CLA-2-85:OT:RR:NC:N1:112

Darrell G. Toth
Vice President
Quality Customs Broker, Inc.
615 N Edgewood Ave
Wood Dale, IL 60191

RE: The tariff classification of LED messaging signs from China

Dear Mr. Toth:

In your letter dated March 7, 2013, you requested a tariff classification ruling on behalf of your client, Adaptive Micro Systems.

The items concerned are referred to as indoor messaging LED signs. There are there models concerned.

The first model is the Betabrite Prism LED Message Center. This item measures 65.7cm long by 9.7cm high by 2.3cm deep. It incorporates 3-in-one RGB LED pixels. The LEDs are arranged in 80 columns by 7 rows. The display has a memory of 16,000 characters. 65 different messages can be stored and displayed (or date scheduled). There are 26 styles/modes of message display options, including scroll, roll (6 directions), rotate, compressed rotate, wipe, starburst, flash, etc. It has built in animations such as Welcome, sale, news flash, happy 4th, open, closed, thank you, American flag, no smoking, fish swimming, fireworks, etc.

The second model is the Betabrite Classic LED message display. This item measures 25.8 inches long by 2 inches deep by 3.8 inches high. It incorporates red, amber and green LED pixels. The LEDs are arranged in 80 columns by 7 rows. The display has a memory of 30,000 characters. 65 different messages can be stored and displayed. There are 26 styles/modes of message display options, including scroll, roll (6 directions), rotate, condensed rotate, wipe, starburst, flash, etc. It has built in animations such as Cherry-bombs exploding, don’t drink and drive, fireworks, slot machine, running animal, moving auto, sale, news flash, fish swimming, etc.

The third model is the Betabrite Window LED Display. This LED display is available in six different sizes, ranging from 9.1 inches by 40.6 inches to 21.6 inches by 53.5 inches. They use either RGB or monochrome red LED pixels. The submitted literature states that these units are used as advertising signs.

You have proposed classification of all of the above mentioned units/models within subheading 8531.20.0040, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Electric sound or visual signaling apparatus…: Indicator panels…: Other.” The indicator panels covered under that subheading would have to be limited by design, function or principal use to that of “signaling”. These panels are not limited to signaling, they are capable of displaying a substantial amount of text. In addition it is evident by the submitted literature that these message centers or LED signs may be used for advertising purposes. Electric advertising signs are excluded from classification within heading 8531 by the explanatory notes for that heading. Based on the extensive capabilities of these LED displays and the lack of design limitations which would limit their use to that of signaling, classification within heading 8531 is not applicable. (Please see HQ 964331).

The applicable subheading for the all of the items concerned, (the Betabrite Prism LED Message Center, the Betabrite Classic LED message display and the Betabrite Window LED Display) will be 8543.70.9200, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Electrical machines and apparatus...: Other machines and apparatus: Other: Other: …flat panel displays…”. 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 the National Import Specialist at (646) 733-3008.

Sincerely,

Thomas J. Russo
Director
National Commodity Specialist Division