CLA-2-84:OT:RR:NC:1:104
Ms. Judy Joy
Datacard Corporation
11111 Bren Road West
Minnetonka, MN 55343
RE: The tariff classification of a Datacard GV500 Card Personalization and Attacher System from the United States
Dear Ms. Joy:
In your letter dated January 6, 2010 you requested a tariff classification ruling.
The system at issue is referred to as a Datacard GV500 Card Personalization and Attacher System. The production line is a series of interconnected modules that encode and personalize paper or plastic products and attach these products to a carrier at high speed. This system is also referred to by the industry as Card Personalization or Card Issuance. The system takes previously created gift, credit or loyalty cards and encodes magnetic stripes or create barcodes with information that allows financial transactions. It handles a wide range of formats, including flat or folded sheets, signatures, brochures, booklets, leaflets and envelopes. The Datacard GV500 system combines printing and encoding with the ability to affix a product such as cards, coins, keys, sample packets, etc. to a host document. The entire system is connected by a high powered cable from a main power panel which is wired as per the customer’s requirements. The print finishing system is used to create products for the financial, retail, bindery/fulfillment, gift card and greeting card markets.
The complete system, as described in your request, consists of the following fifteen modules:
(1) The Infeed Module feeds small carriers up to 11 x 17 sized sheets. The system pulls the carrier through the system and aligns it for downstream processes.
(2) The Scoring System places a score in unscored carriers to promote better folding.
(3) The CR80 Card Feeder applies CR80 pre-printed plastic cards on a carrier based on timers and sensors set up in the control system.
(4) The Variable Feeder (VF3) applies pre-printed carriers up to 4 x 6 in based on timers and sensors set up in the control system.
(5) A Mechanical Folder mechanically folds the carrier based on different settings of mechanical plows.
(6) The Cold Pattern Glue/Pressure Roller applies wet glue to the carrier in specified places and the pressure roller applies pressure to secure the glue.
(7) The Nordson Hot Melt Glue System units are supplied by an OEM and are mounted to the equipment brackets created by the importer. The system uses hot glue that is heated and then injected onto the host document by a glue gun.
(8) A Bridge Mount Magnetic Stripe Encoder Module is engineered to encode and read magnetic stripes at speeds up to 30,000 cards per hour.
(9) A UV Cured DOD Injet Printer and Drier Module can print at a maximum DPI of 524 x 316. It can consist of up to (4) 1.2 in print heads or (2) 2.4 in print heads on a typical configuration. The correct UV curing platform and lamps are integrated into the Datacard transport with a positive air-flow tunnel assembly designed for optimum temperature regulation and ventilation.
(10) A Bar Code Verification System provides in-line bar code ANSI grading and it can be sorted based on grading parameters set by the operator via a controller and the bar code decoding is verified against the production database.
(11) The Label Applicator offers precise placement at rates of 50,000 labels per hour. It can place scratch-off, activation, terms and conditions or double–sided labels up to 125,000 labels.
(12) The Batch Label Printer prints various types of production labels at rates in excess of 50,000 labels per hour.
(13) A Camera Verification System that provides product management and verifies print quality, variable data, label placement, read and print functionality, and version verification.
(14) A Divert Module diverts cards that do not meet quality parameters into a bin below the unit.
(15) A Delivery Module stacks the product in bundles that can easily be removed.
As stated in your ruling request, the above described system can be configured to meet a customer’s specific production requirements.
The applicable subheading for the Datacard GV500 Card Personalization and Attacher System, when imported in its complete form as described in your submission, will be 8479.89.9899, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Machines and mechanical appliances having individual functions, not specified or included elsewhere in this chapter, parts thereof: Other machines and mechanical appliances: Other: Other … Other. The general rate of duty will be 2.5 percent ad valorem.
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 Patricia O’Donnell at (646) 733-3011.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division