CLA-2-90:RR:NC:1:114
TARIFF NOS.: 9013.80.9000, 9902.85.21
Mr. Lee Silberzahn
Sony Electronics Inc.
1 Sony Drive
Park Ridge, New Jersey 07656-8003
RE: The tariff classification of an LCD assembly from Japan
Dear Mr. Silberzahn:
In your letters dated May 4, 2007 and June 2, 2007 you requested a tariff classification ruling for a Liquid Crystal Display (LCD) Assembly for the Sony Electronics, Inc. (SEL) LCD 40 inch direct view television.
Part A1197878B, the Liquid Crystal Display (LCD) assembly, will be incorporated into a 40 inch direct view High Definition LCD television model KDL-40XBR2 at SEL’s Pittsburgh FTZ. The part contains an LCD module, two speaker units, front and back external TV cabinets, two mounted circuit boards, denoted as H3 and H4, and miscellaneous hardware, labels and cushions for assembling the components of the television.
The LCD module is a color active matrix LCD which is composed of a Thin Film Transistor (TFT) LCD panel, a driver circuit and a back light unit consisting of Sony’s Wide Color Gamut Cold Cathode Fluorescent Lamp (WCG-CCFL). The resolution is HD 1080 video resolution and 1920 x 1080 pixel resolution. The LCD module is designed for flat panel display applications such as display terminals for audio visual products and for High Definition television (HDTV). SEL is using the LCD panel to produce High Definition televisions.
The speaker units are located on either side of the LCD module. Each one consists of two 41 by 100 mm woofers and one 41 mm tweeter in a common housing. The speaker units are basic cone shaped permanent magnet dynamic speakers comprising approximately 2 percent of the total value of the LCD assembly.
The H3 circuit board contains three light emitting diodes (LEDs) for illuminating the Sony logo. The H4 board contains two LEDs that serve as status indicators and an infrared receiver to receive signals from a remote control. The H4 board cannot process the signals generated by the remote control; it converts the signal from an infrared signal to an electrical signal for processing by a board that is not included in the LCD assembly.
According to your letter, the power supply, the tuner, the video and audio processing boards and other mounted circuit boards will be added after importation during the production process. The LCD assembly cannot, in its condition as imported, receive or process a broadcast television signal or other types of video signals or audio signals.
The Court of International Trade, in Sharp Microelectronics Technology, Inc. v. United States, 122 F.3d 1446 (Fed. Cir. 1997), held that heading 9013, HTSUS is not a basket provision, and that the language in the heading invites a relative specificity analysis. The court concluded that heading 9013, HTSUS, is more specific than a parts heading. Accordingly, although the subject LCD assembly could be described in heading 8529, HTSUS, which provides for parts suitable for use solely or principally with the apparatus of headings 8525 to 8528, HTSUS, under the decision in Sharp, it is more specifically described in heading 9013, HTSUS.
The applicable subheading for part A1197878B, an LCD assembly for the LCD 40 inch direct view television model KDL-40XBR2, will be 9013.80.9000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for liquid crystal devices not constituting articles provided for more specifically in other headings, other devices, appliances and instruments, other. The rate of duty will be 4.5 percent ad valorem.
Heading 9902, HTSUS, covers a variety of goods that have a temporary reduction in their rate of duty by virtue of legislative action. Subheading 9902.85.21, HTSUS, provides for liquid crystal display panel assemblies for use in direct view televisions (provided for in subheading 9013.80.90). Accordingly, part A1197878B, an LCD assembly for the LCD 40 inch direct view television model KDL-40XBR2, is entitled to beneficial treatment under HTSUS subheading 9902.85.21. The rate of duty under HTSUS subheading 9902.85.21 is free. This rate applies to this article entered on or before December 31, 2009.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at http://www.usitc.gov/tata/hts/.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).
A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist Barbara Kiefer at 646-733-3019.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division