CLA-2 RR:TC:MM 958997 LTO
Mr. J.R. Douthit
Chrysler Corporation
100 Electronics Boulevard
P.O. Box 240001
Huntsville, Alabama 35824-6401
RE: Automobile display module, trip computer, overhead console and driver information system; HQs 955625, 955626, 955627, 955696 affirmed; NYs 873948, 889323; headings 8512, 8531, 9025, 9026, 9029, 9031, 9104; GRI 3; EN 90.29
Dear Mr. Douthit:
This is in response to your letter of February 22, 1996,
requesting reconsideration of HQs 955625, 955626, 955627 and
955696, issued to you on February 7, 1995, which concerned the
classification of an automobile display module, trip computer,
overhead console and driver information system under the
Harmonized Tariff Schedule of the United States (HTSUS). As
requested, we have thoroughly analyzed all of the points you have
raised regarding this matter. After careful consideration, we
have determined that the classification decisions set forth in
those rulings are correct.
FACTS:
The automobile display module ("J-Body EVIC Display
Module"), trip computer ("Traveler"), overhead console and driver
information system are display units which supplement a vehicle's
standard instrument cluster. They are not, however, used as a
substitute for the instrument cluster, which includes the
vehicle's speedometer, odometer, etc.
- 2 -
The display module, which is a component of the J-Body
Electronic Information Center (EVIC), uses a vacuum fluorescent
display for the immediate presentation of warning messages. The
unit also includes six push-button switches to provide a variety
of information, including the time, temperature, average miles
per gallon and warning, maintenance and convenience messages.
The trip computer is a five-function device which provides
supplementary digital information to standard vehicle
instrumentation via a vacuum florescent display. The functions
include a trip odometer, average fuel economy, present fuel
economy, distance to empty and trip elapsed time.
The overhead console, which is a component of the C/Y Body
EVIC, includes an engine node, body controller and lamp outage
module. The console, which also utilizes a vacuum fluorescent
display for the immediate presentation of warning messages,
includes dual reading lights and a traveler information system.
The traveler information system displays compass and outside
temperature readings, trip mileage, fuel economy, distance to
empty and elapsed trip time.
The driver information system is a 15-function trip
computer. The vehicle's engine controller counts pulses
generated by the rotation of the vehicle's transmission drive
train. Various calculations are performed and the results are
displayed on a 17-character dot matrix display. The system's
features include fuel range, fuel economy, coolant temperature,
tachometer, fuel consumed, date, time, elapsed time, battery
voltage, average speed and distance to destination.
ISSUE:
Whether the automobile display module, trip computer,
overhead console and driver information system are classifiable,
according to GRI 3(c), under heading 9106, HTSUS, which provides
for time of day recording apparatus and apparatus for measuring,
recording or otherwise indicating intervals of time.
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 . . . ."
- 3 -
The Harmonized Commodity Description and Coding System
Explanatory Notes (EN) constitute official interpretation of the
Harmonized System. While not legally binding, the ENs provide a
commentary on the scope of each heading of the Harmonized System,
and are generally indicative of the proper interpretation of
these headings. See T.D. 89-80, 54 F.R. 35127 (August 23, 1989).
In HQs 955625, 955626, 955627 and 955696, Customs carefully
explained why the subject goods could not be classified according
to GRI 1 and why GRI 3(a) and 3(b) were not applicable. The
automobile display module, trip computer, overhead console and
driver information system were then classified, according to GRI
3(c), under heading 9106, HTSUS, which provides for time of day
recording apparatus and apparatus for measuring, recording or
otherwise indicating intervals of time. We determined that the
display units were "composite goods" consisting of a variety of
components that are classifiable in more than one heading, and
that none of the components provided the units with their
"essential character." You contend that the display units are
classifiable, either according to GRI 1 or GRI 3(b), HTSUS, under
heading 9029, HTSUS, which provides for "[r]evolution counters,
production counters, taximeters, odometers, pedometers and the
like; speedometers and tachometers, other than those of heading
9014 or 9015; stroboscopes . . . (emphasis added)."
