The tariff classification and status under the North American Free Trade Agreement (NAFTA), of certain printed circuit assemblies for power supplies from Canada; Article 509

NY D84215 November 24, 1998 CLA-2-85:RR:NC:MM:109 D84215 CATEGORY: Classification TARIFF NO.: 8504.40.95 Mr. Bruce H. Leeds (SC/S41/A373) Senior Export/Import Advisor Hughes Space and Communications Company P.O. Box 92919 Los Angeles, CA 90009-2919 RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), of certain printed circuit assemblies for power supplies from Canada; Article 509 Dear Mr. Leeds: In your letter dated October 26, 1998 you requested a ruling on the status of certain printed circuit assemblies for power supplies from Canada under the NAFTA. There are five printed circuit assemblies (PCAs) described in your letter as part numbers 7949778, 7949778-001, 7968040-001, 7949770-001, and 7949770-003. These are described in your letter as printed circuit boards populated with active and discrete components. The PCAs will be combined with other electrical and mechanical components and subassemblies to make up power supplies used in the electrical power system of a commercial communications satellite. Components and printed circuit boards, some of which have been partially populated in the United States, are exported from the United States to Canada. Your letter indicates that the origin of certain of these exported components and subassemblies is the United States, while other components are of foreign origin. Final assembly of the PCAs is done in Canada before being returned to the United States. Detailed information on the type of components, origin of components, and assembly operations in the United States and Canada were submitted for each board. The PCAs have the essential character of static converters at the time they are imported from Canada. The applicable tariff provision for part numbers 7949778, 7949778-001, 7968040-001, 7949770-001, and 7949770-003 will be 8504.40.95, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for "[s]tatic converters: [o]ther." The general rate of duty will be 1.8 percent ad valorem. Each of the non-originating materials used to make these PCAs has satisfied the changes in tariff classification required under HTSUSA General Note 12(t)/85.6(A). Part numbers 7949778, 7949778-001, 7968040-001, 7949770-001, and 7949770-003 will be entitled to a free rate of duty under the NAFTA upon compliance with all applicable laws, regulations, and agreements. This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181). This ruling letter is binding only as to the party to whom it is issued and may be relied on only by that party. 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 Eileen S. Kaplan at 212-466-5673. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division