April 10 CBP Bulletin Proposes to Modify Rulings on Spot Locator Beacons
In the April 10 Customs Bulletin (Vol. 58, No. 14), CBP published a proposal to revoke ruling letters concerning various spot locator beacons.
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Comments on Proposal Due May 10
CBP said consideration will be given to any written comments received by May 10 before taking these actions. In addition, any party that has received a ruling or decision on the merchandise that is subject to the proposed revocations or modifications, or any party involved with a substantially identical transaction, should advise CBP by the date that written comments on the proposed ruling are due. (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 agents for importations after the effective date of the final decision in this notice.)
Proposal
CBP is proposing to revoke or modify the rulings below, and any rulings on these products that may exist but have not been specifically identified. CBP also is proposing to revoke any treatment it has previously accorded to substantially identical transactions.
Various Spot Locator Beacons
| Item: Devices that include GPS receivers and transmitters that are intended for use as theft alert and tracking devices or by people when they travel to remote, rugged locations without cellular phone service. Some have additional features, such as the ability to send distress signals and the ability to send and receive text messages and update social media. |
| Current: 8526.91.00, free, "Radar apparatus, radio navigational aid apparatus and radio remote control apparatus: Other: Radio navigational aid apparatus.” The goods are composite goods and should be classified pursuant to GRI 3(b) according to the component that imparts the goods with their essential character. |
| Proposed: 8526.91.00, free, "Radar apparatus, radio navigational aid apparatus and radio remote control apparatus: Other: Radio navigational aid apparatus.” The subject merchandise should be classified per GRIs 1 and 6 and Note 3 to Section XVI. |
| Reason: General Rule of Interpretation 1 states that (before classifying per GRI 3) classification shall be determined according to the terms of ... any relative section or chapter notes. Note 3 to Section XVI says that, unless the context otherwise requires, composite machines consisting of two or more machines fitted together to form a whole and other machines designed for the purpose of performing two or more complementary or alternative functions are to be classified as if consisting only of that component or as being that machine which performs the principal function. In order for the devices to perform their intended function, they must be able to discern their location via a GPS receiver in order to transmit the GPS location data to a satellite network, which forwards the information to end users. Without the ability to determine their location via GPS receiver, the devices do not have any location data to transmit. Therefore, the GPS receiver performs the principal function of the devices. |
| Proposed for modification: HQ H300872, dated Sept. 30, 2019, and HQ H300873, dated Sept. 30, 2019 |
| Proposed new ruling: HQ H333773 |