In re Sanmina-SCI India Private Limited (CAAR Mumbai)
The Customs Authority for Advance Rulings (CAAR), Mumbai, in In re Sanmina-SCI India Private Limited, ruled that RSA Backplane and Chassis Assemblies imported for manufacturing photonic service switches are classifiable under Customs Tariff Item 8517 79 90 as parts of telecommunication apparatus and eligible for Nil Basic Customs Duty (BCD) under Serial No. 5(a) of Notification No. 57/2017-Customs dated 30 June 2017, as amended. The applicant, an electronic contract manufacturer, proposed importing three models of customised chassis assemblies manufactured from aluminium and pre-plated steel with integrated backplane printed circuit board assemblies (PCBAs). These assemblies were designed exclusively for photonic service switches used in optical communication networks and performed essential functions such as mounting interface cards, distributing electrical power, enabling high-speed data interconnection, providing electromagnetic shielding and managing heat dissipation. The applicant contended that the imported goods had no independent functional use and could not be classified merely as articles of iron, steel or aluminium under tariff items 7326 90 99 or 7616 99 90. It sought confirmation of classification under tariff item 8517 79 90 and the corresponding customs duty exemption.
The Authority examined the technical characteristics of the imported assemblies, the General Rules for Interpretation and the relevant Section Notes to the Customs Tariff Act, 1975. It observed that photonic service switches were machines falling under Heading 8517 because they received, converted, switched and transmitted data through wired optical networks. However, the imported chassis assemblies could not independently perform these functions because they lacked interface cards, processors, power supply units and other functional modules. Consequently, they did not possess the essential character of complete photonic service switches and were appropriately regarded as parts of such equipment. Applying Note 2(b) to Section XVI, the Authority held that the assemblies were suitable for use solely with the specified switches and were therefore classifiable under Heading 8517. It further distinguished the imported assemblies from populated printed circuit boards classifiable under tariff item 8517 79 10, noting that the goods comprised integrated mechanical chassis and backplane structures performing multiple structural, protective and electrical functions. The Authority accordingly determined their classification under tariff item 8517 79 90, consistent with its earlier rulings concerning chassis and related components imported by the same applicant.
Regarding exemption eligibility, the CAAR held that Serial No. 5(a) of Notification No. 57/2017-Customs prescribed a Nil rate of Basic Customs Duty for goods falling under tariff item 8517 79 90, excluding parts of cellular mobile phones and wrist-wearable devices. Since the imported assemblies were specifically intended for photonic service switches and did not fall within these exclusions, they qualified for the exemption without any additional condition. However, the Authority clarified that the exemption was restricted to Basic Customs Duty and did not extend to integrated tax under Section 3(7) of the Customs Tariff Act, 1975, or any other applicable duty, tax or cess outside the First Schedule. The ruling was confined to the specified complete chassis assemblies with integrated backplane PCBAs imported without interface cards, processors, power supply units or fan modules. Separately imported backplane PCBAs or differently configured assemblies would require independent classification. Accordingly, the Authority answered the classification and exemption questions in favour of the applicant and held that the alternative classification question did not arise.
FULL TEXT OF THE ORDER OF CUSTOMS AUTHORITY FOR ADVANCE RULINGS, MUMBAI
M/s. Sanmina-SCI India Private Limited (IEC No.: 0403030714) (“the Applicant’) filed an application (CAAR-1) for advance ruling in the Office of Secretary, Customs Authority for Advance Ruling (CAAR) Mumbai. The said application was received in the secretariat of the CAAR, Mumbai on 13.05.2026 along with its enclosures in terms of Section 28H (1) of the Customs Act, 1962 (hereinafter referred to as “the Act”), seeking advance ruling in respect of classification of “RSA Backplane and Chassis Assemblies” imported for use in the manufacture of Photonic Service Switches, and the applicability of Serial No. 5 of Notification No. 57/2017-Customs dated 30.06.2017 (as amended) to such imports.
2. Question(s) on which Advance Ruling is required:
Question 1: Whether the following goods, imported by the applicant for the manufacture of Photonic Service Switches,, are classifiable under tariff item 8517 79 90 of the Customs Tariff of India as “Parts of other apparatus for transmission or reception of voice, images or other data, including apparatus for communication in a wired or wireless network (such as a local or wide area network)”:
1. RSA Backplane and Chassis Assembly PSS-8x -LFIALC3TD00071AAAC
2. RSA Backplane and Chassis Assembly PSS-12x- LFIALC3TD00286AAAC
3. RSA Backplane and Chassis Assembly PSS-24x- LFIALC3KC50378ABAC
Question 2: If the answer to Question 1 is in the affirmative, whether the applicant is eligible to avail the benefit of concessional rate of duty under Serial No. 5 of Notification No. 57/2017-Customs dated 30.06.2017?
Question 3: If the answers to the above questions are in the negative, what would be the correct classification of the above items under the Customs Tariff of India.
