CLA-2 CO:R:C:M 951224 MBR
Mr. Robert Slomovitz
Chief, National Import Specialist Branch 1
U.S. Customs
6 World Trade Center, Suite 716
New York, N,Y, 10048-0945
RE: Reconsideration of HQ 089276; Glass Electronic Packages;
Hermetic Metal Cases; Hybrid Integrated Circuits; Leads;
Parts; Printed Circuits
Dear Sir:
Your memorandum dated February 24, 1992 (CLA-2-85:S:N:N1:109
42), requested reconsideration of HQ 089276, dated July 24, 1991,
regarding the classification of certain integrated circuit
packages, under the Harmonized Tariff Schedule of the United
States (HTSUS).
FACTS:
The merchandise was described in the product brochure as
"microcircuit packages." The articles consist of cases made of
Kovar (an iron, nickel and copper alloy) plated with nickel or
nickel and gold. These cases may be imported with lids.
External electrical leads are attached to the casings with "glass
to metal" technology. Some of the casings described in the
brochure as "Power Packages" have beryllia or molybdenum bases
onto which conductor elements are printed. After importation,
integrated circuits are fitted into the casings and the casings
are hermetically sealed.
ISSUE:
Is the merchandise classified in heading 8541, HTSUS, which
provides for "[d]iodes, transistors and similar semiconductor
devices," heading 8534, HTSUS, as printed circuits, or as parts
of integrated circuits in heading 8542, HTSUS?
LAW AND ANALYSIS:
Heading 8534, HTSUS, provides for printed circuits. Chapter
85 Note 4 provides that "[f]or the purposes of heading 8534
"printed circuits" are circuits obtained by forming on an
insulating base, by any printing process...conductor elements,
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contacts, or other printed components...alone or interconnected
according to a pre-established pattern..." (emphasis in
original).
In HQ 089276, dated July 24, 1991, we stated that: "[t]he
"Power Packages" under consideration which contain beryllia or
molybdenum bases printed with conductor elements are described by
heading 8534 and are classified as printed circuits in subheading
8534.00.00, HTSUS. The remaining packages do not contain
printed conductor elements or other printed components and are
not described by heading 8534 as printed circuits."
You agreed with our analysis of the classification of the
power packages with conductor elements in heading 8534, HTSUS,
however, you inquire as to our rationale for the classification
of the packages without printed conductor elements as parts of
integrated circuits in heading 8542, HTSUS.
We stated that the packages which do not have printed
conductor elements or other printed components are described by
heading 8542 as parts of integrated circuits. In a telephone
conversation with a member of my staff, the importer has assured
us that neither his merchandise, nor his class or kind of
merchandise, are ever used for packages for the items of heading
8541, and are only utilized for the merchandise described in
heading 8542, HTSUS. Therefore, based on this information, and
the lack of specific, factual, contradictory evidence, we
maintain that the packages without printed conductor elements are
classified as parts of printed circuits in subheading 8542.90.00,
HTSUS. We refer you to section 177.9(b)(1) of the Customs
Regulations which states:
(b) Application of rulings to transactions - (1)
Generally. Each ruling letter is issued on the assumption
that all of the information furnished in connection with the
ruling request and incorporated in the ruling letter, either
directly, by reference, or by implication, is accurate and
complete in every material respect. The application of a
ruling letter by a Customs Service field office to the
transaction to which it is purported to relate is subject to
the verification of the facts incorporated in the ruling
letter, a comparison of the transaction described therein to
the actual transaction, and the satisfaction of any
conditions on which the ruling was based. If, in the
opinion of any Customs Service field office by whom the
transaction is under consideration or review, the ruling
letter should be modified or revoked, the findings and
recommendations of that office will be forwarded to the
Headquarters Office for consideration, as provided in
section 177.11(b)(1)(i), prior to any final disposition with
respect to the transaction by that office. Otherwise, if
the transaction described in the ruling letter and the
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actual transaction are the
set forth in the ruling letter have been satisfied, the
ruling will be applied to the transaction.
Pursuant to section 177.9(b)(1), if upon verification of the
facts contained in HQ 089276, specific, factual, contradictory
information regarding principle use of the packages (pursuant to
section XVI, legal note 2(b) regarding the principle use of
parts) comes to light, we would consider modifying or revoking
the ruling at that time.
You have suggested that the classification of the non-
printed circuit packages may be appropriate under heading 8534,
HTSUS, which provides for "[p]rinted circuits." However, in our
opinion, the packages which have no printing on them cannot be
said to have the essential character of a finished article
(printed circuit) because they may never be utilized as a printed
circuit and are not identifiable as such.
You aptly cited the case of The United States v. Kyocera
International, Inc., 2 CIT 91 (1981), affirmed 69 CCPA 168, in
which the court held similar integrated circuit packages
classifiable as parts of integrated circuits under the TSUS. We
agree. This position is consistent with our present
classification.
HOLDING:
The "Power Packages" which contain a beryllia or molybdenum
base printed with conductor elements are classified as printed
circuits in subheading 8534.00.00, HTSUS.
The packages which do not have printed conductor elements or
other printed components are classified as parts of electronic
integrated circuits in subheading 8542.90.00, HTSUS.
HQ 089276, dated July 24, 1991, is hereby affirmed.
Sincerely,
John Durant, Director
Commercial Rulings Division