Ms. Charlotte G. Falla
100 Winchester Circle
Los Gatos, CA 95032
RE: The tariff classification of a non-screened transmission device as well as related components imported with and without this device from China.
Dear Ms. Falla:
In your letter dated October 18, 2007, you requested a tariff classification ruling.
The subject merchandise, based on the submitted information, consists of a non-screened transmission device, which is referred to as a “set-top box,” that contains neither a tuner nor a modem. It does incorporate the following parts: a main logic board, an NXP 8532 processor, a Wi-Fi antenna and several input/output connections, such as an RJ-45 Ethernet, a HDMI for digital video and an analog component video. This device will also be imported with an 802.11g radio card, an infrared remote control, a 5-volt power adapter, two AAA batteries, an instruction sheet, an eggshell tray, and a fitted case. It is noted that this merchandise does not incorporate a hard drive and does not have any recording or reproducing capability.
It is stated that this device is used to transmit data from Netflix servers to the end user’s television set, noting also its capability of being connected to an AV receiver. This process begins when the user logs on to the Netflix Web site
and then chooses a movie to be viewed. This movie, which is stored on the Netflix server, is transmitted as data from the Internet to the customer’s existing router (either incorporating a modem or connected to a modem). This transmission device, which is connected to the customer’s television set by a cable, receives the data stream from the router through the use of an Ethernet connection or a wireless 802.11g radio card, and then converts the data to video and audio streams, which can be viewed on a television set. Since this transmission device does not have the capability to allow the customer to have direct access to the Internet, it is not considered to be a set top box with a communication function for tariff classification purposes.
When this transmission device is retail packed, at the time of importation, with the above components, it is considered to be a set for tariff classification purposes with the essential character being imparted by the transmission device.
The applicable subheading for this transmission device, retail-packed with the above components, will be 8525.50.30, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Transmission apparatus for radio-broadcasting or television, whether or not incorporating reception apparatus or sound recording or reproducing apparatus; television cameras, digital cameras and video camera recorders: Transmission apparatus: Television: Other. The general duty rate will be 1.8 percent ad valorem.
It is stated that the following merchandise will also be imported separately as spare components for use with the above device:
a 5-volt power adapter with alternating current going in and direct current going out at a rate of 7.8 watts;
an infrared remote control;
a HDMI cable (project number SSR-72841), an Ethernet cable (project number SSR-72842), an audio cable and a composite cable (project number SSR-72844) with two-pin and three-pin connectors, respectively, and a component cable (project number SSR-72845).
The applicable subheading for the 5-volt power adapter will be 8504.40.9510, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Electrical transformers, static converters (for example, rectifiers) and inductors; parts thereof: Static converters: Other: Rectifiers and rectifying apparatus: Power supplies: With a power output not exceeding 50 W. The rate of duty will be 1.5 percent ad valorem.
The applicable subheading for the infrared remote control will be 8543.70.9650, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Electrical machines and apparatus….: Other machines and apparatus: Other: Other: Other: Other. The rate of duty will be 2.6 percent ad valorem.
The applicable subheading for the above cables (project numbers SSR-72841, SSR-72844, and SSR-72845), excluding the Ethernet cable (project number SSR-72842), will be 8544.42.9000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Insulated wire, cable and other insulated electric conductors, whether or not fitted with connectors…: Other electric conductors, for a voltage not exceeding 1,000 V: Fitted with connectors: Other: Other. The rate of duty will be 2.6 percent ad valorem.
The applicable subheading for the Ethernet cable, project number SSR-72842, will be 8544.42.2000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Insulated wire, cable…: Other electric conductors, for a voltage not exceeding 1,000 V: Fitted with connectors: Other: Of a kind used for telecommunications. The rate of duty will be Free.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at http://www.usitc.gov/tata/hts/.
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 Lisa Cariello at 646-733-3014.
Robert B. Swierupski