CLA-2 RR:CR:GC 966785 GOB
Pearl Szewczyk
Ameri-Can Customhouse Brokers, Inc.
15 Lawrence Bell Drive
Amherst, NY 14221
RE: Revocation of NY C80921; Electronic Hang tags
Dear Ms. Szewczyk:
This letter is with respect to NY C80921 dated November 10, 1997, which was issued to you on behalf of ID Security Systems with respect to the classification under the Harmonized Tariff Schedule of the United States (“HTSUS”) of certain electronic hang tags. We have reviewed NY C80921 and believe it is incorrect. This ruling sets forth the correct classification.
Pursuant to section 625(c), Tariff Act of 1930 (19 U.S.C. 1625(c)), as amended by section 623 of Title VI (Customs Modernization) of the North American Free Trade Agreement Implementation Act, Pub. L. 103-182, 107 Stat. 2057, 2186 (1993), notice of the proposed modification of NY C80921, as described below, was published in the Customs Bulletin on November 19, 2003. No comments were received in response to the notice.
FACTS:
In NY C80921, the electronic hang tag was described as follows:
. . . the radio frequency tag is a 2 inch X 2.5 inch rectangular device which is designed to be affixed to a book or other object and used in conjunction with an alarm system. The tag is comprised of a layer of paper, polythene, an aluminum antenna coil, and a capacitor. In operation, the capacitor tunes the coil to a designated frequency. When the antenna coil comes in contact with the radio frequency signal sent out by the anti-shoplifting alarm apparatus, the coil resonates at the frequency which is recognized by the anti-shoplifting alarm.
In NY C80921 Customs classified the subject hang tag in subheading 8531.90.90, HTSUS, as: “Electric sound or visual signaling apparatus . . .; parts thereof: Parts: Other: Other.” We now believe the hang tag is classified in subheading 8543.81.00, HTSUS, as: “Electrical machines and apparatus, having individual functions, not specified or included elsewhere in this chapter; parts thereof: Other machines and apparatus: Proximity cards and tags.”
ISSUE:
What is the classification under the HTSUS of the subject electronic hang tags?
LAW AND ANALYSIS:
Classification under the HTSUS is made in accordance with the General Rules of Interpretation (“GRI’s”). GRI 1 provides that the classification of goods shall be determined according to the terms of the headings of the tariff schedule and any relative Section or Chapter Notes. In the event that the goods cannot be classified solely on the basis of GRI 1, and if the headings and legal notes do not otherwise require, the remaining GRI’s may then be applied.
The Harmonized Commodity Description and Coding System Explanatory Notes (“EN’s”) constitute the official interpretation of the Harmonized System at the international level. While neither legally binding nor dispositive, the EN’s provide a commentary on the scope of each heading of the HTSUS and are generally indicative of the proper interpretation of these headings. See T.D. 89-80.
The HTSUS provisions under consideration are as follows:
8531 Electric sound or visual signaling apparatus (for example, bells, sirens, indicator panels, burglar or fire alarms), other than those of heading 8512 or 8530; parts thereof:
8531.90 Parts:
Other:
8531.90.90 Other
* * * * *
8543 Electrical machines and apparatus, having individual functions, not specified or included elsewhere in this chapter; parts thereof:
Other machines and apparatus:
8543.81.00 Proximity cards and tags
EN 85.31 provides that heading 8531, HTSUS, includes, inter alia, the following: electric bells, buzzers, door chimes; electric sound signaling apparatus, horns, sirens; other electrical signalling apparatus for vehicles; indicator panels; burglar alarms; fire alarms; electric vapor or gas alarms; and flame alarms.
EN 85.43 provides in pertinent part as follows:
The heading includes, inter alia:
. . .
(14) Proximity cards or tags and electronic proximity cards/tags, which may or may not have a magnetic stripe. Proximity cards/tags usually consist of an integrated circuit with a read only memory, which is attached to a printed antenna. The card/tag operates by creating a field interference (the nature of which is determined by a code contained in the read only memory) at the antenna in order to affect a signal transmitted from, and reflected back to, the reader. This type of card/tag does not transmit data.
We find that the subject electronic hang tags are not of the class or kind of goods described in heading 8531, HTSUS, and EN 85.31. They are not among the goods enumerated in EN 85.31. We find, therefore, that they are not described in heading 8531, HTSUS.
The electronic hang tags are, in essence, electronic proximity tags as described in EN 85.43, above. We find that they are described in heading 8543, HTSUS, and are classified in subheading 8543.81.00, HTSUS, as: “Electrical machines and apparatus, having individual functions, not specified or included elsewhere in this chapter . . . : Other machines and apparatus: Proximity cards and tags.”
HOLDING:
The electronic hang tags are classified in subheading 8543.81.00, HTSUS, as: “Electrical machines and apparatus, having individual functions, not specified or included elsewhere in this chapter . . . : Other machines and apparatus: Proximity cards and tags.”
EFFECT ON OTHER RULINGS:
NY C80921 is revoked. In accordance with 19 U.S.C. 1625(c), this ruling will become effective 60 days after publication in the Customs Bulletin.
Sincerely,
Myles B. Harmon, Director
Commercial Rulings Division