CLA-2-84:OT:RR:NC:1:104
Mr. C.J. Erickson
Cowan, Liebowitz & Latman, P.C.
1133 Avenue of the Americas
New York, NY 10036-6799
RE: The tariff classification of a repair system
Dear Mr. Erickson:
In your letter dated July 14, 2008 on behalf of Photon Dynamics Inc. you requested a tariff classification ruling.
The Array Saver 660 Repair System (“AS-660”) is a stand-alone machine used in the manufacture of flat panel displays (“FPDs”). High magnification optics is used to identify defects on LCD glass array circuitry prior to assembly of the LCD panels into the FPDs. The majority of the defects involve extraneous material which causes unwanted connections between various portions of the circuitry. The AS-660 utilizes a multi-wavelength laser to remove this unwanted material through a laser ablation process. While presently being manufactured in the United States, you indicate that this request relates to prospective importations of foreign-made systems. You have not specified the prospective countries of manufacture.
In your letter, you suggest classifying this system under subheading 9031.41, Harmonized Tariff Schedule of the United States (HTSUS), which provides for other optical instruments and appliances for inspecting semiconductor wafers or devices or for inspecting photomasks or reticles used in manufacturing semiconductor devices. Alternatively, you suggest classification under subheading 8486.20.0000, HTSUS, which provides for machines and apparatus for the manufacture of semiconductor devices or of electronic integrated circuits or subheading 8486.30.0000, HTSUS, which provides for machines and apparatus for the manufacture of flat panel displays. Subheading 9031.41, HTSUS, would not be applicable as the principal function of this system is the repair, not inspection. The inspection, while essential, is a secondary function designed to facilitate the main function of repair. Subheading 8486.20.0000, HTSUS, would not be applicable as the AS-660 is not designed for use in manufacturing discrete semiconductor devices or electronic integrated circuits.
The applicable subheading for the Array Saver 660 Repair System (“AS-660”) will be 8486.30.0000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Machines and apparatus of a kind used solely or principally for the manufacture of semiconductor boules or wafers, semiconductor devices, electronic integrated circuits or flat panel displays; machines and apparatus specified in Note 9 (C) to this chapter; parts and accessories: Machines and apparatus for the manufacture of flat panel displays. The rate of duty will be free.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at http://www.usitc.gov/tata/hts/.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).
A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist Patricia O’Donnell at (646) 733-3011.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division