CLA-2-90:RR:NC:MM:114 G88010

Mr. Anthony Cappelletti
President
United States Brokerage, Inc.
343 N. Wood Dale Road, Suite 201
Wood Dale, Illinois 60191

RE: The tariff classification of Prism System

Dear Mr. Cappelletti:

In your letter dated January 24, 2001, on behalf of Crain Enterprises, you requested a tariff classification ruling on a Prism System. We returned your request for a classification ruling because additional information was required. In your undated letter received by this office on March 9, 2001, additional information was supplied. A sample of the Prism System was submitted with your letter.

The submitted sample, identified as a Prism System, consists of an assembly, bracket, metal needle and case. The assembly consists of a retro-reflective prism in a mounting, held in a metal bracket that contains a leveler, and a threaded piece that allows it to be mounted on a tripod or a prism pole. The assembly can also be positioned and held by hand. The assembly is made in Singapore. The bracket and metal needle are used to mount the assembly on a tripod or prism pole, or to otherwise position it. The metal needle is a type of wrench that is used to engage or disengage the assembly and bracket. The metal needle fits in the small holes found in the assembly and bracket. The metal needle is threaded through the flap of the case. The bracket and metal needle may be made in Singapore or China. The assembly, bracket and metal needle are imported in a case. The case is worn on a belt similar to a holster or sheath. The case is suitable for repetitive reuse and is made up of man-made textile materials. The case is made in China.

You have stated that a Prism System is necessary to operate an electronic range finder, more specifically an Electronic Distance Measuring System (EDM). A Prism System cannot be used without the EDM equipment. The Prism System is used in surveying and related electronic distance determination activities. The assembly is located at the point to be measured and the electronic distance-measuring instrument is located at the other end of the distance to be measured. The EDM instrument emits a beam of light to the assembly. The assembly reflects the light back to the instrument. The EDM instrument interprets the electronic information and calculates the distance.

You have indicated that the EDM technology is usually incorporated in an instrument known as a Total Station surveying instrument. The Total Station determines distance and angles, and commutates positions.

The assembly, bracket and metal needle are imported together ready for retail sale in a man-made textile case. You have indicated that the importer prefers to have the items imported in the case, however, the case is not required. The word “HORIZON” is printed on the submitted case.

The General Rules of Interpretation (GRIs) set forth the legal framework in which merchandise is to be classified under the Harmonized Tariff Schedule of the United States Annotated (HTS). GRI 1 requires that classification be determined first according to the terms of the headings of the tariff and any relative section or chapter notes. Goods that cannot be classified in accordance with GRI 1 are to be classified in accordance with subsequent GRIs taken in order. The Prism System, consisting of the assembly, bracket, metal needle and case, is a single retail package containing items that are classifiable under more than two separate headings or subheadings of the tariff. The Explanatory Notes represent the official interpretation of the Harmonized Tariff Schedule of the United States Annotated (HTS) at the international level. GRI 3 applies when goods are put up for sale collectively and are classifiable under two or more headings of the tariff. GRI 3(b) covers goods put up in sets for retail sale. Explanatory Note X to GRI 3(b) defines “goods put up in sets for retail sale”. Such goods: (a) consist of at least two different articles that are classifiable in different headings, (b) consist of products put up together to meet a particular need or carry out a specific activity, and (c) are put up in a manner suitable for sale directly to users without repacking. The assembly, bracket, metal needle and case, in our opinion, meet the criteria for sets as the terms are defined in the cited Explanatory Notes. For the purposes of the Harmonized Tariff Schedule of the United States, the Prism System constitutes a set under GRI 3(b). Having determined that the assembly, bracket, metal needle and case constitute a set for tariff classification purposes, we must decide the essential character. According to the Explanatory Notes to GRI 3(b), essential character may be determined by the nature of the material or component, its bulk, quantity, weight or value, or by the role of the constituent material in relation to the use of the goods. The essential character of the set is the assembly. The Prism System is classifiable under heading 9015 as a surveying instrument and appliance.

The applicable subheading for the Prism System will be 9015.80.20, Harmonized Tariff Schedule of the United States (HTS), which provides for surveying instruments and appliances; other instruments and appliances; optical instruments and appliances. The rate of duty will be 2.8 percent ad valorem. Based upon international textile trade agreements, the case is subject to quota and visa requirements if a product of China.

The designated textile and apparel categories and their quota and visa status are the result of international agreements that are subject to frequent renegotiations and changes. To obtain the most current information, we suggest that you check, close to the time of shipment, the U.S. Customs Service Textile Status Report, an internal issuance of the U.S. Customs Service, which is available at the Customs Web site at www.customs.gov. In addition, the designated textile and apparel categories may be subdivided into parts. If so, visa and quota requirements applicable to the subject merchandise may be affected and should also be verified at the time of shipment.

You have also requested a country of origin marking waiver. The authority to grant a waiver of marking rests with the Port Director. Accordingly, such a request should be directed to the concerned port(s) of entry. 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 212-637-7058.

Sincerely,

Robert B. Swierupski
Director,
National Commodity
Specialist Division