3. Applicant’s eligibility for Advance Ruling: The applicant holds a valid TEC No. 0403030714 and therefore qualifies as an “applicant” under Section 28E(c) of the Customs Act’ 1962. The questions on which the advance ruling is sought relate to the classification of goods and to the applicability of Serial No. 5 of Notification No. 57/2017-Customs dated 30.06.2017, and therefore fall within clauses (a) and
1. of Section.28H(2). The relevant Section of the Customs Act 1962 has been reproduced below: Section 28E. Definitions. —
2. “applicant” means any person, –
(i) holding a valid Importer-exporter Code Number granted under section 7 of the Foreign Trade (Development and Regulation) Act, 1992; or
Section 28H. Application for advance ruling. –
(1) An applicant desirous of obtaining an advance ruling under this Chapter may make an application in such form and in such manner and accompanied by such fee as may be prescribed, stating the question on which the advance ruling is sought.
(2) The question on which the advance ruling is sought shall be in respect of – applicability of notifications issued in respect of tax or duties under this Act or the Customs Tarif fAct, 1975 (51 of 1975) or any tax or duty chargeable under any other law for the time being in force in the same manner as duty of customs leviable under this Act or the Customs Tarff Act
The applicant has declared that no proceedings involving the same issue are pending before any Customs authority, Appellate Tribunal or any Court of Law. Accordingly, the application appears admissible under Section 28-I (2) of the Customs Act, 1962.
4. Applicant’s Submissions:
4.1 The Applicant is a company incorporated in India, having its registered office located at 1, SIPCOT Industrial Growth Centre, Mathur Village, Oragadam, Chennai 602105. The Applicant is a contract manufacturer of electronic components. The Applicant is a joint venture between Reliance Strategic Business Ventures Limited and Sanmina-SCI Systems Singapore Pte. Ltd. The applicant further states that Sanmina Group is among the world’s largest electronic manufacturing service (EMS) with operations in 21 countries on six continents and Sanmina Corporation designs, manufactures and repairs some of the most complex and innovative optical, electronic and mechanical products in the world.
4.2 The applicant imports the goods listed below made of aluminium and steel i.e. RSA Backplane and Chassis Assembly PSS-8x-LFIALC3TD00071AAAC, RSA Backplane and Chassis Assembly PSS-12x-LFIALC3TD00286AAAC and RSA Backplane and Chassis Assembly PSS-24x-LFIALC3KC50378ABAC for the manufacture of photonic service switches. The applicant states that the goods are manufactured by the foreign supplier to comply with the intricate dimension measurements and precise specifications & requirements provided by the Applicant.
4.3 Description of Imported items
4.3.1 The RSA Backplane and Chassis Assembly PSS is made from aluminium and pre-plated steel. This choice of material provides a balance of strength and corrosion resistance, which is essential for the durability and longevity of in a data center environment.
4.3.2 The product provides a protective barrier for the sensitive electronic components housed inside the photonic service switches. It shields them from physical damage, dust, and other environmental contaminants, which are vital for maintaining the performance and reliability of the switches.
4.3.3 The design includes features that facilitate effective thermal management, such as ventilation, meshes and heat dissipation mechanisms. Proper thermal management is crucial to prevent overheating, which can lead to equipment failure or reduced performance.
4.3.4 The robust construction of the product offers structural integrity, ensuring that the switches are securely housed. This stability is essential for maintaining the alignment and connectivity of internal components, which is critical for optimal performance.
4.3.5 The product is designed with a network of channels and vents specifically arranged to facilitate efficient airflow. These pathways are critical for managing the thermal environment within the chassis assembly, ensuring that heat generated by the electronic components, cards are effectively dissipated.
4.3.6 The product aids manage airflow and cooling, which are crucial for maintaining optimal operating temperatures for the switches. They are designed to facilitate efficient heat dissipation, preventing overheating of components. The design includes ventilation slots, for fans and other cooling mechanisms integrated within the chassis.
4.3.7 The use of aluminium, pre-plated steel aid in shielding the modular interface cards and electronic components from electromagnetic interference. EMI can disrupt the operation of the photonic service switches.
4.3.8 The RSA Backplane and Chassis Assembly acts as the primary base for mounting and installation of modular interface cards and other electronic components of the photonic service switches.
4.3.9 The product is customized with pre-specified demarcated protrusions, compartments, circumscribed & delimited projections, boundaried protuberances, exclusive pre-measured chambers with identified partitions, designated provisions and areas as provided by the Applicant for mounting, bolting and installation of modular interface cards, power supply modules and other components. The product is manufactured by the supplier located outside India bais the designs and drawing provided by the Applicant for specific use in manufacturing of the photonic service switches.
4.3.10 The chassis contains mechanical provisions for airflow management, chambers for status indication and insulators for electrical protection. The products imported are used as such in India without any further processing or activity.
4.3.11 The RSA Backplane and Chassis Assembly l’SS shields the internal parts from physical damage due to accidental impacts, vibrations, and other mechanical stresses that might occur in a data center environment.
4.3.12 The backplane Printed Circuit Board Assembly (PCBA) integrated along with the imported product are engineered with precision to accommodate the dimensional specifications and structural requirements of the modular interface cards, thereby facilitating a secure and immobile interface between the electronic circuitries.
