HQ 956686: Industrial Ink Jet Printer; ADP Machine and Unit Thereof; Chapter 84, Note 5; Explanatory Notes 87.41(D) and 84.43; General Explanatory Note (E) to Chapter 84; HQs 955018 and 955263; NYs 854057 and 876142; 8443.50.50

Native CBP ruling rendition. Applicability is fact-specific; modification/revocation relationships and original publisher date are retained. Publisher sentinel year0001 means unknown date, not a historical legal adoption.

                            HQ 956686
                         August 15, 1994


CLA-2 CO:R:C:M 956686 DWS

CATEGORY: Classification

TARIFF NO.: 8471.92.62

Mr. Robert E. Burke
Barnes, Richardson & Colburn
200 East Randolph Drive, Suite 7920
Chicago, IL 60601

RE: Industrial Ink Jet Printer; ADP Machine and Unit Thereof; 
    Chapter 84, Note 5; Explanatory Notes 87.41(D) and 84.43;
    General Explanatory Note (E) to Chapter 84; HQs 955018 and
    955263; NYs 854057 and 876142; 8443.50.50

Dear Mr. Burke:

     This is in response to your letter of July 5, 1994, on behalf
of Videojet Systems International, Inc., concerning the
classification of an industrial ink jet printer under the
Harmonized Tariff Schedule of the United States (HTSUS).

FACTS:

     The merchandise consists of an industrial ink jet printer,
consisting of a printer unit and a printer mechanism (model no. SR
25B/SR 50B), which is part of an ink jet imaging system.  The
printer unit, which weighs 725 pounds, measures 57 inches in
height, 47.2 inches in width, 23.6 inches in depth.  The entire
imaging system is comprised of the ink jet printer and a personal
computer (PC).  The printer is imported into the U.S. without media
transport.

     Specific software must be downloaded into the PC for the
printer unit, which is incapable of operating independently, to
function.  The printer unit itself contains input/output and memory
boards for receiving output data from the PC.  Once the data is
obtained, a formatter board governs the entire process of printing. 
The printer unit also contains a control board which controls the
mix of inks, and controls the destination of each ink droplet
discharged by the printer mechanism.  The type of ink jet printing
which the system produces is called "continuous stream" ink jet
printing.  The system is used for printing bar codes, high
resolution fonts and complex graphic images on items  as varied as paper and envelopes to packaged consumer goods.  The
system allows the user to manipulate images with graphics software
programs which are loaded into the PC.  Text can also be typed in
on the PC's keyboard in a variety of sizes and fonts.

     The subheadings under consideration are as follows:

     8443.50.50: [o]ther printing machinery: [o]ther.

     The general, column one rate of duty for goods classifiable
     under this provision is 3.3 percent ad valorem.

     8471.92.62: [a]utomatic data processing machines and units
                 thereof; . . . : [o]ther: [i]nput or output
                 units, whether or not entered with the rest of a
                 system and whether or not containing storage 
                 units in the same housing: [o]ther: [p]rinter 
                 units: [o]ther: [i]nk jet.

     Goods classifiable under this provision receive duty-free
     treatment.

ISSUE:

     Whether the industrial ink jet printer is classifiable under
subheading 8443.50.50, HTSUS, as other printing machinery, or under
subheading 8471.92.62, HTSUS, as an ink jet printer unit.

LAW AND ANALYSIS:

     Classification of merchandise under the HTSUS is in accordance
with the General Rules of Interpretation (GRI's), taken in order. 
GRI 1 provides that classification is determined according to the
terms of the headings and any relative section or chapter notes.

     Chapter 84, note 5, HTSUS, states:

     (A) For purposes of heading 8471, the expression "automatic
         data processing machines" means:

         (a) Digital machines, capable of (1) storing the
             processing program or programs and at least the data
             immediately necessary for execution of the program;
             (2) being freely programmed in accordance with the
             requirements of the user; (3) performing
             arithmetical computations specified by the user; 
             and, (4) executing, without human intervention, a
             processing program which requires them to modify
             their execution, by logical decision during the
             processing run;

         (b) Analog machines capable of simulating mathematical
             models and comprising at least: analog elements,
             control elements and programming elements;

         (c) Hybrid machines consisting of either a digital
             machine with analog elements or an analog machine
             with digital elements.