You argue that EN 90.29 broadens the scope of heading 9029,
HTSUS, to include these display units, which can be classified
there according to GRI 1. EN 90.29 states that the apparatus and
instruments of heading 9029, HTSUS, "remain classified here
whether or not they incorporate a clockwork recording device, and
whether or not they are fitted with simple mechanical or electric
devices for bringing a signalling apparatus, machine controls,
brakes, etc., into action." You contend that this portion of EN
90.29 extends the scope of the heading 9029, HTSUS, to include
odometers, speedometers or tachometers that incorporate a clock
or timing device and various signaling apparatus. We disagree.
The display units under consideration are not simply
odometers, speedometers or tachometers, nor are they simply
odometers, speedometers or tachometers including a clockwork
recording device. The units also perform signaling,
measuring/checking (i.e., distance to empty) and timing
functions. The display module and overhead console also include
temperature displays, while the overhead console also includes
dual reading lights.
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Moreover, EN 90.29 does not permit the inclusion within
heading 9029, HTSUS, of odometers, speedometers or tachometers
containing "signaling apparatus." EN 90.29 states that the
heading's odometers, speedometers and tachometers can be fitted
with "simple mechanical or electric devices for bringing a
signalling apparatus, machine controls, brakes, etc., into
action." While goods can be classified under heading 9029,
HTSUS, even if they incorporate these "simple devices," they
cannot also include the signaling apparatus, machine controls or
brakes.
The display units consist of a variety of components, each
classifiable in a separate heading. For instance, the driver
information system includes a signaling, odometer, fuel economy
and timing component. They are prima facie classifiable under
the following headings, respectively: heading 8512 (electrical
signaling equipment of a kind used for motor vehicles) or 8531,
HTSUS (electrical sound or visual signaling equipment); heading
9029, HTSUS; heading 9031, HTSUS (measuring or checking
instruments, appliances and machines, not specified or included
elsewhere in chapter 90); and heading 9106, HTSUS. Accordingly,
they cannot be classified, according to GRI 1, under any of these
headings.
In the alternative, you contend that, in HQs 955625, 955626,
955627 and 955696, "Customs improperly dismissed the essential
character test in favor of GRI 3(c)." We disagree. GRI 3(b) was
not dismissed in favor of GRI 3(c). Rather, we determined that
the display units were composite goods that did not have an
essential character, and therefore, it was necessary to resort to
GRI 3(c).
You argue that the display units' odometer/speedometer
component provides the units with their essential character, and
therefore, they are classifiable under heading 9029, HTSUS.
However, you have not provided evidence to support your
contention.
For example, when asked for a value breakdown for each of
the display units' components, you provided breakdowns that
indicated that the total cost for the "non-speedometer/odometer
components," including the fuel economy, timing, etc., functions,
was minuscule when compared to the "speedometer/odometer basic
option" (5 percent vs. 95 percent of the total value of the
driver information system) A similar claim is made in your
letter of February 22, 1996, wherein you state that "[t]he
odometer/speedometer component of the DRIVER INFORMATION SYSTEM - 5 -
represents from 60% to 76% of the total value of the instrument,
depending on the valuation method used." Similar claims are made
with regard to the other display units.
None of the display units, including the driver information
system, indicate the vehicle's speed or measure the total
distance the vehicle has traveled. This information is provided
by the speedometer and odometer on the vehicle's instrument
cluster. Certain information provided by the display units, such
as the distance to empty, average MPG, present MPG and trip
distance provided by the "Traveler," is generated by their
speedometer and/or odometer "component." The failure to allocate
any of the cost of this component to any of these individual
functions renders the value breakdown meaningless.
You also claim that the classification of the display units
is contrary to holdings reached in NY 873948, dated May 14, 1992,
and NY 889323, dated August 31, 1993. We addressed this issue in
HQs 955625, 955626, 955627 and 955696, as follows:
In NY 873948, "instrument clusters" used in motor
cycles and automobiles were held to be classifiable,
according to GRI 3(c), under subheading 9029.20.40,
HTSUS, which provides for other speedometers and tachometers. The instrument clusters included a speedometer/odometer (heading 9029), tachometer
(heading 9029), fuel gauge (heading 9026), temperature
gauge (heading 9025), oil pressure gauge (heading 9026)
and voltmeter (heading 9030), installed in a common
housing. They were found to be composite articles that
could not be classified by reference to GRI 3(a).
