CLA-2 CO:R:C:M 954788 MBR

Mr. Charles Owen Verrill, Jr.
Wiley, Rein & Fielding
1776 K Street, N.W.
Washington, D.C. 20006

RE: Rockwell International Corporation; Collins Commercial Avionics; Visual Signaling Apparatus; Liquid Crystal Display; LCD; Avionics LCD Module; 8531; 9013; HQs 953115, 952502, 952246, 951609, 951288, 952360

Dear Mr. Verrill:

This is our reply to your letter of July 7, 1993, to the District Director of Customs, Chicago, on behalf of Rockwell International Corporation, Collins Commercial Avionics ("Rockwell"), requesting classification of certain avionics liquid crystal displays ("LCDs"), under the Harmonized Tariff Schedule of the United States (HTSUS). Your letter was referred to this office for reply.

FACTS:

You state that Rockwell is a leading manufacturer of avionics systems for commercial aircraft. Increasingly, the technology of choice for these avionics displays is active-matrix liquid crystal flat panel displays ("LCDs") that are custom designed for this purpose. Rockwell intends to import six models of these custom designed LCDs. The models are described as follows:

1. The "Seiko-Epson DLC-800" contains 480 by 440 pixels at a pitch of .20 mm, and has a response time of 40/50 ms. It is imported as a complete unit, with LCD sandwich, attached row and column drivers and connectors, and is ready for mounting in the instrument housing.

2. The "Toshiba D-Size" contains either 576 by 1024, or 576 by 768 full color pixels, with a dot pitch size of .15 mm, and has a response time of 20/20 ms. It is imported as a complete unit, with LCD sandwich, attached row and column drivers and

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connectors, and is ready for mounting in the instrument housing.

3. The "Toshiba ELS (EDMS)" is similar to the "Toshiba D-Size" and contains 576 by 1024 full color pixels at a dot pitch size of .15 mm, and has a response time of 25/7 ms at 20 degrees C. It is imported as a complete unit, with LCD sandwich, attached row and column drivers and connectors, and is ready for mounting in the instrument housing.

4. The "Seiko-Epson TCAS-TVI920/3ATI" contains 240 by 180 full color pixels, with a dot pitch size of .16 mm, and has a response time of 40/50 ms. It is imported as a complete unit, with LCD sandwich, attached row and column drivers and connectors, and is ready for mounting in the instrument housing.

5. The "Seiko-Epson 3ATI Standby Instrument" contains 255 by 191 full color pixels, with a dot pitch size of .16 mm, and has a response time of 35/5 ms at 20 degrees C. It is imported as a complete unit, with LCD sandwich, attached row and column drivers and connectors. The circuit boards containing the row and column drivers are bent 90 degrees prior to mounting in the instrument panel.

6. The "Sharp 3ATI Standby Instrument" contains 256 by 192 color pixels at a dot pitch size of .15 mm, and has a response time of 30/30 ms at 25 degrees C. It is imported as a complete unit, with LCD sandwich, attached row and column drivers and connectors. The circuit boards containing the row and column drivers are bent 90 degrees prior to mounting in the instrument panel.

ISSUE:

Are the instant Avionics LCDs classified under the provision for electric sound or visual signaling apparatus, or under the provision for parts of ADP machines, or under the provision for LCDs not provided for more specifically in other headings, or under the provision for parts and accessories of other navigational instruments?

LAW AND ANALYSIS:

The General Rules of Interpretation (GRI's) to the HTSUS govern the classification of goods in the tariff schedule. GRI 1 states, in pertinent part:

...classification shall be determined according to the terms of the headings and any relative section or chapter notes...

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The instant avionics LCDs are prima facie classifiable under the following subheadings:

8531 Electric sound or visual signaling apparatus (for example, bells, sirens, indicator panels...:

8531.20.00 Indicator panels incorporating liquid crystal devices (LCD's) or light emitting diodes (LED's)

* * * * * * * * * * * * * *

8473 Parts and accessories (other than covers, carrying cases and the like) suitable for use solely or principally with the machines of headings 8469 to 8472:

8473.30.40 Parts and accessories of the machines of heading 8471: Not incorporating a cathode ray tube

* * * * * * * * * * * * * *

9013 Liquid crystal devices not constituting articles provided for more specifically in other headings:

9013.80.60 Other devices, appliances and instruments: Other

* * * * * * * * * * * * * *

9014 Direction finding compasses; other navigational instruments and appliances; parts and accessories thereof:

9014.90.20 Parts and accessories: Of articles covered by subheading 9014.20.40

* * * * * * * * * * * * * *

You assert that the instant avionics LCDs are "custom-designed for the purpose," meaning that they are custom-designed for commercial airline cockpit avionics including navigation, collision avoidance systems, etc. You further state that: "[b]ecause these displays are custom-designed for specific avionics applications rather than for use with personal computers, they do not use the pixel arrangements and the VGA, CGA, or EGA data formats that have become standard in that [ADP] industry." However, you also assert that the models described above as 1, 2, and 3, are similar to the LCDs ruled upon in HQ 952502, dated March 18, 1993, which pertained to automatic data processing ("ADP") LCDs. We disagree. The LCDs in HQ 952502 are principally used for freely programmable ADP units and have a pixel configuration of 640 by 480. Whereas, the instant importations are designed exclusively for avionics displays and none of these models have the industry standard ADP pixel configuration of 640 by 480.

