CLA-2-85:OT:RR:NC:N2:220
Richard Kinnison
Datalogic USA, Inc.
959 Terry Street
Eugene, OR 97402
RE: The tariff classification of the DL-Axist from Taiwan
Dear Mr. Kinnison:
In your letter dated November 16, 2018 you requested a tariff classification ruling.
The merchandise under consideration is referred to as the DL-Axist which is described as a handheld portable automatic data processing (ADP) machine with 1 GB memory, 8 GB eMMC storage, a 5” TFT touch display, a 5 MP camera, an accelerometer, and a digital scanner. For connectivity, the DL-Axist is equipped with Wi-Fi, cellular, and Bluetooth technologies. The DL-Axist, which weighs 350 grams, is said to run on the Android operating system and is primarily used in retail, manufacturing, healthcare, and hospitality/entertainment service industries for the purpose of providing mobile computing.
In your request you suggest the DL-Axist is correctly classified under 8471.30.0100, Harmonized Tariff Schedule of the United States (HTSUS), as a portable ADP machine. We agree.
The General Rules of Interpretation (GRIs) to the HTSUS govern the classification of goods in the tariff schedule. GRI-1 states, in pertinent part, that "for legal purposes, classification shall be determined according to the terms of the headings and any relative section or chapter notes . . . ."
Section XVI, Note 3, of the HTSUS states: “Unless the context otherwise requires, composite machines consisting of two or more machines fitted together to form a whole and other machines designed for the purpose of performing two or more complementary or alternative functions are to be classified as if consisting only of that component or as being that machine which performs the principal function.”
Based upon the information you provided, the DL-Axist performs two distinct functions, namely mobile computing and data communications, where we find the principal function of the device is the mobile computing function. Furthermore, we would note that the DL-Axist satisfies the requirements set forth in Chapter 84, Note 5(A), HTSUS, and imposes no limitations to the user with regard to adding or removing applications of their choosing. Accordingly, the DL-Axist meets the terms of the subheading for portable ADP machines.
Therefore, in accordance with GRI-1 the applicable subheading for the DL-Axist will be 8471.30.0100, HTSUS, Automatic data processing machines and units thereof; "Portable automatic data processing machines, weighing not more than 10kg, consisting of at least a central processing unit, a keyboard and a display.” 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 https://hts.usitc.gov/current.
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 Karl Moosbrugger at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division