4.3.13 The product is an intricate assembly of various steel, aluminium components, backplane PCBAs and sheets, which have been meticulously engineered. The assembly is designed to accommodate the precise installation and integration of pre-measured electronic components including controllers, power modules, and interface cards. The steel and aluminium components, are fabricated with high precision to ensure dimensional accuracy and structural integrity. These components are assembled using techniques such as welding, bolting, and riveting to create a robust and stable structure capable of supporting the electronic systems.
4.3.14 The product consists of intricately designed protrusions on the interior portion which, serve as pivotal anchorage points for the modular interface cards, ensuring their positional stability and mechanical integrity upon affixation. These mounts are engineered with precision to accommodate the dimensional specifications and structural requirements of the components including the interface cards, fan modules, cooling systems and controllers, thereby facilitating a secure and immobile interface.
4.3.15 By providing a well-designed chassis the product aids in managing the thermal environment of the photonic service switches. Proper thermal management is vital to prevent overheating, which can lead to equipment failure or reduced performance.
4.3.16 The product provides a protective barrier for the sensitive electronic components within the photonic service switches. This protection is crucial for preventing physical damage from external factors such as dust, debris, and accidental impacts.
4.3.17 The use of steel components and precise assembly techniques help shield the sensitive electronic components from electromagnetic interference, which can disrupt the operation of the photonic service switches.
4.3.18 The design of the assembly takes into consideration factors such as load distribution, thermal management, electromagnetic interference shielding, and ease of access for maintenance and upgrades. The assembly process involves detailed planning and coordination to ensure that the electronic components can be seamlessly integrated into the framework, with pre-defined slots, mounts, and pathways for cabling and connectors to ensure efficient connectivity and signal integrity.
4.3.19 The intricately designed protrusions on the interior portion of the product, serve as pivotal anchorage points for the modular interface cards, ensuring their positional stability and mechanical integrity upon affixation.
4.3.20 From a mechanical engineering perspective, the mounting locations are integral in mitigating any translational or rotational displacement of the interface cards that could arise due to external vibrations, thermal expansion, or mechanical stresses encountered during the operational lifecycle of the photonic service switches. This immobilization is crucial in preserving the conductive pathway alignments and maintaining the electromagnetic coupling configurations essential for optimal signal transduction and fidelity.
4.3.21 Moreover, the stability imparted by the mounting pads and protuberances are paramount in safeguarding the electrical performance of the interface cards and power supply modules as any inadvertent movement or misalignment could result in signal deflection, attenuation, or phase distortion, thereby compromising the integrity and reliability.
4.3.22 Insulators within the chassis serve as critical components for ensuring electrical safety and integrity. They prevent unintended electrical contact between conductive parts, which could lead to short circuits or component damage. These insulators are strategically placed to isolate different sections of the interface cards, connectors, or any parts of the chassis that might come into contact with electrical components.
4.4 Final Product manufactured by the Applicant – Photonic Service Switch
4.4.1 A Photonic Service Switch (PSS) is an advanced telecommunication networking device designed to manage and direct data traffic transmitted over fiber optic networks using light signals. A photonic service switch operates primarily in the optical domain. This capability allows it to switch and route data directly as light, significantly enhancing the speed and efficiency of data transmission across the network.
4.4.2 The photonic service switch operates on the principle of dense wavelength division multiplexing (DWDM) by switching, grooming, and routing data at the optical layer (photon level) rather than converting signals to electricity (electrons). It leverages DWDM to cram dozens or hundreds of independent data channels— each on a unique, tightly spaced wavelength onto a single fiber pair.
4.4.3 The primary function of a photonic service switch is to facilitate the high-capacity, low-latency transport of data over long distances, making it an essential component in core and metro optical transport networks. By managing optical channels and wavelengths, the PSS supports scalable and flexible network architectures, enabling service providers to dynamically allocate bandwidth and optimize network resources. This technology plays a critical role in meeting the growing demand for bandwidth-intensive applications such as video streaming, cloud computing, and data center interconnects.
4.4.4 It offers an advanced solution for Optical Transport Network (OTN) switching, designed to accommodate the increasing bandwidth requirements driven by contemporary applications such as 1 OOG and 400G services.
4.4.5 The flexibility and extensibility of the photonic service switch are further enhanced by its support for a diverse portfolio of interface cards. These cards cater to varying network demands and service profiles, encompassing multiservice capabilities with high port density and variable data rates. For example, cards like the 5MX500 provide programmable 100G/ 400G multiservice interfaces with multi-rate capabilities, while others offer flexible multi-rate configurations across different client speeds and standards.
4.4.6 The photonic service switch supports a broad portfolio of interface cards ranging from sub-10G to 400G capabilities, enabling it to serve a wide spectrum of client services. These multiservice cards support various protocols and interface types, including Ethernet, SONET (Synchronous Optical Network) and high-order transport signals, making the PSS highly versatile for diverse network environments. The pluggable transceiver modules further augment this flexibility, allowing operators to adapt to evolving hardware and connectivity standards.
