CLA-2 CO:R:C:G 086513 MBR
Eugene A. Rosengarden
Office of Tariff Affairs
and Trade Agreements
500 E St., S.W.
Washington, DC 20436
RE: Your investigation No. 332-273 regarding U.S. Customs
classification of power supplies for ADP machines
In your letter of February 12, 1990, you inquired as to
Customs classification of power supplies for ADP machines in
light of the decision in Digital Equipment Corp. v. U.S., 889
F.2d 267 (1989) (hereafter "DEC").
The DEC decision was a classification issue under the Tariff
Schedules of the United States (TSUS). The Harmonized Tariff
Schedule of the United States (HTSUSA) is significantly
different from TSUS in this area. Thus, although power supplies
for ADP machines were held to be "parts" in the DEC decision, the
DEC decision is not binding on classifications under the present
Under the HTSUSA, power supplies for ADP machines are
provided for, eo nomine, under subheading 8471.99.30, HTSUSA,
which provides for: "Automatic data processing machines and units
thereof; [o]ther: [o]ther: [p]ower supplies."
Furthermore, Legal Note 5(B) to chapter 84 states:
(B) Automatic data processing machines may be in the form of
systems consisting of a variable number of separately housed
units. A unit is to be regarded as being a part of the
complete system if it meets all the following conditions:
(a) It is connectable to the central processing unit
either directly or through one or more other units; and
(b) It is specifically designed as part of such system
(it must, in particular, unless it is a power supply
unit, be able to accept or deliver data in a form (code
or signals) which can be used by the system).
Such units entered separately are also to be classified
in heading 8471.
It is Customs position that the statement: "[a] unit is to
be regarded as being a part of the complete system" means "a unit
is to be regarded as a unit of the complete system."
Additionally, Legal Note 5(B) denotes that power supplies are
units of ADP machines even though they do not accept or deliver
code or signals to the system, and that power supplies, entered
separately are to be classified in heading 8471 (which provides
for units), not 8473 (which provides for parts of units and
Therefore, classification of power supplies for ADP machines
is appropriate under subheading 8471.99.30, HTSUSA, which
unequivocally provides for ADP power supplies. Please see
attached rulings HQ 083956 (dated April 12, 1989), NY 834022
(dated December 5, 1988) and NY 832482 (dated October 4, 1988).
If you have any question concerning this issue, please
contact me or Matthew Riley, Esq. (566-8181).
Harvey B. Fox, Director
Office of Regulations and Rulings