Further, NY 873948 was based on a determination that
the "clusters" had no essential character thus bringing
GRI 3(c) into consideration. The provision which
occurred last among those which equally merited consideration in this instance was subheading
9029.20.40, HTSUS, since it was determined that the
voltmeter did not merit equal consideration.
In NY 889323, a tachograph was held to be
classifiable under subheading 9029.20.40, HTSUS. The
tachograph was a combination tachometer, speedometer,
odometer, clock and recorder. The device provided a
variety of information, including the vehicle's speed,
idling, distance traveled, PTO or engine brake
activation and whether the vehicle's doors were open or - 6 -
closed. The ruling did not specify the basis for the
classification decision.
It is our opinion that while the correct
classification was reached in both cases (subheading
9029.20.40, HTSUS), the basis for the classification
was in error. In both cases, the speedometer component
of the composite articles provided those articles with
their essential character. Thus, the rulings should
have specified that classification under subheading
9029.20.40, HTSUS, was the result of GRI 3(b).
An automotive instrument cluster is mounted on the dashboard
and includes the vehicle's primary instrumentation. When looking
at the function of each component of the instrument cluster, we
held that the speedometer was the most important. The
speedometer is likely used by the driver more often than the
other instrumentation. Moreover, its role in relation to the
operation of the vehicle is at least as important as the other
instrumentation, such as the fuel gauge.
The display units in question are not "instrument clusters."
Rather, they provide a variety of information that supplements
that provided by the cluster. Unlike an instrument cluster, they
do not incorporate a speedometer that indicates the vehicle's
speed or an odometer that measures the total distance the vehicle
has traveled. All of the information provided by the display
units supplements that provided by the cluster, yet none of this
information is any more essential than any other. It is not
readily apparent that any one function is used more often by the
driver than any other. Accordingly, the display units are not,
for classification purposes, similar to instrument clusters.
The primary components of a tachograph are the tachometer,
speedometer and odometer, all of which are, individually,
classifiable under heading 9029, HTSUS. In NY 889323, we stated
that based on the literature provided, the "principal
measurements [taken by the tachographs] appear to be speed and
rpm's." Moreover, when the tachograph is installed in-dash, the
unit could actually be substituted for the OEM (original
equipment manufacturers) speedometer. Accordingly, tachographs
are distinguishable from the display units in question.
Finally, you argue that Customs incorrectly failed to
consider the underlying rationale behind HQ 087550, dated
February 7, 1995, which was revoked by HQ 089891, dated September
15, 1993 ("Customs summary dismissal of HQ 087550 is . . . - 7 -
unwarranted"). In HQ 087550, Customs classified several heart
rate monitors and pulse meters for exercise bicycles under
heading 9029, HTSUS, apparently pursuant to GRI 1. However,
because we failed to consider note 3 to chapter 95, HTSUS ("parts
and accessories which are suitable for use solely or principally
with articles of this chapter are to be classified with those
articles"), HQ 087550 was revoked, and the monitors and pulse
meters were classified, as parts, under heading 9506, HTSUS.
Clearly, one cannot cite to a ruling that has been revoked
by Customs for the proposition that certain merchandise should be
classified in a manner similar to the classification found to be
correct in the revoked ruling. While one can use the underlying
rationale of that ruling to form the basis of a classification
argument, any precedential weight that revoked ruling may have
had is no longer applicable.
HOLDING:
The automobile display module, trip computer, overhead
console and driver information system are classifiable, according
to GRI 3(c), under subheading 9106.90.85 (1996), HTSUS.
HQs 955625, 955626, 955627 and 955696, dated February 7,
1995, are affirmed.
Sincerely,
John Durant, Director
Tariff Classification Appeals Division