4.4.7 Central to the platform’s architecture is a modular backplane assembly (printed circuit board assembly integrated with connectors) that provides the electrical foundation. This assembly is designed to house up to 24 (depending upon the version and model) interface card slots in a single configuration delivering a non-blocking switching capacity of 24 Tb/s.
4.4.8 The backplane PCBA facilitates high-speed data exchange and power distribution among the housed modules, ensuring seamless communication and high availability. The platform also incorporates power modules and supports industry-standard power options, ensuring reliable operation.
4.4.9 The backplane PCBA supports high-speed data transfer between interface cards, through carefully engineered signal traces, high-speed connectors, embedded switching fabrics, bridging circuits integrated into the design of the PCBA. These features ensure low latency, minimal signal degradation, and robust electromagnetic compatibility, which are essential for carrying optical and packet data streams with integrity and precision.
4.4.10 The backplane PCBA facilitates power distribution to each of the cards inserted into the assembly. The design supports power supply inputs and routes power securely to ensure uninterrupted operation of all modules. This includes the interface cards and other components such as control units and cooling systems.
4.4.11 The backplane PCBA supports signling and management protocols necessary to coordinate the operation of the cards. This includes clock distribution for timing synchronization, control plane communication channels for configuration and monitoring, and mechanisms to handle fault detection and error correction. Through these capabilities, the backplane PCBA not only physically connects the modules but also integrates them into the unified system for advanced data routing, protection switching, and traffic management.
4.4.12 The photonic service switch facilitates efficient optical and packet switching by managing data signals in the optical domain, reducing the need for electro-optical conversion and thereby improving latency and power efficiency.
4.4.13 It supports integration with network management systems (NMS) and software-defined networking (SDN) frameworks, enabling automation, rapid provisioning, and dynamic network optimization
4.4.14 With extensive fault-tolerant features, power supplies, and robust error detection and correction mechanisms, the photonic service switch ensures continuous service delivery. This high availability is crucial for carrier networks that demand minimal downtime.
4.5 The Applicant submitted that the final products (i.e., photonic service switches) predominantly comprise of the following parts:
4.5.1 Chassis including the backplane PCB: The physical chassis that houses and protects all internal components along with the other functions of thermal management, EMI shielding etc. as detailed above. The backplane assembly integrated with the chassis acts as the high-speed interconnection backbone between cards inserted into the shelf. It manages power distribution, control signals, and high-speed data transfer across all interface cards, ensuring synchronous, coordinated operation of the entire switch.
4.5.2 Interface Cards: These modular cards provide the physical network interfaces and handle signal processing for different types of client connections. Examples include l 00G/400G multiservice cards, Ethernet client cards, and various multi-rate interface cards that adapt to the specific networks requirements.
4.5.3 Power Supply Units (PSUs) including converter: Provide the necessary electrical power to the switch. The Power Supply Unit (PSU) converts the incoming alternating current (AC) power from the electrical grid into a stable, regulated direct current (DC) power supply that is used by the switch’s internal components. The PSU also regulates the voltage to ensure it meets the specific requirements of the switch’s circuits. These modules also aid in ensuring continuous operation even in case of a power supply failure.
4.5.4 Cooling System: Includes fans and heat sinks to dissipate heat generated by the switch’s components, maintaining optimal operating temperatures.
4.5.5 Processor, Control and Management Cards: The central processing unit that manages and controls switch operations, including data processing and routing decisions. They handle system-level control, configuration, and monitoring functions. They run the operating software and provide interfaces for network management systems, enabling remote management, fault detection, and system diagnostics.
4.6 The RSA Backplane and Chassis Assembly PSS-8x-LFIALC3TD00071AAAC, RSA Backplane
and Chassis Assembly PSS-12x- LFIALC3TD00286AAAC and RSA Backplane and Chassis Assembly PSS-24x- LFIALC3KC50378ABAC, are customized with pre-specified demarcated protrusions. compartments, circumscribed & delimited projections, boundaried protuberances, exclusive pre-measured chambers with identified partitions, designated provisions and areas as provided by the Applicant for mounting and installation of interface cards, power supply modules and controllers. The internal structure of the chassis and covers is meticulously engineered to include specific protrusions and mounting pads. These are not arbitrary; they are strategically positioned to coincide with the mounting points of the interface cards.
4.7 These protrusions are crafted to precision tolerances, ensuring they align perfectly with the holes or slots in the interface cards. This alignment is critical for secure installation and effective load distribution. The chassis includes exclusive compartments and chambers with clearly defined partitions. These are designed to house specific components or subsystems of the interface cards, providing a protected environment that minimizes exposure to external vibrations and electromagnetic interference. Such demarcated areas also facilitate efficient cable management and airflow, crucial for maintaining optimal operating temperatures and signal integrity.
4.8 The chassis features circumscribed and delimited projections that create defined boundaries for component placement. This design ensures that sensitive electronic parts are securely contained and that there is no unwanted movement that could lead to mechanical or electrical failures. These projections also help in isolating different sections of the interface cards, which are important for maintaining the independence of various functional modules and minimizing cross-talk or interference.
