WORLD TRADE  
ORGANIZATION  G/IT/W/20 
13 March 2006 
 (06-1102) 
Committee of Participants on the Expansion of Trade in 
Information Technology Products  
 
 
CLASSIFICATION DIVERGENCES 
 
Updated Summary of Discussions –  List V  
 
Note by the Secretariat1 
 
  At the Committee’s meeting of 20 October 20 05, the Secretariat was asked to prepare an 
updated summary that would further assist participants in their discussions of all 20 items in document G/IT/W/15 (List V of G/IT/W/6/Rev.3 – Items and Specific Questions Referred to the 
Committee to be Addressed).  In particular, par ticipants requested that the document contain a 
qualitative analysis; indication of areas of converg ence, divergence, or lack of engagement; and 
possible new questions, if relevant.   
 
 The following updated summary shows all 20 items of List V of document G/IT/W/15, including the original questions posed, the follo w-up questions and the corresponding summary of the 
discussions.  It is noted that both the discussions at  the meetings of 24 February and 25 May 2005 as 
summarized in documents G/IT/W/16/Rev.1 and G/IT /W/18/Rev.1, and written submissions received 
thereafter were used to produce the updated summary.
2   
  The summary consists of the contributions of  seven participants; four were active in the 
discussions at the meeting and three submitted written comments thereafter. 
  The same sequential numbering of the 20 items listed in List V of G/IT/W/15 and 
G/IT/W/6/Rev.3 is reproduced here for ease of reference. Classifications indicated in bold  were still 
outstanding issues noted by the Customs Expert Group, whereas those not in bold were essentially 
agreeable by the Customs Expert Group at the technical level. 
 
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1 This document has been prepared under the Secret ariat's own responsibility and without prejudice to 
the positions of Members and to their rights and obligations under the WTO . 
2 As agreed at the meeting of 20 October 2005, delegations had until 30 November 2005 to submit 
comments in writing in order for them to be taken account in the summary. G/IT/W/20 
Page 2 
 
 
  1. 122- Apparatus for stripping or cleaning semiconductor wafers ( 845691 , 845699, 847989)  
 
 The issue concerned 'wet' versus 'dry' processes.  Also, there wa s concern whether ‘etching’ 
was synonymous with ‘stripping’ or not. 
 
Question:  Were the processes of ‘etching’ and ‘str ipping’ synonymous?, thus were they two separate 
processes or one in the same?   
 
• 4 delegations thought 'etching' and 's tripping' were different processes.  
• 2 delegations did not answer the question.  
• 1 delegation thought 'etching'  and 'stripping' were synonymous with 'dry' processes.  
 
Question:  Were ‘wet and dry’ processes or only ‘dry’ processes covered by the description?  
 
• 4 delegations thought 'dry' processes were covered by the description.  
• 2 delegations did not answer the question.  
• 1 delegation thought both 'wet' and 'dry' processes were covered by the description.  
 
 It was noted that item #142 covered 'wet' proc esses, so some thought it would be redundant 
that this item would also cover 'wet' processes,  thereby implying it covered 'dry' processes.  A 
majority (4) of participants had indicated the d escription covered 'dry' processes, with one indicating 
is also covered 'wet and dry' processes.  There were  a significant number of participants that thought 
'etching' and 'stripping' were diffe rent processes, thus 'etching' proc esses would not be covered by this 
description, thus HS 845691 would be excluded.  It is noted that item #123 covers 'machines for 
dry-etching patterns on semiconductor materials (HS 845691). 
 
New Question:  Could the Committee agree that the description covered 'd ry' processes and the 
products covered by this description would be classified in HS 845699 and 847989? 
 
 At the Committee's meeting of 25 May 2005, three delegations thought 'dry' processes were 
covered by the description and this description woul d be classified in HS 845699 and 847989. Three 
delegations did not answer the question.   
 One delegation, in its recent submission, be lieved that the description covered by ‘dry’ 
process and the products covered by this descripti on would be classified only in 845699, because 
847989 was related to ‘wet’ processes.    
 2. 129- Parts for machines for sawing monocrystal  semiconductor boules into slices, or wafers 
into chips (846691, 846610 , 846620 , 846630 ) 
 
  Discussions focused on the issue of 'parts' versu s 'accessories'.   The group remained divided 
on whether items could be classifie d in 846610, 846620, an d 846630 because the description of these 
HS classifications referred to specific items, in wh ich some thought were accessories to the machines 
and not parts of the machines.   
 
