CLA-2-85:RR:NC:MM:109 B84977
Ms. Mary E. Gill
Senior Attorney, Lucent Law Department
Lucent Technologies
Guilford Center 1-3A10
5420 Millstream Road
Greensboro, N.C. 27420
RE: The tariff classification of five kits from Mexico
Dear Ms. Gill:
In your letter dated May 15, 1997 you requested a tariff classification ruling. You indicate that Lucent Technologies is moving its distribution center to Mexico and that these kits are among the materials that will be shipped to the United States. The kits will include items manufactured in the United States, Mexico, China, Taiwan, etc. Samples of each kit were provided.
1. Tangle Free Cord Kit
This kit consists of two components, a telephone cord detangler (connector), and a telephone cord. They are packaged together for retail sale in a blister pack in Mexico. GRI 3(b) states in part that goods put up in sets for retail sale, which cannot be classified by reference to 3(a), shall be classified as if they consisted of the component which gives them their essential character. The essential character of this set is provided by the telephone cord.
2. Princess Telephone Dial Illumination Kit
This kit consists of four items separately packaged in polyethylene bags and combined in a plain cardboard box. The kit includes a transformer (adapter style), a modular adapter (connector module) for a standard modular telephone jack, an additional telephone line cord, and printed instructions for assembling the kit with the telephone set (not included). This kit is supplied by Lucent free of charge to users of leased telephones. It supplies additional power from an AC source when there is insufficient power supplied over the local telephone loop to light up the dial.
HQ 083968 addresses the issue of "goods put up in sets for retail sale." It states in part:
Relevant Explanatory Notes, which provide guidance in the interpretation of the Harmonized Commodity Description and Coding System at the international level, indicate that the term "goods put up in sets for retail sale" means goods that (1) consist of at least two different articles which are, prima facie, classifiable in different headings, (2) consist of products or articles put up together to meet a particular need or carry out a specific activity, (3) and are put up in a manner suitable for sale directly to users without repacking.
There is no requirement that sets actually be sold at retail.
Accordingly we finds, that in the described circumstances, these kits qualify as goods put up in sets for retail sale for purposes of GRI 3(b), HTSUS. The essential character of this kit is provided by the transformer.
3. Panel Phone Kit
This kit consists of a jack bracket, a jack retainer, a jack, screws, a 12 foot handset cord, a handset, and printed instructions for installation of the handset to a panel phone. This kit is packaged in a plain cardboard box. This kit is supplied by Lucent free of charge to users of leased panel telephones. This kit would be supplied to replace a non working handset.
As discussed under the second kit, we finds that these kits also qualify as goods put up in sets for retail sale for purposes of GRI 3(b), HTSUS. The essential character of this set is provided by the telephone handset.
4. Add-A-Jack Kit
This kit contains solid copper 6-conductor, 24 gauge telephone station wire, a 6-conductor modular jack, an instillation tool, wire clips, staples and mounting screws. It is packaged for retail sale in a blister pack. The wire, in addition to the jack, is considered a significant part of this set. It allows you to make the electrical connection and to add a jack in a new location. The cost of the wire is more than three times that of the jack. Under GRI 3(c), this set is classified under the heading which occurs last in numerical order among those which equally merit consideration, 8536 and 8544.
5. Micro-Cassette Head Cleaner
This kit contains a bottle of cassette head cleaner fluid and a micro-cassette head cleaner unit which resembles an actual micro-cassette. It is packaged for retail sale in a blister pack.
Explanatory Note 85.22, states:
The range of parts and accessories classified here includes:
(10) Cassettes for cleaning the magnetic heads of sound or video recording or reproducing apparatus, whether or not put up in retail packings together with a cleaning solution.
The applicable subheading for the Tangle Free Cord Kit will be 8544.41.0000, Harmonized Tariff Schedule of the United States (HTS), which provides for "[o]ther electric conductors, for a voltage not exceeding 80 V: [f]itted with connectors." The rate of duty will be 3.7%.
The applicable subheading for the Princess Telephone Dial Illumination Kit will be 8504.31.4035, Harmonized Tariff Schedule of the United States (HTS), which provides for "[o]ther transformers: [o]ther...[h]aving a power handling capacity less than 40 VA." The rate of duty will be 6.6%.
The applicable subheading for the Panel Phone Kit will be 8518.30.1000, Harmonized Tariff Schedule of the United States (HTS), which provides for "[h]eadphones, earphones and combined microphone/speaker sets: [t]elephone handsets." The rate of duty will be 8.5%.
The applicable subheading for the Add-A-Jack Kit will be 8544.41.0000, Harmonized Tariff Schedule of the United States (HTS), which provides for "[o]ther electric conductors, for a voltage not exceeding 80 V: [f]itted with connectors." The rate of duty will be 3.7%.
The applicable subheading for the Micro-Cassette Head Cleaner will be 8522.90.7580, Harmonized Tariff Schedule of the United States (HTS), which provides for "[p]arts and accessories suitable for use solely or principally with the apparatus of headings 8519 to 8521: [o]ther: [o]ther: [o]ther...[o]ther." The rate of duty will be 3.1%.
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 Eileen S. Kaplan at 212-466-5673.
Sincerely,
Robert B. Swierupski
Chief, Metals & Machinery Branch
National Commodity
Specialist Division