4.9 The mounting locations (along with connectors on the backplane PCBAs) are engineered with high precision to match the exact dimensions and structural needs of the interface cards. This precision ensures that the interface cards fit perfectly within the enclosures, minimizing any movement that could disrupt their operation. The design allows for a seamless interface between the electronic components and the enclosure, thereby supporting the mechanical integrity of the entire assembly. These pads serve as pivotal anchorage points, ensuring the interface cards are held in a stable and secure position once installed. This stability is crucial for maintaining the alignment of conductive pathways and ensuring that electromagnetic coupling configurations remain intact.
4.10 The mounting locations play a crucial role in mitigating any translational (linear) or rotational (angular) displacement of the interface cards that could arise due to external vibrations or mechanical stresses encountered during the operational lifecycle of the photonic service switch. By immobilizing the interface cards, the risk of misalignment is minimized, preserving the integrity of signal paths and ensuring consistent data transmission. The stability imparted by the mounting locations on the chassis is paramount in safeguarding the electrical performance of the interface cards. Any inadvertent movement or misalignment could result in signal deflection, attenuation, or phase distortion. By ensuring that the interface cards and the other electrical components remain fixed in position, the design helps to maintain signal integrity and reliability, preventing errors that could compromise the switch’s functionality.
4.11 The chassis are manufactured with pre-plated steel and aluminium. The same can be observed from the drawings which highlight that the same complies with ISO-1302-2002 (including the plating thereof) and the datasheet highlighting use of aluminium and steel for surface grading requirements. Pre-plated steel refers to steel that has undergone a plating process before being used. This process involves coating the steel with a thin layer of other metals like zinc, nickel, chromium, or tin, to enhance its surface properties. The same is further explained hereunder:
- Zinc Plating (Galvanizing): Primarily used for corrosion resistance. Steel is dipped in molten zinc, forming a protective layer. This layer acts as a sacrificial anode, meaning it corrodes before the steel does, providing long-lasting protection.
- Nickel Plating: Provides a hard, durable finish that resists corrosion and wear. Provides a hard, durable finish that resists corrosion and wear.
- Chrome & Tin Plating: Involves electroplating chromium and Tin onto the steel surface.
The plated layer protects steel from environmental factors such as moisture, chemicals, and air, preventing rust and degradation. Plated steel often has increased hardness and wear resistance, extending the service life of products. Pre-plating allows for streamlined production processes, as components can be used directly without needing additional surface treatment. Pre-plating ensures that the surfaces have uniform properties. This uniformity is crucial for maintaining consistency in performance, as it affects everything from corrosion resistance to thermal management. By pre-plating, manufacturers can eliminate post-manufacture surface treatments such as painting or additional coatings, which can introduce variability in thickness, adherence, and overall quality. Pre-plating can enhance thermal conductivity or emissivity of the enclosures, depending on the plating material used (e.g., nickel for better thermal conduction). This can assist in managing heat dissipation more effectively, ensuring that the switches operate within their optimal temperature range. Pre-plated steel is specifically designed to provide effective EM7 siirelding. This is critical for maintaining signal integrity within data centers, where numerous electronic devices operate in close proximity. The plating materials can be chosen to maximize shielding effectiveness, minimizing interference and ensuring reliable data transmission. By having a consistent, high-quality surface finish from the outset, the likelihood of defects related to surface treatments is minimized. The enhanced protection and performance characteristics of pre-plated chassis ensure that switches maintain reliable operations, which is critical for minimizing downtime and maintaining data center performance.
4.12 The pre-customized tailor-made chassis and covers are imported for the manufacture of photonic service switches and can be used only for the customer who has ordered the custom-made receiver used for reception.
4.13 There is no market for the photonic service switches without the imported chassis. The photonic service switches as finished products are customarily sold as a complete functional package along with the chassis (which incorporates the backplane and PCBA). The photonic service switches cannot function in the intended manner in the absence of the imported chassis.
4.14 Functional Utility of RSA Backplane And Chassis Assembly Which Are Subject Matter Of Advance Ruling
4.14.1 The RSA Backplane and Chassis Assembly (made up of aluminium, pre-plated steel, PCBAs) pertaining to different models of Photonic Service Switches,, act as an integral part of the switches and contribute to their functional utility in the following ways:
Integrated backplane Printed Circuit Board Assembly (PCBA)
4.14.2 The imported RSA Backplane and Chassis Assembly includes an integrated backplane Printed Circuit Board Assembly (PCBA) with high-speed and power connectors that form the electrical and logical backbone of the photonic service switch, enabling interface cards, power modules and other units to operate as a single coherent system.
High-speed data interconnection between interface cards
4.14.3 The backplane PCBA is engineered as a modular backplane assembly that provides the electrical foundation for the switch, with up to 24 card slots (depending on the version/model). Along the backplane PCBA, multiple high-speed connectors are positioned to mate precisely with corresponding connectors on each interface card, processor/control card and other functional modules inserted into the chassis. The PCB layout incorporates carefully engineered signal traces and embedded switching/bridging circuits that carry high-bandwidth data between cards, ensuring low latency and minimal signal degradation across the entire chassis backplane. These traces and connectors collectively implement the non-blocking switching capacity (up to 24 Tb/s in a 24-slot configuration), allowing any interface card to exchange data with any other via the backplane fabric without bottlenecks.
