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August 6, 2008 CBP Bulletin Notice on Classification of USB and Ethernet Cables

In the August 6, 2008 issue of the U.S. Customs and Border Protection Bulletin (Vol. 42, No. 33), CBP published a notice proposing to revoke a classification ruling and revoke a treatment as follows:

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Proposed revocation of ruling; proposed revocation of treatment. CBP is proposing to revoke a ruling on the classification of a USB cable and an Ethernet cable. Additionally, CBP proposes that this notice covers any rulings on this merchandise which may exist but have not been specifically identified. CBP is also proposing to revoke any treatment it has previously accorded to substantially identical transactions.

CBP states that any party who has received a contrary written ruling or decision on the merchandise that is subject to the proposed revocation, or any party involved with a substantially identical transaction, should advise CBP by September 5, 2008, 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.

USB cable and Ethernet cable. The first item is described as a six-foot long USB computer cable. This cable is fitted with a type "A," male, USB connector on one end and a type "B," male, USB connector on the opposite end. This cable is used to connect a Personal Computer to a variety of USB devices, allowing for the transfer of data or music between the two. The second item is described as a twenty-five foot Ethernet computer cable. This cable is fitted with modular "Ethernet" connectors on each end. It is used to connect a Personal Computer to gaming systems, the Internet and various other computing devices.

CBP is proposing to issue HQ H029719 in order to revoke NY N007536 and reclassify the cables under HTS 8544.42.2000, as electric conductors "of a kind used for telecommunication" rather than under HTS 8544.42.9000 as other electric conductors, "other."

CBP proposes this change as a correction based on the fact that USB and Ethernet cables are used for the two-way transfer of data between a personal computer and various other devices. CBP has previously classified a SCSI II ("skuzzy") cable with connectors, used to connect a PC to various other devices, in subheading 8544.41.4000. Pursuant to the 2007 changes to the HTS, the products of subheading 8544.41 (2006) have been transferred to subheading 8544.42 (2008).

CBP now proposes that by application of GRI 1, the USB cable and the Ethernet cable are specifically provided for and should be classified under HTS 8544.42.2000, which provides for: "Insulated . . . wire, cable . . . and other insulated electric conductors, whether or not fitted with connectors . . . Other electric conductors, for a voltage not exceeding 1,000 V: Fitted with connectors: Other: Of a kind used for telecommunications."

Proposed: 8544.42.2000, duty-free; current: 8544.42.9000, 2.6%

August 6, 2008 CBP Bulletin (Vol. 42, No. 33) available athttp://www.cbp.gov/xp/cgov/trade/legal/bulletins_decisions/bulletins_2008/