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 > 1998 NY Rulings > NY C85699 - NY C85750 > NY C85699

Previous Ruling Next Ruling
NY C85699

March 31, 1998

CLA-2-84:RR:NC:1:110 C85699


TARIFF NO.: 8471.30.0000; 8524.39.4000; 9801.00.10

Mr. Brian Barrett
Sidus Systems Inc.
66 Leek Crescent
Richmond Hill, Ontario
Canada, L4B1H1

RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA) of notebook computers from Canada.

Dear Mr. Barrett:

In your letter dated March 20, 1998, you requested a tariff classification ruling on the status of notebook computers from Canada under the NAFTA.

The merchandise under consideration involves notebook computers that are assembled in Canada with components that are manufactured in various countries such as Taiwan, Malaysia, Singapore, Japan, Thailand, Korea, and the United States.

The notebook computers are assembled in Canada from components that originate in various countries. These computers incorporate LCD flat panel displays, keyboards, processor units, storage units, and power supplies, in one common housing. They also include software in the form of CD discs.

The components for the notebook computers are claimed to originate from the following countries:

AC Adapter- Taiwan
Battery (NiMH)- Taiwan
CPU processor chip Malaysia or Singapore
Touch pad- Taiwan
Keyboard- Taiwan
CD-ROM- Japan
Hard Disk Drive- Thailand
Floppy Disk Drive- Malaysia
Main Circuit Board (w/o Taiwan
Internal battery packs- Singapore
Boxes- Taiwan
LCD panel- Korea and Taiwan
Software (CD disks) USA

The applicable subheading for the notebook computer will be 8471.30.0000, Harmonized Tariff Schedule of the United States (HTS), which provides for portable digital automatic data processing machines, weighing not more than 10 kg, consisting of at least a central processing unit, a keyboard and a display. The rate of duty will be 1.4 percent ad valorem.

The software, noting Legal Note 6 to Chapter 85, is separately classifiable under HTS number 8524.39.4000, which provides for discs for laser reading systems, for reproducing representations of instructions, data, sound, and image, recorded in a machine readable binary form, and capable of being manipulated or providing interactivity to a user, by means of an automatic data processing machine. The rate of duty will be 1.9 percent ad valorem. Since the software is claimed to be of US origin, and if properly documented at time of importation, the software may become eligible for classification under HTS number 9801.00.10, as American Goods Returned.


Each of the non-originating materials used to make the notebook computers has satisfied the changes in tariff classification required under HTSUSA General Note 12 (t)84.191. The notebook computers will be entitled to a free rate of duty under the NAFTA upon compliance with all applicable laws, regulations and agreements. Since the software is claimed to be originating material (U.S.A.), it would be eligible under NAFTA, as per the requirements of HTSUSA General Note 12 (b)(i).

This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).

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 Art Brodbeck at 212-466-5490.


Robert B. Swierupski

Previous Ruling Next Ruling

See also: