HQ 955019
NOVEMBER 19 1993
CLA-2:CO:R:C:M 955019 JAS
Mr. Jack Flynn
Rudolph Miles & Sons
P.O. Box 11057
El Paso, TX 79983-1057
RE: Crystal Filter; Electronic Component for Controlling
Radio Frequencies; Control Oven, Electronic Device for
Reducing Frequency Drift by Controlling Temperature;
Parts Principally Used in Ground-to-Air Radio Transmission
and Reception Apparatus, Section XVI, Note 1(m) and Note 2;
HQ 087025
Dear Sir:
Your letter dated August 4, 1993, to the District Director
at El Paso, has been referred to this office for reply. Your
inquiry, on behalf of McCoy Electronics, concerns the tariff
status of crystal filters, and temperature control elements.
Both articles are assembled in Mexico with components of U.S.
origin. Descriptive literature was submitted.
FACTS:
The crystal filter consists of a quartz crystal substrate
onto which are mounted capacitors, thermistors, leads and coils.
You state that the filter is an electronic component used in a
circuit to pass radio signals at or within a desired frequency
range and to impede or reject other frequencies above or below
the pre-set band width. The temperature control element -
referred to in the literature as a miniature control oven -
consists of a thermally sensitive resistor or posistor and a
micron heating wire. It is designed to reduce frequency drift
and thus hold the crystal filter at a pre-set temperature. It
does this by increasing or decreasing resistance to the flow of
current in direct relation to increases or decreases in
temperature. You state that both the crystal filter and the
temperature control element are principally used with ground-to-
air radio transmission apparatus of heading 8529. - 2 -
You cite a Headquarters ruling in which substantially
similar band pass filters for cellular telephones were held to be
parts principally used with machines or apparatus of chapter 85.
The provisions under consideration are as follows:
8525 Transmission apparatus for radiotelephony,
radiotelegraphy, radiobroadcasting or
television, whether or not incorporating
reception apparatus
* * * * *
8529.90.50 Parts suitable for use solely or principally
with the apparatus of headings 8525 to 8528:
Other: Other...5.9 percent
* * * * *
9032 Automatic regulating or controlling
instruments and apparatus; parts and
accessories thereof
* * * * *
9032.89.60 Other instruments and apparatus; Other:
Other...4.9 percent
* * * * *
9032.90.60 Parts and accessories: Other...4.9 percent
ISSUE:
Whether the crystal filter and temperature control element
are "parts" for tariff purposes; whether the heat control element
automatically controls temperature for purposes of heading 9032
and is thus precluded from classification in chapter 85
LAW AND ANALYSIS:
Merchandise is classifiable under the Harmonized Tariff
Schedule of the United States (HTSUS) in accordance with the
General Rules of Interpretation (GRIs). GRI 1 states in part
that for legal purposes, classification shall be determined
according to the terms of the headings and any relative section
or chapter notes, and provided the headings or notes do not
require otherwise, according to GRIs 2 through 6.
The Harmonized Commodity Description And Coding System
Explanatory Notes (ENs) constitute the Customs Cooperation
Council's official interpretation of the Harmonized System. - 3 -
While not legally binding on the contracting parties, and
therefore not dispositive, the ENs provide a commentary on the
scope of each heading of the Harmonized System and are thus
useful in ascertaining the classification of merchandise under
the System. Customs believes the notes should always be
consulted. See T.D. 89-80.
Parts which are not themselves goods included in any of the
headings of chapters 84 or 85 are to be classified with the
machine or machines of those headings with which they are solely
or principally used. Section XVI, Note 2, HTSUS. For tariff
purposes, goods may be considered parts if they are integral,
constituent or component parts of a larger article, without which
the larger article will not function as that article. From the
evidence of record, it is unclear whether either the crystal
filter or temperature control element meets this test. However,
we have also ruled that goods may be considered to be parts if
they promote the safe or efficient operation of the article with
which they are used. By function and design with respect to
their use with radio transmission and reception apparatus, both
the crystal filter and temperature control element meet this
criteria. Both articles qualify as parts for tariff purposes.
Articles of chapter 90 are precluded from classification in
chapters 84 and 85. Section XVI, Note 1(m), HTSUS. Concerning
the temperature control element, relevant ENs at p. 1534 state
that apparatus of heading 9032 for automatically controlling
temperature consist of (1) a device for measuring the temperature
or a simple device that is sensitive to a change in temperature,
(2) an optional control device which compares the measured value
with the desired value, which activates (3) a starting or
stopping device. The notes state that instruments and apparatus
for automatically controlling temperature are connected to an
appliance which restores the variable to the prescribed value, or
which, in the case of a safety system, stops the operation of the
machine or apparatus controlled. From the information available
to us, neither the crystal circuit nor the temperature control
element meet this description. Neither is apparatus of chapter
90 nor a part of such apparatus. They are not precluded from
classification in chapters 84 or 85.
HOLDING:
Under the authority of GRI 1, the crystal circuit and
temperature control element in issue here are goods of heading
8529, parts suitable for use solely or principally with apparatus
of heading 8525. They are classifiable in subheading 8529.90.50,
other parts. HQ 087025, dated May 7, 1991, which you cite, is in
accord.
The literature indicates that crystal filters and
temperature control elements are used with navigation equipment, - 4 -
in computer systems, paging equipment, and thermal imagers, among
other uses. This classification is based on evidence of
principal use available to us at this time. As additional
information on the use or uses of this merchandise becomes
available, we may have cause to reconsider our position.
At your request, our Special Classification Branch will rule
separately on whether the assembly operations in Mexico qualify
the imported merchandise for a partial allowance under subheading
9802.00.80.
Sincerely,
John Durant, Director
Commercial Rulings Division