Question:  Whether tool holders/work holders/di viding heads and other special attachments for 
machines for sawing monocrystal semiconductor boules into slices or wafers into chips should be 
covered under the ITA? 
 
• 3 delegations thought tool holders/work holders/dividing heads and other special 
attachments should be covered by the ITA.  
  G/IT/W/20 
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  • 2 delegations raised technical issues with  respect to 'parts' and 'accessories' but 
indicated that the ITA should probably cover these items.  
• 1 delegation thought they these items would not  be covered as they were 'accessories'.  
• 1 delegation did not give a clear answer to the question.  
 
  There were a majority of participants (5) who could accept that tool holders/work 
holders/dividing heads and other special attachments were covered by the ITA.  While there was still 
the definitional aspect of 'parts' ve rsus 'accessories', they agreed th at these were items specialized to 
the functioning of the machines and should be covered, irrespective of the precise wording in the 
description.  Therefore HS 846610, 846620, and 846 630 would be applicable.  One delegation did not 
agree with such an interpretation and thought th e items concerned were clearly 'accessories' and 
therefore were excluded from ITA coverage; this  implied that HS 846691 was the only relevant 
classification.  
   At the Committee's meeting of 25 May 2005, on e delegation thought that if the ITA required 
that parts of certain apparatus be given ITA tr eatment, then the parts in subheadings 846610 to 
846630  should be included. In a note subsequently  provided to the Secretariat, this delegation 
explained that:  "A good is not a part if: (1) it is a subsidiary device used in connection with 
machine-tools, such as interchang eable devices which modify the mach ine-tool so that it can perform 
a wider range of operations; or (2) it is a device wh ich performs a particular service relative to the 
main function of the machine.  The enumerated goods in the heading text (work or tool holders, 
dividing heads, etc.) are "parts" and not "accessori es" because they are NOT subsidiary devices which 
allow for the machine to perform a wider range of  operations. Instead, they are necessary components 
needed for the machine tool to operate.  Each of the devices meeting the terms of subheadings 
8466.10 through 8466.30 is specially engineered to allow the machines to perform their specialized 
function in manufacturing semiconductors. For example, the sawing machine could not saw a boule unless it had a specially designed tool-holder, nor a work holder to keep the boule from moving while 
being sawed.  At its 30
th Session, the Harmonized System Committee at the World Customs 
Organization (WCO) classified an electrostatic chuc k used either solely or principally for plasma 
dry-etching machine (a machine of heading 84.56) to hold a semiconductor wafer as a part in heading 
84.66, specifically in subheading 8466.20 by applicati on of General Interpretati ve Rule 1 (Note 2(b) 
to Section XVI, dealing with the classification of pa rts) and General Interpreta tive Rule 6.  See Annex 
H/13 to Doc. NC0655E2 (HSC/30/Nov. 2002).  In examining this question, the Secretariat at the 
WCO referred back to its comments in the worki ng document, Doc. NC0472E1, dealing with the ITA 
Committee’s question on the issue of distinguishin g parts from accessories within heading 8466.  In 
paragraphs 11 and 12 of that working document, the Secretariat indicates that at the heading level, no 
distinction is made between the terms “parts” and “accessories”.  At the subheading level no reference 
is made to “parts” or “accessories”. Subheading 84 66.10 to 8466.30 mentions specific types of parts 
or accessories." One delegation thought accessories s hould not be covered. On e  delegation thought  
accessories when they were used for production of  semiconductors could be classified as being 
covered in the ITA. Four delegations  did not intervene at the meeting. 
 
3. 130- Parts of dicing machines for scribing or scoring semiconductor wafers (846691, 846610 , 
846620 , 846630 ) 
 
 The same question and summary as number 2 above.  
 
4. 133- Parts of lasercutters for cutting contac ting tracks in semiconductor production by laser 
beam (846693, 846610 , 846620 , 846630 ) 
  The same question and summary as number 2 above. 
 G/IT/W/20 
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  5. 135- Parts of apparatus for stripping or  cleaning semiconductor wafers (846693, 847990, 
846620 , 846630 ) 
 
 The same question and summary as number 2 above. 
 
