Mr. John A. Bessich
Follick & Bessich
Attorneys at Law
33 Walt Whitman Road, Ste. 310
Huntington Station, NY 11746
RE: The tariff classification of satellite radio kits from Korea and China.
Dear Mr. Bessich:
In your letter dated July 18, 2005, on behalf of Audiovox Electronics Corporation, you requested a tariff classification ruling. Samples are being returned as requested.
The subject merchandise, based on the submitted information, consists of the following transportable satellite radio kits, which are incapable of operating without an external source of power:
1) the Sirius Jampack, originating in Korea, which is referred to as the “SIR-CK3 Vehicle Installation Kit.” This kit primarily includes the Sirius PNP3 satellite radiobroadcast receiver with a remote control unit, a radio plastic mounting base, a radio cradle, a DC power adapter, a magnetic antenna with a self-adhesive antenna wire cover, a strip of double-sided foam tape and the appropriate mounting screws, as well as radio user and vehicle installation guide booklets.
2) the XM Combo Pack, originating in China, which is referred to as the “XC9 Vehicle Installation Kit.” This kit primarily includes the XM satellite radiobroadcast receiver with a remote control unit, a plastic mounting base, a radio cradle, a DC power adapter, and a magnetic antenna with installation sheet, a strip of double-sided foam tape and the appropriate mounting screws, as well as radio user and vehicle installation guide booklets.
In regard to how these kits are packaged at the time of importation, it is determined that they are put up in a manner suitable for sale directly to users without repacking. Moreover, since these kits are considered to be sets for tariff purposes, the essential character of this merchandise is imparted by the radiobroadcast receivers.
These satellite radios are considered fully functional radiobroadcast receivers
meeting the requirements of Channel Master v. United States. Each radio also contains SDRAM that provides the capability of recording and storing satellite radiobroadcasts.
It is noted that with the purchase of additional accessories, these satellite radio kits are not only capable of being installed in the car but also in such areas as in the home and office. However, since these kits are imported, packaged, and advertised with the accessories for vehicular installation, this office has determined that this merchandise is imported primarily for use in motor vehicles.
The applicable subheading for these satellite radio kits, the Sirius Jampack and the XM Combo Pack, will be 8527.21.4080, Harmonized Tariff Schedule of the United States (HTS), which provides for Reception apparatus for radiotelephony, radiotelegraphy or radiobroadcasting, whether or not combined, in the same housing, with sound recording or reproducing apparatus or a clock: Radiobroadcast receivers not capable of operating without an external source of power, of a kind used in motor vehicles, including apparatus capable of receiving also radiotelephony or radiotelegraphy: Combined with sound recording or reproducing apparatus: Other…Other. The rate of duty will be free.
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