Power distribution to interface cards and power modules
4.14.4 In addition to signal connectivity, the backplane PCBA distributes electrical power from the power supply modules to every card and subsystem in the chassis. Dedicated power buses and power-pin groups built into the backplane connectors route stable DC power from the PSUs to each interface card, control card, fan/cooling assembly and other active modules, ensuring uninterrupted operation of all components installed in the chassis.
Control Management and synchronization signalling
4.14.5 The backplane PCBA implements a management and control signalling plane between the central control/processor cards and all other modules in the chassis. Through specific connector pins and dedicated traces, the backplane distributes clock signals for timing synchronization, control-plane communication channels for configuration and monitoring, and signalling paths used for fault detection and error reporting between modules and the system controller. These management and signalling pathways are what that allow the platform to coordinate functions such as protection switching, traffic management, and health monitoring across all interface cards and power modules connected to the backplane PCBA.
Mechanical Alignment and secure mating of connectors
4.14.6 The chassis and backplane assembly is mechanically engineered so that the card guides, protrusions, mounting pads and slot architecture force each interface card and power module to align accurately with its backplane connector PCBA during insertion. These structural features prevent translational or rotational displacement of cards under vibration or thermal stress, thereby maintaining consistent mating pressure and positional integrity at the backplane connectors throughout the operational life of the switch.
4.14.7 By immobilizing the cards, the design of the chassis and backplane PCBA preserves alignment of the conductive pathways through the connector interfaces, which are essential for maintaining signal integrity (avoiding deflection, attenuation or phase distortion) between the backplane PCBA and each module it serves.
4.14.8 Functionally, the backplane PCBA of the chassis with its connector system turns individual interface cards, controllers, power modules, and cooling units into a single, unified photonic service switch platform. By simultaneously providing high-speed data paths, power distribution, synchronized timing, control signaling, and a mechanically stable interconnection, the backplane PCBA connectors enable all inserted modules to act cohesively to perform high-capacity optical and packet switching in carrier-grade networks.
Elimination of RF interference and provision of EMI/RFI shielding capabilities
4.14.9 Photonic service switches are critical components in network infrastructures, responsible for managing data traffic and ensuring efficient communication between servers and other network devices. The chassis and covers of these switches play crucial roles in their overall functionality, performance, and reliability. Electromagnetic Compatibility (EMC) is a critical consideration in the design and operation of Photonic service switches. It ensures that electronic devices function properly in their electromagnetic environment without introducing interference to other devices. EMC encompasses both immunity to external electromagnetic interference (EMI) and the control of emissions to prevent causing interference. For Photonic Service Switches, effective EMI/RFI shielding is vital to maintain signal integrity and reliable performance, considering the dense data center signal environments in which these switches operate. The chassis and the covers ensure that external EMI interferences (from other electronic devices in the data center) do not interfere in the functioning of these Photonic service switches. The pre-plated steel and aluminium chassis plays a pivotal role in safeguarding the photonic service switch functionality against disruptive RF interferences from the external environment. This shielding capability is crucial for maintaining data integrity within sensitive electronic components on the PCBA inside the Photonic Service Switches,, which are susceptible to external RF interference that can degrade performance and reliability.
4.14.10 The pre-plated steel that has been plated with a conductive material, such as zinc or tin (as detailed above). These coatings are chosen for their efficiency in blocking electromagnetic fields. The pre-plated steel chassis and covers exhibit intrinsic electromagnetic interference (EMI) and radio frequency interference (RFI) attenuation properties, making them essential for applications requiring robust RF shielding. The conductive coating acts as a barrier against electromagnetic waves, preventing them from penetrating the chassis and affecting the internal components. The conductive layer enhances the shielding effectiveness by absorbing and reflecting electromagnetic waves, thus protecting sensitive electronic components inside the switch.
4.14.11 The plating process ensures that the conductive coating is applied uniformly across the steel surface. This uniformity is crucial for maintaining consistent shielding properties. Uniform surfaces reduce the likelihood of gaps or discontinuities in the shielding layer. Gaps could allow electromagnetic fields to penetrate the chassis and interfere with internal components. With a uniform conductive surface, photonic service switches can maintain consistent shielding performance, which is critical for reliable operation in environments with high electromagnetic activity. To prevent EMI/RFI leakage, gaskets and seals are used at junctions and openings. These are typically made from conductive elastomers or metal ized fabrics that maintain an electrical seal.
4.14.12 The demarcated protrusions and chambers on the chassis and the covers helps aiding in preventing crosstalk. The chassis design include internal partitions or compartments that isolate sensitive components, reducing the risk of cross-talk and interference within the switch itself. Crosstalk refers to the unwanted transfer of signals between adjacent cables or components, which can degrade performance or cause errors in sensitive electronic systems. The shielding provided by pre-plated steel chassis and the covers helps to isolate components within the switch, reducing the risk of electromagnetic noise causing signal disruption. By minimizing crosstalk, the switch can maintain high signal integrity, ensuring that data is transmitted accurately and without error. Reduced crosstalk contributes to the overall stability and reliability of data center switches, which is essential for managing large volumes of data traffic in a high-performance computing environment.