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We agree that the instant LCDs are for use with avionics "computers," however, avionics computers do not meet the chapter 84, legal note 5, HTSUS, requirements of "freely programmable." To meet chapter 84, legal note 5, the ADP machine must be able to utilize all types of software, including word processing software. We are not aware of any commercial airline cockpit computers which are able to be so freely programmed. Therefore, absent a showing of principal use with freely programmable ADP machines, classification of the instant avionics LCDs under heading 8473, HTSUS, is not appropriate.

Heading 8531, HTSUS, provides for electric sound or visual signaling apparatus. Therefore, to be classifiable in this heading, the apparatus must be designed for "signaling."

The Harmonized Commodity Description and Coding System Explanatory Notes (ENs) to heading 8531, HTSUS, page 1381, are fairly descriptive and restrictive as to the types of "signaling" indicator panels and the like must perform in order to be classifiable in that provision. It states: "[t]hese are used (e.g., in offices, hotels and factories) for calling personnel, indicating where a certain person or service is required, indicating whether a room is free or not. They include:

(1) Room indicators. These are large panels with numbers corresponding to a number of rooms...

(2) Number indicators. The signals appear as illuminated figures on the face of a small box; in some apparatus of this kind the calling mechanism is operated by the dial of a telephone. Also clock type indicators in which the numbers are indicated by a hand moving round a dial.

(3) Office indicators, for example, those used to indicate whether the occupant of a particular office is free or not...

(4) Lift indicators. These indicate, on an illuminated board, where the lift is and whether it is going up or down. etc.

We have uniformly stated in HQ 953115, dated May 10, 1993, HQ 952502, dated March 18, 1993, HQ 952246, dated November 10, 1992, HQ 951868, dated October 31, 1992, HQ 952360, dated October 15, 1992, and HQ 951288, dated July 7, 1992, that only those LCDs which are limited by design and/or principal use to that of "signaling," are classifiable in heading 8531, HTSUS.

Due to the specific design, function, and principal use of the instant avionics LCDs for avionic visual signaling, they are clearly classifiable under heading 8531, which provides for "signaling apparatus." See HQ 953115, dated May 10, 1993, for

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a decision regarding avionics LCDs, and HQ 951288, dated July 7, 1992, for a protest decision regarding Epson LCDs, distinguishing between "visual signaling" LCDs, and other types.

Section XVI, Legal Note 1(m), HTSUS, states that: "[t]his section does not cover: [a]rticles of chapter 90." Heading 9013, HTSUS, provides for: "[l]iquid crystal devices not constituting articles provided for more specifically in other headings." Therefore, since the instant avionics LCDs are provided for more specifically in another heading (i.e., heading 8531, HTSUS), they are not classifiable in heading 9013, HTSUS.

The instant avionics LCDs are also prima facie classifiable under subheading 9014.90.20, HTSUS, which provides for parts of navigational instruments. However, the Legal Notes to chapter 90, in pertinent part, direct as follows:

2. Subject to note 1 above, parts and accessories for machines, apparatus, instruments or articles of this chapter are to be classified according to the following rules:

(a) Parts and accessories which are goods included in any of the headings of this chapter or of chapter 84, 85 or 91 (other than heading 8485, 8548 or 9033) are in all cases to be classified in their respective headings; Therefore, since the instant avionics LCDs are included in heading 8531, HTSUS, (visual signaling apparatus), they are not classifiable under the provision for parts of navigational instruments (heading 9014, HTSUS).

HOLDING:

The instant, custom designed avionics Liquid Crystal Displays for avionics visual signaling (models Seiko-Epson DLC-800, Toshiba D-Size, Toshiba ELS (EDMS), Seiko-Epson TCAS-TVI920/3ATI, Seiko- Epson 3ATI Standby Instrument, Sharp 3ATI Standby Instrument) are classifiable in subheading 8531.20.00, HTSUS, which provides for: "[e]lectric sound or visual signaling apparatus (for example, bells, sirens, indicator panels...: [i]ndicator panels incorporating liquid crystal devices (LCD's) or light emitting diodes (LED's)." The rate of duty is 2.7% ad valorem. However, pursuant to 19 CFR 10.183, if the requirements are met for the Agreement on Trade in Civil Aircraft, the rate of duty is Free.

Sincerely,

John Durant, Director
Commercial Rulings Division

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CC: District Director
U.S. Customs Service