United States International Trade Commision Rulings And Harmonized Tariff Schedule
faqs.org  Rulings By Number  Rulings By Category  Tariff Numbers
faqs.org > Rulings and Tariffs Home > Rulings By Number > 1993 HQ Rulings > HQ 0950524 - HQ 0950713 > HQ 0950623

Previous Ruling Next Ruling



HQ 950623


December 23, 1991

CLA-2 CO:R:C:M 950623 AJS

CATEGORY: CLASSIFICATION

TARIFF NO.: 8543.80.90

Michael A. Hertzberg, Esq.
Howrey & Simon
Attorneys at Law
1730 Pennsylvania Ave., N.W.
Washington, D.C. 20006-4793

RE: Reconsideration HQ 089869; Ferrite head cores; Magnetic recording heads; apparatus; ITT Thompson Industries, Inc., v. U.S.; The Deseret Co., v. U.S.; Subheading 8543.90.80; Chapter 84, note 1(b); Subheading 8504.90.00; ENs 85.04 (II)(A)-(D).

Dear Mr. Hertzberg:

This is in reply to your letter of November 1, 1991, requesting reconsideration of HQ 089869 (10/16/91), which addressed the tariff classification of ferrite head cores imported by Hitachi Metals America (HMA).

FACTS:

The subject merchandise is a small, rectangular or square article of ferrite, engineered to exacting tolerances for use in the assembly of magnetic recording heads for products such as computer disk and tape drives, videocassette recorders, and tape recorders. A large majority of these ferrite cores, sold by HMA, are used to assemble magnetic heads for computer disk and tape drives. They are used to convert electrical energy into magnetic energy so that a magnetic head can "write" onto a magnetic tape or disk, and convert magnetic energy into electrical energy so that a magnetic head can "read" from a magnetic tape or disk.

The production of the ferrite core begins with the manufacture of the base ferrite material. This base material may be in the form of a disk, block, or plate. It is machined into

"C" and "I" shaped bars and then coated ("sputtered") with a fine layer of metallic material and glass. The two sputtered bars are joined and bonded in glass so that non-magnetically permeable gaps are created at the contact points between the two bars. These gaps are essential to the function of the magnetic recording heads. The bonded ferrite bar is machined and sliced to form the ferrite cores. After importation, the cores are inserted into a ceramic housing known as a "composite slider" which are then assembled into magnetic recording heads.

ISSUE:

Whether the ferrite cores are properly classifiable within subheading 8543.80.90, Harmonized Tariff Schedule of the United States (HTSUS), which provides for "other" electrical machines and apparatus which have individual functions and are not specified or included elsewhere in this chapter; or within subheading 8543.90.80, HTSUS, which provides for "other" parts of the machines and apparatus of this heading; or within subheading 8504.90.00, HTSUS, which provides for "parts" of static converters.

LAW AND ANALYSIS:

In HQ 089869, Customs classified the subject cores in subheading 8543.80.90, HTSUS. You object to this classification claiming that the subject cores are not themselves machines or apparatus. The term "apparatus" is intended to encompass a group of devices or a collection or set of materials, instruments or appliances to be used for a particular purposes or a given end. ITT Thompson Industries, Inc. v. United States, 3 CIT 36, 44, 537 F. Supp. 1272, 1277-78, aff'd 703 F. 2d 585 (Fed. Cir. 1982). See also The Deseret Co., v. United States, 10 CIT 609, 611 (1986). The subject ferrite cores satisfy this description. They are a collection of ferrite material formed into a disk, block or plate which is machined into a bar and then coated with a fine layer of metallic material and glass. This coating is essential for creating the gaps which are required for the functioning of magnetic recording heads, and also to seal the finished cores. Furthermore, these cores are used in magnetic recording heads for the particular purpose of converting electric energy into magnetic energy and vice versa. Accordingly, the subject cores satisfy the terms of subheading 8543.80.90, HTSUS, and are classifiable therein.

Subheading 8543.90.80, HTSUS, provides for "other" parts of electrical machines and apparatus which have individual functions. You claim that the subject cores satisfy the terms of
this subheading. However, the cores are not a "part" of a machine or apparatus classifiable within heading 8543, HTSUS. They are combined with a composite slider to form a part of a magnetic recording head, which is itself classifiable within heading 8473, HTSUS. As stated in HQ 089869, the subject cores cannot be classified as parts of magnetic recording heads because they are excluded from this heading by the application of chapter 84, note 1(b). Therefore, the ferrite cores are not properly classifiable as an "other" part within subheading 8543.90.80, HTSUS.

You also ask that we reconsider our exclusion of the subject cores from classification within subheading 8504.90.00, HTSUS, which provides for parts of static converters. Heading 8504, HTSUS, provides for "static converters". The Harmonized Commodity Description and Coding System Explanatory Notes (ENs) to heading 85.04 state that the term "static converters" includes certain rectifiers, inverters, alternating current converters, cycle converters and direct current converters. ENs 85.04 (II) (A)-(D), p. 1338 (1991). In HQ 089869, we stated that the ferrite cores do not operate on any of the principles of these devices, and therefore are not classifiable within heading 8504, HTSUS. You argue that the subject cores do operate on the same principles as these devices, but offer no new evidence to substantiate this claim. Therefore, we continue to adhere to our conclusion regarding this issue.

HOLDING:

The ferrite cores are classifiable within subheading 8543.80.90, HTSUS, which provides for "other" electrical machines and apparatus that have an individual function and which are not specified or included elsewhere in this chapter. HQ 089869 is affirmed.

Sincerely,

John Durant, Director
Commercial Rulings Division

Previous Ruling Next Ruling