Protest 0901-91-170093; Dispatcher control system; item684.58; HQ 087984; HQ 085404; Fanon Electronic Industries, Inc.v. U.S.

HQ 950523 February 27, 1992 CLA-2 CO:R:C:M 950523 AJS CATEGORY: Classification TARIFF NO.: 685.33 District Director U.S. Customs Service 111 West Huron Street Buffalo, NY 14202 RE: Protest 0901-91-170093; Dispatcher control system; item 684.58; HQ 087984; HQ 085404; Fanon Electronic Industries, Inc. v. U.S. Dear District Director: Protest for further review number 0901-91-170093, dated March 28, 1991, was filed against the tariff classification of the "Dispatcher Console System" (DCS) within item 684.58, Tariff Schedules of the United States (TSUS). FACTS: The DCS is a component of a mobile data communications terminal (MDT) system. This system enables field personnel to communicate with a base office by use of a radio link. The DCS receives and transmits information via radio to police, taxis, sales representatives and other field personnel. ISSUE: Whether the subject DCS is properly classifiable within item 684.58, TSUS, which provides for "[t]elephone sets and other terminal equipment and parts thereof."; or classifiable within item 685.33, TSUS, which provides for "other" radio- telegraphic and radiotelephonic transmission and reception apparatus. LAW AND ANALYSIS: Item 685.33, TSUS, provides for "other" radiotelegraphic and radiotelephonic apparatus. In HQ 085404 (7/20/90) and HQ 087984 (9/11/91), Customs ruled that MDTs are classifiable as -2- radiotelegraphic and radiotelephonic apparatus. The DCS is a component of the MDT system. It receives and transmits information via radio. Accordingly, the DCS is properly classifiable within item 685.33, TSUS, as "other" radio- telegraphic and radiotelephonic apparatus. Item 684.58, TSUS, provides for telephone sets and terminal equipment. In order for an article to be classified as telegraph or telephone apparatus, it must be for transmission via wire. Fanon Electronic Industries, Inc. v. United States, 65 Cust. Ct. 542 (1970). As stated previously, the DCS is for transmission via radiotelegraphy and radiotelephony. Therefore, the DCS is not classifiable within item 684.58, TSUS. HOLDING: The Dispatcher Console System is classifiable within item 685.33, TSUS, which provides for "other" radiotelegraphic and radiotelephonic transmission and reception apparatus. You should grant the protest in full. A copy of this decision should be attached to the Customs Form 19 and provided to the protestant as part of the notice of action on the protest. Sincerely, John Durant, Director Commercial Rulings Division