CLA-2-85:RR:NC:1:108 I85746
Ms. Cheryl Santos
CVS
One CVS Drive
Woonsocket, RI 02895
RE: The tariff classification of a Karaoke machine from China
Dear Ms. Santos:
In your letter dated August 23, 2002 you requested a tariff classification ruling.
The item in question is marketed as the “Nu-Tronix Karaoke for Kids Machine”. It is denoted as CVS model number 159678.
The Karaoke machine is battery operated and is configured, in the same housing with a cassette player/recorder. It is packaged for retail sale (sample submitted) along with two pre-recorded audiocassette tapes, lyric sheets and instruction booklet and a microphone.
The Karaoke machine is designed as a sing-a-long device using both the pre-recorded cassette tapes or by one’s own vocal rendition of a popular song and the cassette player/recorder allows one to both play and record cassette tapes separate from the sing-a-long capability. The device does have a volume control, separate controls for each function and internal speakers. It is a fully functional electronic device with several capabilities.
EN X to GRI 3b provides for the purpose of this rule, the term “goods put up in sets for retail sale” shall be taken to mean goods which:
Consist of at least two different articles, which are, prima facie, 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 to users without repackaging (e.g. in boxes or cases or on boards).
All the aforementioned articles are prima facie classifiable in different headings. Together each enables one to use the Karaoke machine for its intended purpose of sing-a-long to pre-recorded music and also to play and record music and audio renditions of music. The enclosed retail sample is clear evidence that the product will be sold to the user without any repackaging. It is the opinion of this office that the Nu-Tronix Karaoke for Kids Machine and its accompanied items constitute a set in accordance with Explanatory Note X.
In accordance, in part, with GRI 3b … goods put up in sets for retail sale, which cannot be classified by reference to GRI 3a, shall be classified as if they consisted of the material or component which gives them their essential character.
EN VIII to GRI 3b states that the factor, which determines essential character, will vary as between different kinds of goods. It may for example, be determined by the nature of the material or component, its bulk, quantity, weight or value, or by the role of a constituent material in relation to the goods.
It is the opinion of this office that the item which imparts the essential character of this particular set is the Karaoke machine, combined in the same housing with a cassette player/recorder. This item is clearly the dominant feature of the set based upon its value and role in relation to the other items within the set.
GRI 2b states that if a product is a mixture or combination of materials or substance that are, prima facie, classifiable in two or more headings, then GRI 3 applies. This office is of the opinion that the Karaoke device is a composite good because it is composed of both a sound reproducing device and a sound recording device. It will therefore be classified in accordance with GRI 3.
GRI 3b provides that mixtures, composite goods consisting of different materials or made up of different components, shall be classified as if they consisted of the material component, which gives them their essential character.
Based upon the nature and operation of this particular Karaoke device this office is of the opinion that neither the sound reproducing capability nor the sound recording capability imparts the essential character. The device is configured with controls for each function allowing each to operate independently based upon the user’s discretion. It is advertised, on the retail packaging as children’s sing-along tape player and recorder. Therefore classification will be in accordance with GRI 3c which states when goods cannot be classified by reference to 3a or 3b; they shall be classified under the heading which occurs last in numerical order among those which merit equal consideration.
Legal Note 6 to Chapter 85 requires, in part, that records, tapes and other media of heading 8523 or 8524 remain classified in those headings when entered with the apparatus for which they are intended. For the purposes of this note, the term “apparatus for which they are intended” refers to apparatus which reads or plays the media or which records or writes on the media. The functioning of the Karaoke device combined with a cassette player/recorder, clearly demonstrates that it qualifies as an intended apparatus for the purpose of Legal Note 6 to Chapter 85. Therefore the contained recorded cassette tapes will remain classified in their particular heading.
The applicable subheading for the Nu-Tronix Karaoke for Kids set will be 8520.33.9000, Harmonized Tariff Schedule of the United States (HTS), which provides for Magnetic tape recorders and other sound recording apparatus, whether or not incorporating a sound reproducing device: Other magnetic tape recorders incorporating sound reproducing apparatus: Other, cassette type … Other: Other. The rate of duty will be free.
The applicable subheading for the two pre-recorded cassette tapes will be 8524.51.3040, Harmonized Tariff Schedule of the United States (HTS), which provides for records, tapes and other recorded media for sound or other similarly recorded phenomena, including matrices mad masters for the production of records, but excluding products of chapter 37: Other magnetic tapes: Of a width not exceeding 4mm: Other … Sound recordings on cassette tapes. The rate of duty will 4.8cents/sq. meter of recording surface.
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.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division