Telephone parts classification: specially designed coiled cords were held classifiable with telephone apparatus, not as insulated conductors.

Coiled cords fitted with terminals, used between a telephone receiver and the main apparatus, were treated as telephone parts rather than insulated electric conductors. Because the cords were made as sets specially designed for telephone use and not marketed as running length wire or cable, Section Note 2(b) of Section XVI directed classification with the apparatus they served. The product was therefore classified under Tariff Heading 85.17 as part of telephone apparatus, and not under Tariff Heading 85.44 as an insulated conductor.

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Issues: Whether coiled cords fitted with terminals, used between the receiver and the main telephone apparatus, were classifiable under Tariff Heading 85.17 as parts of telephone apparatus or under Tariff Heading 85.44 as insulated electric conductors.

Analysis: The coiled cords were manufactured from tinsel conductor, cut to required length, coiled, and fitted with terminals at both ends. They were not marketed as running length wire or cable, but as sets specially designed for use with telephone apparatus. Section Note 2(b) of Section XVI required parts suitable for use solely or principally with a particular machine to be classified with that machine, and parts principally used with goods of Heading 85.17 to be classified thereunder. On that basis, the product was treated as a part of telephone apparatus and not as a general insulated conductor under Heading 85.44.

Conclusion: The coiled cords were classifiable under Tariff Heading 85.17 of the Central Excise Tariff, and not under Tariff Heading 85.44.

Ratio Decidendi: A part specially designed and used solely or principally with telephone apparatus is classifiable with that apparatus under Section Note 2(b) of Section XVI.

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