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April 12, 2006 CBP Bulletin Notices on Certain Medallion, Radiotelephony Cabinet and Noise-Limiting Hood

In the April 12, 2006 issue of the U.S. Customs and Border Protection Bulletin (CBPBulletin) (Vol. 40, No. 16), CBP issued notices: (a) proposing to revoke a classification ruling on a certain base metal medallion, and (b) revoking two classification rulings on a radiotelephony base station cabinet and a noise-limiting hood.

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With respect to the medallion, CBP states that it is also proposing to revoke any treatment it has previously accorded to substantially identical transactions. With respect to the radiotelephony cabinet and noise-limiting hood, CBP states that the revocations are effective for subject merchandise entered or withdrawn from warehouse for consumption on or after June 12, 2006. CBP also states that these notices cover any rulings on the subject merchandise that may exist but have not been specifically identified.

CBP states that any party who has received a contrary ruling or decision on the merchandise subject to the proposed ruling, or any party involved with a substantially identical transaction, should advise CBP by May 13, 2006, the date that written comments on the proposed ruling are due. Furthermore, CBP states that an importer's failure to advise CBP of such rulings, decisions, or substantially identical transactions may raise issues of reasonable care on the part of the importer or its agent for importations subsequent to the effective date of the final decision in this notice.

Proposed Revocation of One Classification Ruling

Certain base metal medallion. At issue is an award medallion made mainly of lead that is approximately two inches in diameter with the designation Scholar ARCS Foundation, Inc. on its surface. CBP notes that it is given to award recipients and worn only at ceremonies.

CBP is proposing to issue HQ 968149 in order to revoke NY 894287, and reclassify the subject medallion under HTS 7117.19.9000, as imitation jewelry: of base metal, whether or not plated with precious metal: other: other: other; rather than under 7806.00.0000, as other articles of lead.

CBP finds that NY 894287 is incorrect; it now argues that the medallion is "imitation" jewelry" as the medallion is worn as personal adornment and does not incorporate precious metal or metal clad with precious metal, natural or cultured pearls, or precious or semi-precious stones.

Among other things, CBP contends that the medallion meets the terms of HTS heading 7117 (as imitation jewelry) and the conditions of Legal Note 11 to Chapter 71 because it is an article of personal adornment that does not incorporate precious metal or metal clad with precious metal, natural or cultured pearls, or precious or semi-precious stones.

In addition, Explanatory Note (EN) 78.06 explains that heading 7806 covers all lead articles not included in the preceding headings of [Chapter 78], or in Chapter 82 or 83, or more specifically covered elsewhere. CBP finds that the medallion is precluded from classification under HTS 7806 as it is specifically described in HTS 7117, as imitation jewelry.

proposed: HTS 7117.19.9000, 11%; current: 7806.00.0000, 3%.

Revocation of Two Classification Rulings

Radiotelephony base station cabinet and a noise-limiting hood. At issue are two separate items: a radiotelephony base station cabinet and a noise-limiting hood. The cabinet-which contains an empty rack and is made up of doors, mounting sets, an earthing set, nuts, screws, and angle bars-is designed for placement outdoors and is used to house all of the necessary radiotelephonic equipment necessary for cellular phones to operate.

The noise-limiting hood is constructed from aluminum that is coated with a sound absorbent polyurethane plastic and also includes small stainless steel brackets that are used for installation. Its function is to reduce the noise level of the operating radio base station by approximately 10 decibels and is designed exclusively for use within a radiotelephonic base station.

CBP is issuing HQ 967961 and HQ 967960 in order to revoke NY R00933 and NY R02586, respectively, and reclassify subject merchandise under HTS 8529.90.8600, which provides for "Parts suitable for usesolely orprincipally with the apparatus of headings 8525 to 8528: other parts of articles of headings 8525 and 8527, except parts of cellular telephones: other;" rather than under HTS 9403.10.0040 and 9403.90.8040, which provide for other furniture and parts thereof, etc.

According to CBP, EN 1(g) to Chapter 94, states in pertinent part, that Chapter 94 does not cover "furniture specifically designed as part of apparatus...of HTS headings 8525 to 8528 (heading 8529)." As the subject cabinet is clearly intended to house cellular telephone equipment, which is classified as radiotelephony equipment in HTS heading 8525, CBP states that this cabinet is principally used with the apparatus of heading 8525.

With respect to the noise-limiting hood, CBP states that it is not a part of furniture since it is used within a radio base station cabinet and is used exclusively with radiotelephonic equipment included in heading 8525.

Therefore, in accordance with General Rule of Interpretation (GRI) 1, CBP is reclassifying the subject cabinet and noise-limiting hood under HTS 8529.

new: HTS 8529.90.8600, duty-free; previous: 9403.10.0040 and 9403.90.8040, duty-free.

(See ITT's Online Archives or 02/13/06 news, 06021345, for BP summary of the proposed revocations on the subject merchandise.)

April 12, 2006 CBP Bulletin (Vol. 40, No. 16) available athttp://www.cbp.gov/xp/cgov/toolbox/legal/bulletins_decisions/bulletins_2006/vol40_04122006_no16/