The tariff classification and status under the North American Free Trade Agreement (NAFTA), of solar light fixtures from Mexico; Article 509

NY K81623 December 23, 2003 CLA-2-94: RR:NC:2:127 K81623 CATEGORY: Classification TARIFF NO.: 9405.40.8000 Mr. Robert E. Burke Barnes, Richardson & Colburn 303 East Wacker Drive, Suite 1100 Chicago, Illinois 60601 RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), of solar light fixtures from Mexico; Article 509 Dear Mr. Burke: In your letter dated December 1, 2003, on behalf of Intermatic Incorporated, you requested a ruling on the status of solar light fixtures from Mexico under the NAFTA. The articles in question are identified as solar light fixtures manufactured in Mexico from materials produced in Mexico, the United States and China. The molded materials are made of plastic and molded in Mexico from plastic pellets. The solar panel is from the United States. The non-originating materials from China consists of two double A batteries, a battery holder and a printed circuit board assembly. You contend that the batteries are classified under subheading 8507.30, HTSUSA, the battery holder under subheading 8536.49, HTSUSA, and the printed circuit board assembly under subheading 8541.40, HTSUSA We agree that the batteries and holder are classified in Chapter 85 but disagree that the printed circuit board assembly is classified in subheading 8541.40, HTSUSA The printed circuit board assembly meets the definition of a printed circuit assembly as cited in Additional U.S Note 1 to Section XVI because it consists of an active element of 8541 (LED) attached to a printed circuit board of 8534. As such, it is beyond the scope of heading 8541 and its subheadings. We find that the printed circuit board assembly is described in heading 9405, HTSUSA, as parts of lamps not elsewhere specified or included. Accordingly, the printed circuit board assembly is classified in subheading 9405.92, HTSUSA. The applicable tariff provision for the solar light fixtures will be 9405.40.8000, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for other electric lamps and lighting fittings, other. The rate of duty will be 3.9 percent ad valorem. The printed circuit board assembly used to make the solar light fixtures will not satisfy the changes in tariff classification required under HTSUSA General Note 12(t)/94 unless it meets a regional value content of not less than 60% where the transaction value method is used or not less than 50% where the net cost method is used. The solar light fixtures will be entitled to a free rate of duty under the NAFTA upon compliance with all the applicable laws, regulations, and agreements. This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 CFR Part 181). 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 George Kalkines at 646-733-3028. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division