Tariff classification of two cellular telephone sets from Korea.
Issued April 19, 2000 by U.S. Customs and Border Protection.
Tariff classification
HTS codes: 8525.20.9070
Headings: 8525
GRI rules applied: GRI 1, GRI 3
Product description
Both cellular phone sets consist of a cellular mobile phone, a cellular telephone battery, a battery charger, a head set consisting of an earphone and microphone assembly, user guide, a spare cover for the phone and a DC travel charger. Classification of merchandise under the Harmonized tariff Schedule of the United States (HTSUS) is governed by the General Rules of Interpretation (GRIs) taken in order. GRI 1 provides that the classification is determined first in accordance with the terms of the headings and any relative section and chapter notes. If GRI 1 fails to classify the merchandise and if the heading and legal notes do not otherwise require the remaining GRIs is applied, taken in order. In considering the classification of the Nokia Cellular Retail sets, we note that no one subheading fully describes the articles. Therefore, the article cannot be classified in accordance with GRI 1. Since the article is made up of two or more components that if imported separately would be classified under different subheadings, we refer to GRI 3 to classify the Nokia Cellular Retail sets. GRI 3 (a) provides that a composite article is to be classified in the heading that provides the most specific description. When two or more headings each refer to part only of the materials or substances contained in a set put up for retail sale, those headings are to be regarded as equally specific in relation to those goods, even if one of them gives a more complete or precise description of the goods. Since the description of the various components is equally specific the sets cannot be classified under GRI 3 (a). Accordingly, we must next consider the classification of the item under GRI 3 (b) that covers, among other things, a set put up for retail sale. Sets put up for retail sale under GRI 3 (b) are classified as if they consisted of the component that gives them their essential character. Essential character may be determined by the nature of the component, its bulk, quantity, we
CBP rationale
the applicable subheading for both Nokia Cellular Retail sets (5190, 6120) will be 8525.20.9070, Harmonized Tariff Schedule of the United States (HTS), which provides for Transmission apparatus for radiotelephony, radiotelegraphy, radio broadcasting or television, whether or not incorporating reception apparatus or sound recording or reproducing apparatus; television cameras; still image video cameras or other video camera recorders: Transmission apparatus incorporating reception apparatus: Other: Other radio telephones designed for the Public Cellular Radio Telecommunication Service: Other.
Full text
NY F85401 April 19, 2000 CLA285: RR:NC:1:108 F85401 CATEGORY: Classification TARIFF NO.: 8525.20.9070 Ms. Sandra Petty Nokia Mobile Phones 5650 Alliance Gateway Fort Worth, Texas 76178 RE: Tariff classification of two cellular telephone sets from Korea. Dear Ms. Petty; In your letter dated March 24, 2000, you requested a tariff classification ruling. The samples provided are Nokia Cellular Retail sets 5190 and 6120. Both cellular phone sets consist of a cellular mobile phone, a cellular telephone battery, a battery charger, a head set consisting of an earphone and microphone assembly, user guide, a spare cover for the phone and a DC travel charger. Classification of merchandise under the Harmonized tariff Schedule of the United States (HTSUS) is governed by the General Rules of Interpretation (GRIs) taken in order. GRI 1 provides that the classification is determined first in accordance with the terms of the headings and any relative section and chapter notes. If GRI 1 fails to classify the merchandise and if the heading and legal notes do not otherwise require the remaining GRIs is applied, taken in order. In considering the classification of the Nokia Cellular Retail sets, we note that no one subheading fully describes the articles. Therefore, the article cannot be classified in accordance with GRI 1. Since the article is made up of two or more components that if imported separately would be classified under different subheadings, we refer to GRI 3 to classify the Nokia Cellular Retail sets. GRI 3 (a) provides that a composite article is to be classified in the heading that provides the most specific description. When two or more headings each refer to part only of the materials or substances contained in a set put up for retail sale, those headings are to be regarded as equally specific in relation to those goods, even if one of them gives a more complete or precise description of the goods. Since the description of the various components is equally specific the sets cannot be classified under GRI 3 (a). Accordingly, we must next consider the classification of the item under GRI 3 (b) that covers, among other things, a set put up for retail sale. Sets put up for retail sale under GRI 3 (b) are classified as if they consisted of the component that gives them their essential character. Essential character may be determined by the nature of the component, its bulk, quantity, weight or value, or by the role of a constituent material in relation to the use of the article. In considering all these factors we have concluded that the cellular telephones give the essential character to the sets’ performance of the functions for which they were designed. Accordingly, the applicable subheading for both Nokia Cellular Retail sets (5190, 6120) will be 8525.20.9070, Harmonized Tariff Schedule of the United States (HTS), which provides for Transmission apparatus for radiotelephony, radiotelegraphy, radio broadcasting or television, whether or not incorporating reception apparatus or sound recording or reproducing apparatus; television cameras; still image video cameras or other video camera recorders: Transmission apparatus incorporating reception apparatus: Other: Other radio telephones designed for the Public Cellular Radio Telecommunication Service: Other. The rate of duty will be free. 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 212-637-7039. Sincerely, Robert B. Swierupski Director National Commodity Specialist Division
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