K86585 K8 Ruling Active

The tariff classification of a Digital Video Broadcasting (DVB) Rocket from Ireland

Issued June 23, 2004 by U.S. Customs and Border Protection.

Tariff classification

HTS codes: 8517.50.9000

Headings: 8517

Product description

The merchandise is described in your letter as a Digital Video Broadcasting (DVB) Rocket. The DVB Rocket is an Internet Protocol (IP) to DVB encapsulator. It is a rack-mounted specialized device used to encapsulate Internet Protocol (IP) data packets into a DVB compliant transport stream, which outputs data at a rate of high-speed (usually up to 70Mbps). This equipment is connected in front of the outbound modulator. It provides high-speed connectivity to the Internet so people can review Internet content. This product does not provide two-way communication capabilities other than the ability to request information from the Internet, i.e. one cannot send e-mail or upload content to the Internet. The DVB Rocket receives IP signals from a satellite and converts them to DVB, which is then transmitted to a separate downstream broadcasting device. This rack-mounted device is manufactured in Ireland and shipped to Germany where an integrated circuit and software is installed. Afterwards, this device (DVB Rocket) is shipped into the United States. Within your letter, you asked how the imported item should be labeled/marked to satisfy country of origin requirements. This office does not feel that a substantial transformation occurs when the integrated circuit and software is installed into the DVB Rocket in Germany. Therefore, the manufacturer’s country of origin marking, originally labeled onto the DVB Rocket, is acceptable.

CBP rationale

The applicable subheading for the Digital Video Broadcasting (DVB) Rocket will be 8517.50.9000, Harmonized Tariff Schedule of the United States (HTS), which provides for “Electrical apparatus for line telephony or line telegraphy,… Other apparatus, for carrier-current line systems or for digital line systems: Other: Other.

Full text

NY K86585 June 23, 2004 CLA-2-85:RR:NC:MM:109 K86585 CATEGORY: Classification TARIFF NO.: 8517.50.9000 Mr. Russell Bruce Thornburg Russell Bruce Thornburg, CHB Atty in Fact for Computer Modules, Inc. 14636 Carmel Ridge Road San Diego, CA 92128 RE: The tariff classification of a Digital Video Broadcasting (DVB) Rocket from Ireland Dear Mr. Thornburg: In your letter dated May 18, 2004, you requested a tariff classification ruling on behalf of Computer Modules, Inc. The merchandise is described in your letter as a Digital Video Broadcasting (DVB) Rocket. The DVB Rocket is an Internet Protocol (IP) to DVB encapsulator. It is a rack-mounted specialized device used to encapsulate Internet Protocol (IP) data packets into a DVB compliant transport stream, which outputs data at a rate of high-speed (usually up to 70Mbps). This equipment is connected in front of the outbound modulator. It provides high-speed connectivity to the Internet so people can review Internet content. This product does not provide two-way communication capabilities other than the ability to request information from the Internet, i.e. one cannot send e-mail or upload content to the Internet. The DVB Rocket receives IP signals from a satellite and converts them to DVB, which is then transmitted to a separate downstream broadcasting device. This rack-mounted device is manufactured in Ireland and shipped to Germany where an integrated circuit and software is installed. Afterwards, this device (DVB Rocket) is shipped into the United States. Within your letter, you asked how the imported item should be labeled/marked to satisfy country of origin requirements. This office does not feel that a substantial transformation occurs when the integrated circuit and software is installed into the DVB Rocket in Germany. Therefore, the manufacturer’s country of origin marking, originally labeled onto the DVB Rocket, is acceptable. The applicable subheading for the Digital Video Broadcasting (DVB) Rocket will be 8517.50.9000, Harmonized Tariff Schedule of the United States (HTS), which provides for “Electrical apparatus for line telephony or line telegraphy,… Other apparatus, for carrier-current line systems or for digital line systems: Other: 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 Linda M. Hackett at 212-637-7048. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division

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