CLA-2-85: RR: NC: 1:108 K87044
Ms. Fusae Nara
New York, NY 10036
RE: The tariff classification of an Audio Video Computer System from Japan.
Dear Ms. Nara:
In your letter dated June 11, 2004, on behalf of your client Sharp Electronics Corporation, you requested a tariff classification ruling.
The item in question is denoted as the Sharp AudioVisual Video Computer System with Memory Card Reader/Writer (AVC System), model number TU-GA1-US.
This entity is actually composed of two devices, the AVC system, which is actually a single apparatus, and either a 32” or 37” LCD video monitor. The ruling, at your request, will address the classification of the components imported as individual articles of commerce and as a functional unit “bundled” together for retail sale.
The AVC System is a single housed unit that contains two television tuners and has video recording and reproducing capability. It is designed for attachment to either video monitor (models LC-37G4U and LC-32G4U). The tuners provide the means for reception of a television broadcast signal as well as a picture in picture feature. It incorporates a PC card slot capable of providing a means for video recording or reproducing through manual insertion of memory cards. It is compatible with 10 types of memory card. This capability enables the user to record television broadcasts. It also enables the user to play recorded video, such as motion pictures, and still images directly onto the video monitor. It also enables the user to record from a host of devices such as digital video cameras, digital still image cameras, VCRs and DVD players that are connected via the S-video or composite AV terminals. It should be noted that this device does not contain a modem and does not provide an Internet connection.
The LCD monitors do not contain a tuner for the direct reception of NTSC television broadcast signals. They receive such from the AVC system. The LCD monitors are functional video monitors that can process NTSC broadcast signals and video signals for direct viewing.
You have indicated that when ‘bundled” together the entire compilation of the AVC system and the LCD video monitors should be classified as functional unit in accordance with Section XVI Note 4.
It is the opinion of this office that this particular configuration of devices does not comprise a functional unit. These devices together do not contribute to clearly defined function covered by a heading in chapter 85. Therefore classification will be as individual articles of commerce.
The applicable subheading for the AVC System will be 8521.90.0000, Harmonized Tariff Schedule of the United States (HTS), which provides for Video recording or reproducing apparatus, whether or not incorporating a video tuner: Other. The rate of duty will be free.
The applicable subheading for the LCD monitors, models LC-37G4U and LC-32G4U will be 8528.21.7001, Harmonized Tariff Schedule of the United States (HTS), which provides for Reception apparatus for television, whether or not incorporating radiobroadcast receivers or sound or video recording or reproducing apparatus; video monitors and video projectors: Color: With a flat panel screen: Other … Other. The rate of duty will be 5 percent ad valorem.
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 Michael Contino at 646-733-3014.
Robert B. Swierupski