6. 139- Automated machines for transport, hand ling and storage of semiconductor wafers, wafer 
cassettes, wafer boxes and other material  for semiconductor devices (842839, 842890, 
847950, 847989)  
  Discussions focused on whether the machines co vered by this description were a complete 
machine or involved separate processes in modul ar form.  The group was not sure if the ITA 
description as drafted was meant to  cover machines that only performed one or more function listed, 
or whether it had to perform all functions. 
 Question:  Was it one machine that had to perform all the specific functions (transport, ha ndling, and 
storage), or was it appropriate if the mach ine only performed one or two functions? 
 
• 3 delegations thought the description would co ver both types of m achines--machines that 
performed all the functions and machines th at performed only one or two functions.  
• 2 delegation indicated that both types of m achines would be covered and the appropriate 
classifications were  842839 and 842890.  
• 1 delegation thought the machines covered by th e description had to perform all three of 
the functions to be covered; ot hers would not be covered.  
• 1 delegation did not directly answer the question, but noted that HS 842839 and 842890 
would be appropriate, but not HS 847950 and 847989.  
 New Questions:  Does the Committee agree that the both types of machines (ones that perform all 
three functions and those that perform one or tw o functions) would be covered and were classified 
exclusively in HS 842839 and 842890?   
 
If not, were either or both HS 847950 and 847989 rel evant to the classification of both types of 
machines?  
 
 At the Committee's meeting of 25 May 2005,  six delegations trestated their respective 
positions summarized above. However, one delegati on further explained that "Item 139 articles are 
classified only in heading 8428, wh ich provides for: “Other lifting, handling, loading or unloading 
machinery”.  The fact that th e heading does not list “storage” do es not mean that these automated 
machines are excluded.  Any device that is handling, loading or unloading must be able to temporarily 
store the products being handled." It further belie ved that "the subheadings under heading 8479 are 
not appropriate.  Robots for handling these ITA arti cles are dedicated to this purpose, and are not 
general-purpose robots of subheading 8479.50.  M achinery for storing these articles incorporate 
devices to load and unload the storage unit, and thus are more specifically provided for in 8428 rather 
than in 8479.89."  
 
 One delegation, in its recent submission, answered positively to the new question.  
 
7. 153- Parts of apparatus for wet etching, developing, stripping or cleaning semiconductor 
wafers and flat panel displays (842490, 846691, 847990, 846620 , 846630 ) 
  The same question and summary as number 2 above.  
  G/IT/W/20 
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  8. 154- Parts of automated machines for tran sport, handling and storage of semiconductor 
wafers, wafer cassettes, wafer boxes and othe r material for semiconductor devices (843139, 
847990) (depends on the outcome of # 139)  
  Answer to the question under number 6 above would determine the outcome of this item as it 
referred to the respective host apparatus.  The Co mmittee deferred discussion on this item pending 
the outcome of the discussions on number 6 above.  
 
9. 157- Parts of machines for bending, folding and straightening semiconductor leads (846694, 
846610 , 846620 , 846630 ) 
 
 The same question and summary as number 2 above.  
 
10. 166- Wafer probers (853690, 903082)  
  Discussions focused on whether the products co vered by this descri ption were the wafer 
prober apparatus, or just the tip.    
Question:  Whether it was the entire apparatus that wa s meant to be covered, or was it just the tip of 
the apparatus that was used to probe (usually in conjunction with other measuring devices)?  
 
• 3 delegations thought the description was m eant to cover both the apparatus and the 
tip.  
• 1 delegation thought the description would just cover the 'tip'.  
• 2 delegation thought the description covered the 'apparatus' only.  
• 1 delegation did not answer the question.  
  There were a majority of participants (5) who believed that this description would include 
HS 853690 to cover classification of wafer prober 'tips' .  One of these four however indicated that this 
description would exclude the classification of HS 903082 because the complete 'apparatus' was 
already covered elsewhere in the ITA, and tho ught the negotiators would not be redundant.  One 
delegation did not agree with the view that 'tip s' (HS 853690) were covered by the description and 
thought only HS 903082 was pertinent to cover the 'apparatus'. 
 New Question: Could the Committee agree that this description covers only wafer prober tips, 
classified in HS 853690, as th e complete apparatus was alre ady covered in the ITA under 
Attachment A-2, #184 (HS 903082)? 
 
 At the Committee's meeting of 25 May 2005,  six delegations repeated their respective 
positions summarized above. One delegation did not intervene at the meeting.  
 
11. 169- Parts of apparatus for wet etching, developing, stripping or cleaning semiconductor 
wafers and flat panel displays (842490, 846691, 847990, 846620 , 846630 ) 
 
 The same question and summary as number 2 above. 
 
