CLA-2-85:S:N:N1:109 886781

TARIFF NO: 8542.11.00

Mr. S. Wolfram
Giesecke & Devrient Systems L.P.
1 Griffon Plaza
11419 Sunset Hills Road
Reston, VA 22090

RE: The tariff classification of Smart Cards from Germany

Dear Mr. Wolfram:

In your letter dated May 14, 1993, you requested a tariff classification ruling. The subject merchandise, identified in the submitted literature as smart cards, contains a processor chip imbedded in the card that enables them to perform a much broader set of functions than the typical magnetic stripe card. The cards are key components in a system that provides for the authorized electronic transfer of spare parts purchasing and usage data between the importer's office and that of his customer.

The applicable subheading for the Smart Card will be 8542.11.00, Harmonized Tariff Schedule of the United States (HTS), which provides for "[m]onolithic integrated circuits," free of duty.

This ruling is being issued under the provisions of Section 177 of the Customs Regulations (19 C.F.R. 177).

A copy of this ruling letter should be attached to the entry documents filed at the time this merchandise is imported. If the documents have been filed without a copy, this ruling should be brought to the attention of the Customs officer handling the transaction.

Sincerely,

Jean F. Maguire
Area Director
New York Seaport