Internal Advice 06/91; Optical Transmitters And Receivers For Cable Television Systems

HQ 088973 July 10, 1991 CLA-2 CO:R:C:M 088973 CMS CATEGORY: Classification TARIFF NO.: 8525.10.20, 8525.20.60 8543.80.90 District Director of Customs 610 South Canal Street Chicago, IL 60607 RE: Internal Advice 06/91; Optical Transmitters And Receivers For Cable Television Systems Dear Sir: This is in response to your Request for Internal Advice No. 06/91 (MAN-1-CV:CH:CT310, JB), dated January 18, 1991, regarding the classification of certain cable television transmission and reception apparatus. FACTS: The merchandise consists of the Suminet Models 5630 and 8540 transmission and reception apparatus for cable television (CATV) systems. The apparatus receive optical CATV signals and retransmit the signals. The apparatus are available in pole mount, strand mount and rack mount types. The apparatus are capable of receiving and transmitting many types of television signals, including high definition (HDTV) signals. The merchandise is entered in three configurations, i.e., as transmission apparatus only, as reception apparatus only and as transmission apparatus incorporating reception apparatus. ISSUE: Is the merchandise classified as transmission apparatus and transmission apparatus incorporating reception apparatus for television in Heading 8525, or as electrical machines and apparatus, having individual functions, not specified or included elsewhere? -2- LAW AND ANALYSIS: The Harmonized Tariff Schedule of the United States Annotated (HTSUSA) provides that the classification of articles is governed by the General Rules of Interpretation (GRI's). GRI 1 states in pertinent part that "...classification shall be determined according to the terms of the headings and any relative section or chapter notes...". Heading 8525 in pertinent part describes transmission apparatus for television, whether or not incorporating reception apparatus. The Explanatory Notes to Heading 8525, p. 1374, provide that "...television apparatus falls here whether the transmission is by electro-magnetic waves or by line." The Explanatory Notes also provide at pp. 1374 and 1375 that Heading 8525 covers apparatus used to pick up a broadcast and retransmit it, and television transmitters for transmission by line. The merchandise under consideration which consists of transmission apparatus not incorporating reception apparatus is described by Heading 8525 and is classified in 8525.10.20, HTSUSA. The merchandise which consists of transmission apparatus incorporating reception apparatus is also described by Heading 8525 and is classified in 8525.20.60, HTSUSA. The reception apparatus under consideration which is not incorporated with transmission apparatus is not described by Heading 8525. Heading 8527 describes reception apparatus for radiotelephony, radiotelegraphy or radiobroadcasting but does not describe reception apparatus for television. Heading 8525 treats apparatus for television separate from apparatus for radiotelephony, radiotelegraphy or radiobroadcasting, and the classification of the merchandise under consideration in Headings 8527 or 8517 is thus inappropriate. The pole mount, strand mount or rack mount reception apparatus under consideration is also not classified in Heading 8528 because it does not meet the common meaning of the term "television receivers" described by Heading 8528. The reception apparatus is described by Heading 8543 as electrical machines and apparatus, having individual functions, not specified or included elsewhere, and is classified in 8543.80.90, HTSUSA. HOLDING: The merchandise under consideration which consists of transmission apparatus for television not incorporating reception apparatus is classified in 8525.10.20, HTSUSA. The merchandise which consists of transmission apparatus for television -3- incorporating reception apparatus is classified in 8525.20.60, HTSUSA. The merchandise which consists of reception apparatus for television not incorporated with transmission apparatus is classified as electrical machines and apparatus, having individual functions, not specified or included elsewhere, in 8543.80.90, HTSUSA. The internal advice applicant should be advised of this decision. Sincerely, John Durant, Director Commercial Rulings Division