010,
9013 or 9031) are to be classified with the machines,
instruments or apparatus of that kind;
(c) All other parts and accessories are to be classified in
heading 9033.
There is no question as to the classification of the first
category of parts pursuant to Note 2(a), Chapter 90, HTSUS.
Articles which are specifically provided for by name in the
headings in chapters 84, 85, 90 and 91, HTSUS, are to be
classified therein. The second category of parts, covered by
Note 2(b), Chapter 90, HTSUS, have a general use with various
machines but can be recognized as being parts of a particular
machine by virtue of being designed or engineered for a
particular machine. This category of article is different from
the third category of parts, covered by Note 2(c), Chapter 90,
HTSUS, which have general use in machines but can be used
interchangeably in a variety of machines.
Additionally, Note 1(e) to Chapter 90, HTSUS, excludes
"[p]arts of general use, as defined in note 2 to section XV, of
base metal (section XV) or similar goods of plastics (chapter
39)...." Note 2 to Section XV, HTSUS, states:
Throughout the tariff schedule, the expression "parts of
general use" means:
(a) Articles of heading 7307, 7312, 7315, 7317 or 7318 and
similar articles of other base metal;
(b) Springs and leaves for springs, of base metal, other
than clock or watch springs (heading 9114); and
(c) Articles of heading 8301, 8302, 8308 or 8310 and frames
and mirrors, of base metal, of heading 8306.
Therefore, the parts in this protest which meet the definition of
"parts of general use" are excluded from classification under
Chapter 84, 85 and 90, HTSUS. For example, such parts included
but are not limited to tube and pipe fittings, wire, chain,
nails, tacks, screws and bolts, springs, clasps, etc. These
articles should be classified in their respective eo nomine
headings.
The protestant states that there are non-dedicated parts
which should be classified eo nomine in accordance with Note 2(a)
to Section XVI, HTSUS. There appears to be no dispute in regards
to the non-dedicated parts. However, these non-dedicated parts
should be classified pursuant to Note 2(a), Chapter 90, HTSUS.
Therefore, the parts in this protest which are goods included in
any of the headings in Chapters 84, 85 and 90, HTSUS, should be
classified within their respective headings in those Chapters.
The remainder of the parts are to be classified pursuant to
Note 2(b), Chapter 90, HTSUS, under subheading 9013.90.40, HTSUS,
which provides for "...Parts and accessories...Other." The
protestant has submitted evidence that these parts are solely or
principally used with its lasers. This evidence is in the form
of an affidavit by the International Technical Coordinator for
the protestant. The affiant states that these parts were
designed and manufactured by the protestant or manufactured
externally to the protestant's specifications and are used
exclusively as parts of the protestant's laser. The affiant
continues that the parts have no other commercial utility other
than their use with the laser.
HOLDING:
The ND-YAG Laser RSY 500 P is properly classified under
subheading 9013.20.00, HTSUS, which provides for "Liquid crystal
devices not constituting articles provided for more specifically
in other headings; lasers, other than laser diodes; other optical
appliances and instruments, not specified or included elsewhere
in this chapter; parts and accessories thereof...Lasers, other
than laser diodes." This part of the protest is denied.
The parts of the laser are to be classified in accordance
with the Note 1(m) and Note 2 to Chapter 90, HTSUS, as set forth
in the above analysis. This part of the protest is denied in
part and granted in part.
A copy of this decision should be attached to the Customs
Form 19 and provided to the protestant as part of the notice of
action on the protest.
Sincerely,
John Durant, Director