CLA-2-85:OT:RR:E:NC:1:108
Ms. Becky Delsing
Best Buy Purchasing, LLC
7601 Penn Avenue South
Richfield, MN 55423
RE: The tariff classification of a portable DVD stereo system from China.
Dear Ms. Delsing:
In your letter dated June 26, 2009, you requested a tariff classification ruling.
The subject merchandise, based on the submitted information, is a portable, battery-operated DVD stereo system, model number BD717B. This device, which is considered to be a composite machine, incorporates a 7-inch TFT LCD screen (monitor), an AM/FM stereo radio, a DVD/CD combination player and built-in speakers, but does not have any sound-recording capability. It is stated to be retail packed, at the time of importation, with a microphone, a remote control, a detachable AC/DC adapter, an audio/video cable, and a user’s guide. This merchandise is considered to be a set for tariff classification purposes, with the essential character being imparted by the portable DVD stereo system.
It is claimed that this merchandise principally operates as a karaoke machine and therefore should be classified under subheading 8519.81.3010, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Sound recording or reproducing apparatus: Other apparatus: Using magnetic, optical or semiconductor media: Sound reproducing only: Other: Optical disc (including compact disc) players. However, in this case, since there is no one component that imparts the principal function of this composite machine, classification under heading 8519, HTSUS, does not apply.
Moreover, where it is not possible to determine the principal function, and where, as provided in Note 3 to Section XVI, the context does not otherwise require, it is necessary to apply General Interpretative Rule 3(c). In such cases, classification shall be in the provision which occurs last in numerical order among those which equally merit consideration. The headings which equally merit consideration are heading 8527, HTSUS (the radiobroadcast receiver combined with the CD player) and heading 8528, HTSUS (the 7-inch LCD monitor). Based on the above, classification of this composite machine will be under heading 8528, HTSUS, which provides, in relevant part, for monitors and projectors not incorporating television reception apparatus.
The applicable subheading for this merchandise will be 8528.59.1500, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Monitors and projectors, not incorporating television reception apparatus; reception apparatus for television, whether or not incorporating radio-broadcast receivers or sound or video recording or reproducing apparatus: Other monitors: Other: Color: With a flat panel screen: Incorporating video recording or reproducing apparatus: With a video display diagonal not exceeding 34.29 cm. The rate of duty will be Free.
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 Lisa Cariello at (646) 733-3014.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division