HQ 958372: Clarification of HQ 957962; Parallel Port Assembly; Automatic Data Processing (ADP) Units; Control and Adapter Units; Insulated Electrical Conductors, Whether Or Not Fitted With Connectors; Legal Note 5(B) to Chapter 84; Headings 8473, 8544; GRI 3(b); HQs 954695, 952554, 089041, 087868

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 958372

                        September 1, 1995

CLA-2 R:C:M 958372  RFA

CATEGORY:  Classification

TARIFF NO.: 8471.99.15

Mr. Dennis R. Mueller 
Quantum Consulting Associates 
1375 Florida Avenue, Suite B 
Longmont, Colorado  80501

RE:  Clarification of HQ 957962; Parallel Port Assembly;
     Automatic Data Processing (ADP) Units; Control and Adapter
     Units;  Insulated Electrical Conductors, Whether Or Not
     Fitted With Connectors; Legal Note 5(B) to Chapter 84;
     Headings 8473, 8544; GRI 3(b); HQs 954695, 952554, 089041,
     087868


Dear Mr. Mueller:

     This is in reference to HQ 957962 issued to you on August 7,
1995, on behalf of Datasonix Corporation, which classified a
parallel port assembly, model number 000022-22, under subheading
8471.99.15, Harmonized Tariff Schedule of the United States
(HTSUS), as control or adapter units for automatic data
processing (ADP) units.  While the holding in HQ 957962 is
correct, in reviewing that ruling, we have recognized that the
Law & Analysis Section needs to be clarified as set forth below:

FACTS:

     The description of the parallel port assembly in HQ 957962
is incorporated by reference.

ISSUE:

     Is the parallel port assembly (PPA) classifiable as an
insulated cable with connectors, or as an ADP unit under the
HTSUS?

LAW AND ANALYSIS:

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

     In HQ 957962, dated August 7, 1995, we reconsidered NY
806816, issued on March 2, 1995, wherein the Area Director, New
York Seaport, advised you that the PPA was classified under
subheading 8544.41.00, HTSUS, as other electrical conductors
fitted with connectors.  We determined that this classification
was incorrect and that the PPA meets the definition of Legal Note
5(B) to chapter 84, HTSUS, because it connects to a computer's
central processing unit (CPU), a printer and the Pereos tape
storage unit, and it is able to accept or deliver data in a form
which can be used by the system. See HQ 954695 (November 18,
1993) and HQ 952554 (January 4, 1993).  After referring to the
Harmonized Commodity Description and Coding System Explanatory
Notes (EN) for heading 8471, HTSUS, we held that the PPA was an
ADP control or adapter unit, classifiable under subheading
8471.99.15, HTSUS. See EN 84.71(1)(D) at page 1299.  

     While the holding in HQ 957962 is correct, we have
determined that the Law and Analysis section needs to be
clarified to discuss two other rulings relating to optical fiber
cable fitted with connectors and signal converters.  In HQ
089041, dated August 1, 1991, affirming HQ 087868, dated December
11, 1990, Customs dealt with the classification of a plastic
optical fiber cable fitted on each end with a signal converter
and an electrical pin connector.  The lengths of cable were made
up of individually sheathed fibers and were imported in lengths
ranging from 25 to 100 feet.  The signal converters transfered
the electrical signals sent from the personal computer into
optical signals which were then transmitted through the fiber
optic cables.  The optical signals were converted back to
electrical signals by the signal converter on the printer end of
the cable.  The signal converters also transferrred serial
signals to parallel signals and then back to serial signals at
the printer end of the cable. By transferring the signal from an
electrical medium to an optical medium, there would be no
interference from electromagnetic radiation during transmission. 
This was claimed to increase the quality of the signal and the
distance a particular computer may be located from a printer.

     In HQ 087868, Customs stated that heading 8544, HTSUS,
described fiber optic cables fitted with connectors, but it did
not describe such cables fitted with connectors and signal
converters.  We further stated that: 

     The signal converters are not "connectors".  The signal
     converters are active devices that convert electrical
     signals to optical signals, optical signals to
     electrical signals, serial signals to parallel signals,
     and parallel signals to serial signals.

          The printer cables are composite articles
     consisting of signal converters and fiber optic cables
     fitted with connectors. The cables are not the type of
     merchandise classified as "composite machines" pursuant
     to Section XVI Note 3.  The cables are GRI 3(b)
     composite goods classified according to the component
     which gives the article its essential character.

     GRI 3(b) provides that composite goods consisting of
different materials or made up of different components, shall be
classified as if they consisted of the material or component
which gives them their essential character.  In determining the
essential character, Customs found that the printer cable as a
whole, was designed to connect computers and printers for the
purpose of conducting signals between computers and printers. 
The fiber optic cable fitted with connectors was the component
which connected the computers and printers and acted as the
conducting medium.  The signal converters assisted in this regard
only by preparing the signals for transmission.  The signal
converters at the printer end of the cable merely transferred the
signals back to electrical signals, the same form the signals
were in as they were sent from the computer prior to being
transmitted through the cables.  Based upon these factors,
Customs held that the fiber optic cables fitted with connectors
was the component which imparted the essential character.

     In the present situation, we have a PPA which consists of an
ADP adapter or control unit attached to a data cable with
connectors.  The PPA allows a user to connect the Pereos tape
storage unit to a printer and the parallel port connection of a
computer.  In addition to forming the connection between the
three automatic data processing (ADP) units (computer, printer,
and tape storage), the PPA directs and helps control the
electronic signals between the three units, allowing for the
almost simultaneous operations of data retrieval and printing.  
Because the PPA is a composite good consisting of an ADP
controller unit and electrical cable with connectors, we must
apply GRI 3(b) as we did in HQs 087868 and 089041.  In the
present case, we find that the essential character of the PPA is
the control or adapter unit because it directs and controls the
interconnection of the computer's CPU to the printer and the data
storage unit, allowing for the almost simultaneous operations of
data retrieval and printing.  By application of GRI 3(b), we find
that the PPA is classifiable under subheading  8471.99.15, HTSUS,
which provides for ADP control or adapter units.  

HOLDING:

     The parallel port assembly, model number 000022-22, is
classifiable under subheading 8471.99.15, HTSUS, which provides
for:  "[a]utomatic data processing machines and units thereof:
[o]ther: [o]ther: [c]ontrol or adapter units. . . ."  The
general, column one rate of duty is free. 

     HQ 089041, dated August 1, 1991, and HQ 087868, dated
December 11, 1990, are still valid rulings.

                              Sincerely,



                              John Durant, Director
                              Commercial Rulings Division