Cooling, Air Flow Management, Thermal Conductivity and Heat Dissipation
4.14.13 Efficient cooling and airflow management are crucial for ensuring the optimal performance and reliability of photonic service switches. These systems are designed to handle high-density computing tasks, which generate significant amounts of heat. To prevent overheating and maintain stable operations, cooling strategies must be meticulously planned and implemented. The vent layouts on the chassis and plates of the photonic service switches are engineered with strategically placed vents and airflow channels. These features facilitate the movement of cool air into the chassis while expelling hot air, creating a continuous flow that prevents heat buildup. Fans are positioned within the chassis to create directed airflow patterns that specifically target heat-generating components. This approach minimizes the formation of hotspots, ensuring consistent cooling across the entire switch. The chassis design allows for customization in fan assembly configurations. This flexibility means that fans can be added, removed, or repositioned based on specific cooling requirements, ensuring efficient heat management for various workloads. Switch chassis often support modular fan units, which can be easily replaced or upgraded as thermal demands change. This modularity offers scalability, allowing the cooling system to evolve with the switch’s operational needs, especially as hardware is upgraded or workloads increase. Photonic service switches include redundant fan systems to ensure cooling continuity. If one fan fails, backup units immediately activate to maintain sufficient airflow and prevent overheating. The chassis design facilitates easy access to fan units, allowing for swift maintenance or replacement. This feature is vital in data centers where uptime is crucial, as it minimizes interruptions to network operations.
4.14.14 The chassis construction utilizes aluminium known for their high thermal conductivity. These materials are effective at conducting heat away from hot components. The ability of these materials to quickly transport heat is crucial for preventing local overheating, ensuring the switch operates within safe temperature ranges. Spreaders are integrated into the chassis design to increase the surface area available for heat dissipation. These components are strategically placed in contact with the hottest parts of the switch, facilitating efficient heat transfer away from sensitive components which are in turn absorbed by the chassis and covers of the to be radiated away into the external environment. The chassis design promotes both convection (airflow over surfaces) and conduction (heat transfer through materials) to effectively manage thermal loads. This dual approach ensures that heat is both moved away from critical components and dissipated into the surrounding environment.
4.14.15By effectively channeling heat away from the internal electronic components to the environment, the aluminium plays a crucial role in maintaining the thermal equilibrium of the photonic service switches. Had the chassis and the covers not been made of aluminium or pre-plated steel, they would have lacked the adequate heat dissipation capabilities. The continuous 24/7 operation of the photonic service switches could lead to excessive thermal accumulation on the interface cards. This thermal buildup poses a significant risk of thermal overstress to critical internal components, on the interface cards, processors, and power management circuits, potentially leading to malfunction or failure of the device.
Vibration Reduction, Electrical Insulation, Structural integrity and Physical protection
4.14.16 The use of aluminium and pre-plated steel in the construction of chassis and covers for photonic service switches provides a range of technical benefits, focusing particularly on strength, corrosion resistance, and protective capabilities. These attributes are crucial for ensuring the durability and longevity of switches in demanding data center environments. Steel, by its nature, offers high tensile strength and rigidity, making it an ideal material for supporting and protecting the sensitive internal components of data center switches. Its robustness ensures that the chassis can withstand the mechanical stresses typical in such environments, including vibrations and impacts. The strong framework provided by steel helps maintain the alignment and connectivity of internal components, which is critical for optimal electrical performance. This structural integrity minimizes the risk of misalignment that could lead to connectivity issues or signal degradation.
4.14.17 The toughness of steel, combined with the protective plating and aluminium, enhances the chassis’s resistance to physical damage. This resilience ensures that the switch can endure accidental knocks or impacts without compromising its protective role, safeguarding the internal electronics from damage.
4.14.18 The mass and rigidity of steel aid in damping vibrations. This damping capability is vital in reducing mechanical stress on components and minimizing the risk of damage or displacement due to persistent vibrations arising out of the continuous operational fan assembly.
4.14.19 The robust construction of pre-plated steel chassis and covers provides an effective barrier against environmental contaminants such as dust, moisture, and chemical vapors, which could otherwise compromise the performance and reliabi 1 ity of sensitive electronic components. The chassis acts as a protective shell, shielding the internal parts from physical damage due to accidental impacts or mechanical stresses. This protection is crucial in maintaining the operational reliability of switches in dynamic data center environments. The plating process adds a layer of sound insulation to the steel chassis, which helps reduce the acoustic footprint of the photonic service switches. This is particularly beneficial in data centers where maintaining a quieter environment is desired. The design of pre-plated steel chassis can incorporate additional sound-dampening features, leveraging the material’s mass and rigidity to minimize noise from fans and other moving parts.
