August 13, 2009 CBP Bulletin Notice on Classification of Certain Satellite Radio Receivers/Tuners
In the August 13, 2009 issue of the U.S. Customs and Border Protection Bulletin (Vol. 43, No. 33), CBP published a notice modifying two rulings and revoking a treatment as follows:
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Modification of rulings, revocation of treatment.CBP is modifying two rulings on the classification of certain satellite radio receivers/tuners; in addition, this notice covers any rulings on this merchandise which may exist but have not been specifically identified. CBP is also revoking any treatment it has previously accorded to substantially identical transactions.
According to CBP, the modifications and revocation are effective for merchandise entered or withdrawn from warehouse for consumption on or after October 13, 2009.
Satellite radio receivers/tuners. The merchandise is described as the SIR-PNP1 receiver/tuner that receives a transmitted satellite radio broadcast signal and converts it to an analog signal. It does not have any amplification capability. It is designed to primarily receive the broadcast signal through the ether without any line connection. It further transmits that signal to the radio broadcast receiver within the automobile. CBP was later informed by the importer that the initial description of the merchandise was incomplete because SIRPNP1 receivers/tuners also have internal digital recording capability.
CBP is issuing HQ H042575 in order to modify NY K87747 and reflect the proper procedural basis on which to modify an interpretive ruling or decision. CBP is also issuing HQ H043540 in order to modify NY J89049 and reclassify the PNP1 under HTS 8527.91 as other reception apparatus "combined with sound recording or reproducing apparatus" rather than under HTS 8527.99 (formerly 8527.90) as "other reception apparatus."
In HQ H042575, CBP determines that under the provisions of 19 USC 1625(c), CBP's classification decision in NY K87747 concerning the SIR-PNP1 model of receiver/tuner is without effect. CBP states that rulings which have been in effect for at least 60 days may only be modified in accordance with the provisions of 19 USC 1625(c), which require that notice of the proposed action be published in the Customs Bulletin and that the public be allowed to comment on the proposed action for a period of at least 30 days. This procedure was not followed with respect to the purported reclassification of the SIR-PNP1 receiver/tuner.
In HQ H043540, CBP makes the change in HTS classification as a correction based on new information about the product. (This is the same reclassification that was attempted in NY K87747 but which did not take effect because of the procedural error.) The importer provided information indicating that the SIRPNP1 receivers/tuners also have internal digital recording capability.
CBP determines that by application of GRI 1, the SIR-PNP1 satellite radio receivers/tuners with recording capability are classified in subheading 8527.91.60 which provides for: "Reception apparatus for radio broadcasting, whether or not combined, in the same housing, with sound recording or reproducing apparatus or a clock: Other: Combined with sound recording or reproducing apparatus: Other: Other."
New: 8527.91.60, duty-free (formerly 8527.31); previous: 8527.99.40, 6% (formerly 8527.90)
(See ITT's Online Archives or 06/01/09 news, (Ref:), for BP summary of proposed HQ H042575 and HQ H043540.)
August 13, 2009 CBP Bulletin (Vol. 43, No. 33) available athttp://www.cbp.gov/xp/cgov/trade/legal/bulletins_decisions/bulletins_2009/