12. 193- Flat panel display devices (including LCD, Electro Luminescence, Plasma, Vacuum-
Fluorescence and other technologies) for products falling within this agreement, and parts 
thereof. (847149, 847160, 847330, 853120, 853180, 853190, 854389, 854390, 854890, 
901380, 901390)  
 
 G/IT/W/20 
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    Discussions focused on wwhether the description was meant to cover the complete monitors, 
flat panels, and/or only display units/devices.   
 Question:  Was the description meant to cover finis hed products?, or if it also was meant to cover 
items in the semi-finished/component state? 
 
• 2 delegations felt the description meant to  cover both semi-finis hed products/components 
and finished products.  
• 1 delegation commented that: " Descriptions of  flat panel display devices differ according 
to producers of such devices and other manufactures who use the devices as a component 
in their products: According to the former, th e devices are final products; according to the 
latter, the devices are components in a supply chain to be used in the manufacture of a 
product."  
• 1 delegation, in its recent submission, stat ed that this description meant to cover the 
finished goods and their parts except flat panels for television.   
• 3 delegations did not provide any view.  
  
13. 197- Paging alert devices, and parts thereof ( 852520 , 852790, 852910, 852990)
 
 
 Discussions did not reach agreement on the issue of a product called ‘two-way pagers’.  The 
group could not come to agreement on whether two-way pagers (ones that could send and receive 
messages) were covered by the ITA description.   Some argued that pagers involved one-way 
communication, and thus this product was not covered.   
 
Question:  Whether the description covering "paging  alert devices" was meant to cover items that 
were called "two-way pagers"? 
 
• 3 delegations felt that paging alert devices had two functions, both sending and receiving 
alert, and this description covered 'two-way pagers'.  
• 2 delegations thought the description sh ould not cover 'two-way pagers'.  
• 2 delegations did not answer the question.  
 
14. 199- Printed Circuit Assemblies for products falling within this agreement, including such 
assemblies for external connections such as card s that conform to the PCMCIA standard.  
Such printed circuit assemblies consist of one or  more printed circuits of heading 8534 with 
one or more active elements assembled thereon,  with or without passive elements "Active 
elements" means diodes, transistors, and si milar semiconductor devices, whether or not 
photosensitive, of heading 8541, and integrated  circuits and micro assemblies of heading 
8542. (841990, 842191, 842490, 843139, 846691, 846693, 846694, 847150, 847180, 847310, 
847321, 847329, 847330, 847340, 847350, 847790, 847990, 850490, 851440, 851490, 
851590, 851750, 851780, 851790, 851890, 852290, 852390, 852491, 852812, 852990, 
853190, 853890, 854389, 854390, 854890, 900990, 901090, 901190, 901290, 901390, 
901790, 902690, 902790, 903090, 903190)  
 
  Some took the view that only PCAs not co vered elsewhere would be covered, whereas others 
were of the view that this description should be  comprehensive and list all PCAs regardless of the 
coverage elsewhere in the ITA.  As part of the di scussion, the group identified for the relevant HS 
items where PCAs would be classified.  For some  items, PCAs were not relevant, whereas for others, 
the respective parts classification was ty pically the classification to use. 
 
Question:  Was it the comprehensive approach, i.e. identifying classifications of PCAs for all ITA 
products, necessary? or a more limited approach, i.e.  identifying only items that were not already 
covered by the ITA elsewhere?  G/IT/W/20 
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• 2 delegations thought the comprehensive appr oach  was more appropriate and all PACs 
were covered.  
• 1 delegation indicated that it should be a limited  approach, i.e. identifying only items that 
were not already covered by the ITA elsewhere.  
• 2 delegations did not answer the question. 
• 2 delegations, in their recent submissions indi cated that considerations are required.  
 
15. 201-  Proprietary format storage devices including media therefor for automatic data 
processing machines, with or without removable media and whether magnetic, optical or 
other technology, including Bernoulli Box, Syquest, or Zipdrive cartridge storage units 
(847170, 852311, 852312, 852313, 852320, 852390, 852431, 852439, 852440, 852491, 
852499)  
 
   The group was not sure about the coverage of th e media, as covered, if separate from the 
apparatus or not. 
 Question:  Was the associated media meant to be  covered whether or not it was included in the 
device? 
 