     (B) Automatic data processing machines may be in the form
         of systems consisting of a variable number of separately
         housed units.  A unit is to be regarded as being a part 
          of the complete system if it meets all of the following
         conditions:

         (a) It is connectable to the central processing unit    
              either directly or through one or more other units; 
              and

         (b) It is specifically designed to be part of such a    
              system (it must, in particular, unless it is a power 
             supply unit, be able to accept or deliver data in a 
              form (code or signals) which can be used by the    
               system).

         Such units entered separately are also to be            
          classifiable in heading 8471.

     Heading 8471 does not cover machines incorporating or
     working in conjunction with an automatic data processing
     machine and performing a specific function.  Such machines
     are classified in the headings appropriate to their
     respective functions, or, failing that, in residual
     headings.

     It is our position that the subject ink jet printer is an
automatic data processing (ADP) unit as defined under chapter 84,
note 5(B), HTSUS.  It is indirectly connectable to the ADP
machine's central processing unit (CPU), and it is specifically
designed to be a part of an ADP system.  In fact the printer is
inoperable without such a system and the corresponding software.

     It has been suggested that the ink jet printer has a specific
function, that of printing, and should be precluded from
classification under heading 8471, HTSUS.

     In understanding the language of the HTSUS, the Harmonized
Commodity Description and Coding System Explanatory Notes may be
utilized.  The Explanatory Notes, although not dispositive or
legally binding, provide a commentary on the scope of each  heading of the HTSUS, and are generally indicative of the proper
interpretation of these headings.  See T.D. 89-80, 54 Fed. Reg.
35127, 35128 (August 23, 1989).  In part, Explanatory Note 84.71(D)
(p. 1299) states:

                 (D) SEPARATELY PRESENTED UNITS

     This heading also covers separately presented constituent
     units of data processing systems.  Constituent units are
     those defined in Parts (A) and (B) above as being parts of a 
     complete system.

     Apart from central processing units and input and output
     units, examples of such units include:

     (1) Additional input and output units (. . . , printers, 
         . . . ).

     In part, General Explanatory Note (E) (p. 1139) to chapter
84, HTSUS, states:

    (E) MACHINES INCORPORATING OR WORKING IN CONJUNCTION WITH
              AND AUTOMATIC DATA PROCESSING MACHINE
               AND PERFORMING A SPECIFIC FUNCTION

                (Chapter Note 5, last paragraph)

     In accordance with the provisions of the last paragraph of
     Note 5 to Chapter 84, the following classification 
     principles should be applied in the case of a machine 
     incorporating or working in conjunction with an automatic
     data processing machine, and performing a specific 
     function:

     (i) xxx

    (ii) Machines presented with an automatic data processing 
         machine and intended to work in conjunction therewith
         to perform a specific function other than data 
         processing, are to be classified as follows:

         the automatic data processing machine must be classified
         in heading 84.71 and the other machines in the heading
         corresponding to the function which they perform unless,
         by application of Note 4 to Section XVI or Note 3 to
         Chapter 90, the whole is classified in another heading
         of Chapter 84, Chapter 85 or of Chapter 90.

      As stated in Explanatory Note 84.71(D), printers are
considered to be additional output units, and are to be
classifiable under heading 8471, HTSUS, as long as they work in
conjunction with an ADP machine to perform the function of data
processing, as described under General Explanatory Note (E) to
chapter 84, HTSUS.  The subject printer does not perform a specific
function other than that of data processing.  The purpose of the
printer is to print data processed from the PC and its software. 
Therefore, it is our position that the industrial ink jet printer
is specifically classifiable under subheading 8471.92.62, HTSUS. 
See HQ 955018, dated January 25, 1994; 
HQ 955263, dated January 19, 1994; NY 854057, dated July 10, 1990;
and NY 876142, dated July 6, 1992, for rulings which held certain
laser jet and ink jet printers classifiable under heading 8471,
HTSUS.

     It is also our position that the subject printer is not
classifiable under subheading 8443.50.50, HTSUS.  After an
examination of Explanatory Note 84.43 (pp. 1238-1241) and the
rulings classifying goods under heading 8443, HTSUS, we find that
none of the exemplars listed, and none of the goods so classified,
describe the class of merchandise to which the printer belongs.

HOLDING:

     The industrial ink jet printer is classifiable under
subheading 8471.92.62, HTSUS, as an ink jet printer unit.

                           Sincerely,



                            John Durant, Director