CLA-2 OT:RR:CTF:EMAIN H304471 TPB
Carl W. Mertz
TP-Link USA Corp
145 South State College Blvd., Suite 400
Brea, CA 92821
RE: Modification of New York (NY) ruling letter N301462; Classification of network devices; re-classification of Wi-Fi access points
Dear Mr. Mertz:
In your letter dated October 29, 2018, you requested a tariff classification ruling on certain network devices. The devices concerned are: a cloud controller (model OC200), a wireless dual band access point (model EAP245), a 5GHz 300Mbps 23dBI outdoor CPE access point (model CPE610), and a 2.4GHz wireless outdoor high power access point (model CPE210).
In NY N301462, U.S. Customs and Border Protection (CBP) classi?ed the subject cloud controller in subheading 8517.62.0090, HTSUSA (Annotated), which provides for “Telephone sets…; other apparatus for the transmission or reception of voice, images or other data…: Other apparatus for transmission or reception…: Machines for the reception, conversion, and transmission or regeneration of voice, images or other data, including switching and routing apparatus: Other.” The remaining devices, i.e., the access points, were classified in subheading 8517.62.0020, HTSUSA, which provides for “Telephone sets…; other apparatus for the transmission or reception of voice, images or other data…: Other apparatus for transmission or reception…: Machines for the reception, conversion, and transmission or regeneration of voice, images or other data, including switching and routing apparatus: Switching and routing apparatus.”
We have determined that all of the network devices subject to N301462 are classi?able in subheading 8517.62.0090, HTSUSA, by application of GRIs 1 and 6. For the reasons set forth below, we hereby modify NY N301462. Notice of the proposed action was published in the Customs Bulletin, Vol. 54, No. 32, on August 19, 2020. No comments were received in response to that notice.
FACTS:
The Omada Cloud Controller (model OC200) is a small form factor device designed to allow centralized management of an access point (AP) network. This device allows management through three methods: direct connection, cloud, or mobile application. It is pre-loaded with TP-Link free management software, and it can be powered via micro-USB or power over Ethernet (POE) (802.3af/at). It also allows for guest networks to be created via various login methods. It incorporates three output ports and one input port.
The AC1750 dual band gigabit ceiling mount access point (model EAP245) features band steering and load balancing. Band steering helps direct devices to the correct band by analyzing the data transfer rate. Load balancing ensures smooth network traffic, especially in a high density environment. The unit has one RJ45 gigabit Ethernet port. The unit can be powered by POE using 802.11at standards. It incorporates six internal antennas, three of which are 4dBi 2.4GHz, the other three are 4dBi 5GHz.
The 5GHz 300Mbps 23dBI outdoor CPE access point (model CPE610) is powered by passive POE. It has a transmit beam length of nine degrees horizontally and seven degrees vertically requiring line of sight communication to the receiving end. The antenna gain is 23dBI and supports IEEEE 80.211 a/n. Maximum transmit power is 27dBm but is adjustable in increments of 1dBm. Its antenna is a 2x2 MIMO design, and uses a parabolic design to ensure maximum transmission. It is designed to provide long range line of site network access to a remote location. This item generally needs two units, one set up in client mode (receiver) and the other as an access point (transmitter), through which the client side would then be connected to another router, switch or indoor access point that would provide the remote location with internet service.
The 2.4GHz 300Mbps 9dBI outdoor CPE access point (model CPE210) is powered by passive POE. It has a transmit beam length of 65 degrees horizontally and 35 degrees vertically requiring line of sight communication to the receiving end. The device supports IEEEE 80.211 b/g/n. Maximum transmit power is 27dBm but is adjustable in increments of 1dBm. The device has a maximum range of 5 km or 3.14 miles. Its antenna is a 2x2 dual-polarized MIMO design. It is powered by a Qualcomm Atheros 560MHz CPU, and it is designed to provide long range line or site network access to a remote location. This item generally needs two units, one set up in client mode (receiver), and the other as an access point (transmitter), through which the client side would then be connected to another router, switch or indoor access point that would provide the remote location with internet service.
ISSUE:
Whether the network devices at issue should be classified as switching and routing apparatus under the HTSUS.
LAW AND ANALYSIS:
Classification under the HTSUS is made in accordance with the General Rules of Interpretation (“GRIs”). 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 GRIs 2 through 6 may then be applied in order.
The subheadings under consideration are:
8517 Telephone sets, including telephones for cellular networks or for other wireless networks; other apparatus for the transmission or reception of voice, images or other data, including apparatus for communication in a wired or wireless network (such as a local or wide area network), other than transmission or reception apparatus of heading 8443, 8525, 8527 or 8528; parts thereof:
Other apparatus for transmission or reception of voice, images or other data, including apparatus for communication in a wired or wireless network (such as a local or wide area network):
8517.62.00 Machines for the reception, conversion and transmission or
regeneration of voice, images or other data, including switching and routing apparatus:
8517.62.0020 Switching and routing apparatus
8517.62.0090 Other
As indicated by you in a supplemental submission, an access point is a device creating a wireless local area networking (Wi-Fi) and enabling devices based on the IEEE 802.11 to connect to a wired network, in order to receive and transmit data without path selection. It typically connects via a switch to a router (via a wired network) as a standalone device. The access point transmits data over all outgoing ports as originally received. Devices connected to the access point receive all data, and it is up to the device to filter and pick up that which is addressed to it. There are no tables (routing, MAC address, etc.) and no intelligent switching or routing of the data.
Further, CBP has also found information describing access points as devices which provide wireless internet by connecting to a hub, switch, or router. Wireless access points allow computers to gain wireless access to wired networks. These access points act in a similar fashion to cell phone towers; one can move across several different locations and still have wireless access. To share an internet connection, one must connect the access point with a router. Access points are widely used by hotels, airports, and restaurants.
In a wireless local area network (WLAN), an access point is a station that transmits and receives data (sometimes referred to as a transceiver). An access point connects users to other users within the network and also can serve as the point of interconnection between the WLAN and a fixed wire network. Each access point can serve multiple users within a defined network area; as people move beyond the range of one access point, they are automatically handed over to the next one. A small WLAN may only require a single access point; the number required increases as a function of the number of network users and the physical size of the network increase.
To be classified as switching or routing apparatus, the devices must perform switching or routing themselves and not merely rely on an external switching or routing device. Based on the supplemental information provided and the notion that the access points concerned do not act as a switch or a router within the realm of networking terminology, CBP is now of the view that these three access points (models EAP245, CPE210, and CPE610) are properly classified under subheading 8517.62.0090, HTSUS, which provides for “Telephone sets…; other apparatus for the transmission or reception of voice, images or other data…: Other apparatus for transmission or reception…: Machines for the reception, conversion, and transmission or regeneration of voice, images or other data, including switching and routing apparatus: Other.” The general rate of duty will be Free.
The Omada Cloud Controller (model OC200), which is designed to allow centralized management of an access point network is also classified in subheading 8517.62.0090, HTSUS, as indicated in N301462. That portion of the ruling letter is affirmed.
HOLDING:
For the reasons set forth above, the AC1750 dual band gigabit ceiling mount access point (model EAP245), the 5GHz 300Mbps 23dBI outdoor CPE access point (model CPE610), and the 2.4GHz 300Mbps 9dBI outdoor CPE access point (model CPE210) are classified in subheading 8517.62.0090, HTSUS, which provides for “Machines for the reception, conversion & transmission or regeneration of voice, images or other data, including switching and routing apparatus: Other.” The column one, general rate of duty is free.
Duty rates are provided for your convenience and subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided at www.usitc.gov.
EFFECT ON OTHER RULINGS:
NY N301462, dated November 20, 2018, is hereby MODIFIED to reflect the analysis above.
In accordance with 19 U.S.C. 1625(c), this ruling will become effective 60 days after publication in the CUSTOMS BULLETIN.
Sincerely,
Gregory Connor
for Craig T. Clark, Director
Commercial and Trade Facilitation Division