CLA-2-84:RR:NC:1:120 R03125

Christine de Vera
Psion Teklogix, Inc.
2100 Meadowvale Blvd.
Mississauga, Ontario
L5N 7J9 Canada

RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA); a vehicle-mount computer from Sweden shipped from Canada; Article 308 and Annex 308.1

Dear de Vera:

In your letter dated January 18, 2006 you requested a ruling on the status of Psion model 8570; a vehicle-mount computer made in Sweden shipped from Canada under the NAFTA.

As per K85186 dated 4/30/04, the applicable tariff provision for the vehicle-mount computer was determined to be 8471.41.0095, Harmonized Tariff Schedule of the United States (HTSUS), which provides for "Automatic data processing machines and units thereof… Other digital automatic data processing machines: Comprising in the same housing at least a central processing unit and an input and output unit, whether or not combined: Other." The general rate of duty will be free. NAFTA Article 308 and Annex 308.1 provide for each NAFTA Party to eliminate or reduce normal trade relations (most-favored-nation) rates of duty on certain automatic data processing machinery and parts, and 69 Federal Register 54740 set the terms under which such goods shall be considered originating goods under the NAFTA when imported from the territory of a NAFTA party. In other words, beginning January 1, 2003, whenever an article classified under any of the tariff headings specified in Annex 308.1 enter the United States from Canada or Mexico, it may be treated as an “originating” good for NAFTA purposes based solely on its tariff classification, notwithstanding that the good might have been originally and completely manufactured in, say Sweden, or some other non-NAFTA country. Moreover, covered component materials may be treated as NAFTA “originating” when used in the production of another article within the NAFTA territory.

As per Proclamation 7808 of September 7, 2004, Title 3, effective with respect to goods entered, or withdrawn, from warehouse for consumption, on or after January 1, 2003, general note 12 to the HTSUS is hereby modified as follows:

3. The following new subdivision is inserted at the end of such General note 12: "(u) Goods that shall be considered originating goods. For the purposes of subdivision (b)(v) of this note, notwithstanding the provisions of subdivision (t) above, the automatic data processing machines, automatic data processing units and parts of the foregoing that are classifiable in the tariff provisions enumerated in the first column and are described opposite such provisions, when the foregoing are imported into the customs territory of the United States from the territory of Canada or of Mexico, shall be considered originating goods for the purposes of this note:

Provisions Description (1) 8471.10.00, 8471.30.00, Automatic data 8471.41.00 processing machines

(2) 8471.49.10, 8471.50.00 Digital processing units

(3) 8471.49.15, 8471.60.10 Combined input/output units

(4) 8471.49.24, 8471.49.29, Display units 8471.60.30, 8471.60.45

(5) 8471.49.21, 8471.49.42, Other input or output units 8471.49.48, 8471.60.20, 8471.60.70, 8471.60.80, 8471.60.90

(6) 8471.49.50, 8471.70 Storage units

(7) 8471.49.60, 8471.49.85, Other units of automatic 8471.49.95, 8471.80.10, data processing machines 84.80.40, 8471.80.90,

(8) 8473.30 Parts of automatic data processing machines and units thereof

(9) 8471.49.70. 8504.40.60, Power supplies for 8504.40.70 automatic data processing machines

(10) 8504.90.20, 8504.90.40 Parts of power supplies for automatic data processing machines [54748] Based upon the information provided for the Psion 8570 vehicle-mount computer imported from Canada, pursuant to annex 308.1 the vehicle-mount computer will be treated as NAFTA originating. Accordingly, the subject merchandise classified under HTS, 8471.49.10 will not require any customs duty or merchandise-processing fee for Customs purposes. This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181). [FR Doc. 04-20551 Filed 9-8-04; 8:45 am]; Billing code 3190-01-C.

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 Denise Faingar at 646-733-3010.

Sincerely,

Robert B. Swierupski
Director,
National Commodity
Specialist Division