• 4 delegations thought the associated media was meant to be covered by the description 
whether it was included in the device or not, however, two of them could consider 
associated media as not being covered by this description, since all associated media 
covered by this description were al ready covered in Attachment A.  
• 1 delegation, in its recent submission, supported including the separately presented 
proprietary media in this category.  
• 2 delegations did not answer  the question.  
 
16. 137- Encapsulation equipment for assembly  of semiconductors ( 847710, 847740, 847759, 
847989)  
  Discussions continued on what was meant by ‘encapsulation’.  There was the issue of whether 
encapsulation was determined by the type of material i.e. plastic, rubber, glass, ceramic, epoxy, etc…   
 
Question:  Was the description meant to cover ‘enc apsulation’ by all different types of materials 
(plastic, rubber, glass, ceramic, epoxy, metal, etc…), and thus all the respective machines that 
perform encapsulation with the va rious materials (e.g. molding, th ermoforming, welding, etc…)? 
 
• 5 delegations thought encapsulation by all diffe rent types of materials should be covered 
by the description.  
• 2 delegations did not answer the question.  
 
New Question:  Can the Committee agree that the description covers both the finished products and 
parts thereof?  
• 1 delegation, in its recent submission, thought that the description covers the finished 
products and parts thereof..  
 
17. 138- Parts of encapsulation equipment (847790, 847990)
 
 G/IT/W/20 
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   Answer to the question under number 16 above woul d determine the outcome of this item as it 
refers to the respective host apparatus.  
18. 144- Encapsulation equipment for assembly  of semiconductors ( 847710, 847740, 847759, 
847989)  
  The same question as number 16 above. 
 
19. 155- Parts of encapsulation equipment fo r assembly of semiconductors (847790, 847990)
 
 
 Answer to the question under number 16 above woul d determine the outcome of this item as it 
refers to the respective host apparatus. 
 
 However, one delegation, in its recent submi ssion, indicated that for all of these items, the 
issue was whether additional headings should be added to cover hypothetical processes and it had 
notified to all types of processes that were known to industry. It said that other delegations that would 
like to include other processes but had not provided a ny information as to what other types were used 
by industry.   
 
20. 192- Electric amplifiers when used as repeater s in line telephony products falling within this 
agreement, and parts thereof (851750, 851780, 851790, 851840, 851890)  
 
   Discussions continued on the issue of amplifi ers, especially audio-frequency versus electric 
amplifiers.  It was noted that one could not distingu ish repeaters that were used in telephony only.  
Without imposing an end-use criteria,  it would be difficult to identify only those products used in line 
telephony. 
 
Question: Are all repeaters intended to be covere d?, not only those used in line telephony only? 
 
• 1 delegation indicated that electric amplifiers when used as re peaters only in line  telephony 
   products were inte nded to be covered.  
• 2 delegations indicated further consider ation of this issued was required.  
• 4 delegations did not answer the question.    
 
Question: If repeaters are limited to line tele phony, how should one dis tinguish between those 
intended for different uses? 
 
• 2 delegations indicated further consider ation of this issued was required.  
• 5 delegations did not answer the question.  
 
   At the Committee meeting of 25 May 2005, one delegation noted that in the informal meeting 
of custom experts (G/IT/14/Rev.1/Add.1), it was rec ognized that some of the products covered by this 
description were being discussed at an ongoing court case and the issue of certain repeaters would be 
taken at WCO HSC. It would like to further consider  this issue based on those results, and appreciated 
if any information concer ned would be provided.  
 
 One delegation noted the difficulties faced by Cu stoms in determining whether such repeaters 
were suitable for use solely or principally in  line telephony at the time of importation.  
 
 One delegation, in its recent submission, stated  that one delegation had originally asked that 
this item not be discussed as they had a pending case on this question. It said that the ITA item 
description was for “electric amplifiers” used in  “line telephony products”. No mention of LAN.  G/IT/W/20 
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  Therefore, issue of 8471 vs. 8517, was not presen t. Heading 8518 specifically described “electric 
amplifers”. Heading 8517 covered “electrical appa ratus for line telephony or line telegraphy”. 
Heading 8518 was a more specific heading than head ing 8517. Even if the classification here could 
have not been resolved, based on language of head ings 8517 & 8518, the product would be classified 
in one of those headings based on specificity. Heading 8543 would be precluded. In May 2002 the 
Harmonized System Committee put LAN repeaters in 8471, therefore that delegation should have 
removed its reference to 8517 & 8543, unless they had court case pending. It asked for an update from 
that delegation on this issue.  
 
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