CLA-2 CO:R:C:M 955381 LTO
Mr. Tim Ackerman
Quartex Inc.
1012 Host Drive
Lake Geneva, Wisconsin 53147
RE: Printed circuit board assembly; HQ 953381 revoked; EN 91.14; Chapter 91, note 1(g), 4; heading 8503
Dear Mr. Ackerman:
This is in reference to HQ 953381, issued to you on July 16,
1993, concerning the classification of a printed circuit board
assembly under the Harmonized Tariff Schedule of the United
States (HTSUS). Pursuant to section 625, Tariff Act of 1930 (19
U.S.C. 1625), as amended by section 623 of Title VI (Customs
Modernization) of the North American Free Trade Agreement
Implementation Act, Pub. L. No. 103-182, 107 Stat. 2057, 2186
(1993) (hereinafter "section 625"), notice of the proposed
revocation of HQ 953381 was published March 9, 1994, in the
Customs Bulletin, Volume 28, Number 10.
FACTS:
The article in question is a printed circuit board assembly
(PCB), which will be assembled into a chart drive recorder. It
is made of paper phenolic with copper paths and nickel/gold
plated pads. Attached to the PCB is a wire bonded integrated
circuit covered by epoxy and a 32.768 Kilohertz quartz crystal.
The PCB is the timing mechanism for a chart drive recorder.
The integrated circuit allows for the regulation of the time
interval between pulses. This action causes the shaft and magnet
to rotate 180 degrees every second, which, in turn, rotates the
gears in the chart drive recorder.
In HQ 953381, the PCB was classified as a part of a motor of
under 18.65 Watts (W) under subheading 8503.00.40 (now, - 2 -
subheading 8503.00.75), HTSUS. It has been suggested that the
PCB is classifiable as an assembly for a clock movement under
subheading 9114.90.30, HTSUS.
ISSUE:
Whether the PCB is classifiable as an assembly for a clock
movement under subheading 9114.90.30, HTSUS.
LAW AND ANALYSIS:
The General Rules of Interpretation (GRI's) to the HTSUS
govern the classification of goods in the tariff schedule. GRI 1
states in pertinent part that "for legal purposes, classification
shall be determined according to the terms of the headings and
any relative section or chapter notes . . . ."
The headings at issue are as follows:
8503 Parts suitable for use solely or principally
with the machines of heading 8501 or 8502
* * * * * * * * * * * * *
9114 Other clock or watch parts
Note 1(g) to chapter 91, HTSUS, states that this chapter
does not cover "[a]rticles of chapter 85, not yet assembled
together or with other components into watch or clock movements
or into articles suitable for use solely or principally as parts
of such movements (chapter 85)." Because the PCB in question has
been assembled into an article that is suitable for use solely or
principally as a part of a clock movement, this exclusion is
inapplicable.
Note 4 to chapter 91 states that "movements and other parts
suitable for use both in clocks or watches and in other articles
(for example, precision instruments) are to be classified in this
chapter." Further, the Harmonized Commodity Description and
Coding System Explanatory Notes (EN) to heading 9114, HTSUS, pg.
1552, states that "parts suitable for use both in clocks or
watches and in other articles, for example, in toys, meters or
measuring or precision instruments (springs, trains, jewels,
hands, etc.) fall in this heading . . . ." Therefore, although
the assembly in question will be used in a chart drive recorder,
it is classifiable under heading 9114, HTSUS, if the assembly is
also suitable for use in clocks.
The PCB is the timing mechanism for the chart drive
recorder. It contains an integrated circuit that allows for the - 3 -
regulation of the time interval between pulses. This action
causes the shaft and magnet to rotate 180 degrees every second,
which, in turn, rotates the gears in the chart drive recorder.
Accordingly, it is our opinion that the PCB is classifiable as an
assembly for a clock movement under subheading 9114.90.30, HTSUS.
HOLDING:
The printed circuit board assembly is classifiable under
subheading 9114.90.30, HTSUS. The corresponding rate of duty for
articles of this subheading is 6.4% ad valorem plus 0.3 cents for
each piece or part, but if consisting in part of a plate or a set
of plates the total duty shall not exceed the duty for the
complete movement. Accordingly, HQ 953381, dated July 16, 1993,
is revoked.
In accordance with section 625, this ruling will become
effective 60 days after publication in the Customs Bulletin.
Publication of rulings or decisions pursuant to section 625 does
not constitute a change of practice or position in accordance
with section 177.10(c)(1), Customs Regulations (19 CFR
127.10(c)(1)).
Sincerely,
John Durant, Director
Commercial Rulings Division