4.15 Applicant’s Interpretation of the Questions Raised
Applicant’s Interpretation on Question 1: The Applicant submits as follows:
a. There is no specific heading in. Chapter 73 or Chapter 76 for the goods, and classification under the residuary tariff items 7326 90 99 (other articles of iron or steel) or 7616 99 90 (other articles of aluminium) would be inappropriate. Note 1(f) to Section XV excludes articles of Section XVI, and the HSN Explanatory Notes to headings 7326 and 7616 exclude articles more specifically covered elsewhere in the Nomenclature.
b. The photonic service switch is apparatus of heading 8517, falling under the second single-dash entry “other apparatus for the transmission or reception of voice, images or other data …”, and more specifically under tariff item 8517 62 90.
c. The goods are “parts”. A part is an essential component without which the whole cannot function. The goods have no separate function of their own and cannot operate independently of the switch. Without them, the interface cards, power modules and controllers have nowhere to be installed and no common power, data or control plane, and the switch ceases to exist as an operating apparatus.
d. Note 2(a) to Section XVI does not apply, since the goods are not covered by any specific heading of Chapter 84 or 85. Under Note 2(b), parts suitable for use solely or principally with a particular kind of machine are classified with that machine. The goods are tailor-made for specific models ofPhotonic Service Switches,, and are therefore classifiable under heading 8517 as parts, specifically under tariff item 8517 79 90 .
e. The HSN Explanatory Notes to heading 8517 provide for the classification of parts of the apparatus of that heading and articles suitable for use solely or principally with a machine are classifiable with that machine and not as articles of base metal or plastics.
f. Under Rule 3(a) of the General Rules for Interpretation, heading 8517 is more specific than headings 7326 and 7616.
The Applicant has relied upon various case laws and circulars including:
i. Commissioner of Customs (Air Cargo Import), Mumbai v. Reliance .Jio Infocomm Ltd. (CESTAT, Mumbai, upheld by the Hon’ble Supreme Court)
ii. Medha Servo Drives Pvt. Ltd. v. Commissioner of Customs, Hyderabad (CESTAT, Hyderabad, upheld by the Hon’ble Supreme Court)
iii. Ingram Micro India Pvt. Ltd. (2023) 4 Centax 432 (A.A.R.-Cus.-Mum.)
iv. CCE v. Insulation Electricals (P) Ltd., 2008 (224) E.L.T. 512 (S.C.)
v. Anti Evasion, Circle III, Jaipur v. Prasoon Enterprises, 2019 (23) G.S.T.L. 441 (S.C.)
vi. Commissioner of Customs (Import) v. Welkin Foods, 2026 (1) TMI 348 (S.C.)
vii. Vodafone Idea Ltd. v. Principal Commissioner of Customs (CESTAT, New Delhi)
viii. Vodafone Idea Ltd. v. Principal Commissioner of Customs, New Delhi, 2025 (1) TMI 556 (CESTAT, New Delhi)
ix. Ciena Communications India Pvt. Ltd. v. Principal Commissioner of Customs (Import), Mumbai, 2024 (1) TMI 683 (CESTAT, Mumbai)
x. SEW Eurodrive India Pvt. Ltd. v. Commissioner of Customs, Chennai-II, 2024 (1) TMI 465 (CESTAT, Chennai)
xi. G. S. Auto International Ltd. v. CCE, 2003 (152) E.L.T. 3 (S.C.)
xii. Cast Metal Industries (P) Ltd. v. CCE, 2015 (325) E.L.T. 471 (S.C.)
xiii. Rail Tech v. CCE, Chandigarh (CEGAT, New Delhi)
xiv. Eureka Forbes v. CCE, 2001 (130) E.L.T. 146 (CEGAT)
xv. Camlin Ltd. v. CCE, 2000 (121) E.L.T. 178 (Tri.-Bom.)
xvi. Samsung India Electronics Pvt. Ltd. v. Principal Commissioner of Customs, 2023 (12) TMI 1155 (CESTAT, New Delhi)
xvii. Vivo Mobile India Pvt. Ltd. v. Principal Commissioner of Customs, New Delhi (CESTAT, New Delhi)
xviii. CCE v. Wockhardt Life Sciences, 2012 (277) E.L.T. 299 (S.C.)
xix. Western India Plywoods Ltd. v. Collector of Customs, 2005 (188) E.L.T. 365 (S.C.)
xx. State of Karnataka v. Durga Projects Inc., (2018) 4 SCC 633
xxi. CBEC Circulars No. 121/32/95-CX dated 02.05.1995, No. 225/59/96-CX dated 01.07.1996, No. 353/69/97-CX dated 12.11.1997 and No. 548/44/2000-CX dated 13.09.2000
xxii. CAAR Ruling Nos. CAAR/Mum/ARC/102/2025-26 dated 31.10.2025 and CAAR/Mum/ARC/56/2025-26 dated 25.07.2025
xxiii. US CROSS rulings
Applicant’s Interpretation on Question 2: The Applicant submits that Serial No. 5 of Notification No. 57/2017-Customs prescribes a “Nil” rate for (a) all goods falling under tariff item 8517 71 00 or 8517 79 90 other than parts of cellular mobile phones or wrist wearable devices, and (b) inputs or sub-parts for use in the manufacture of such parts. No condition is attached to the entry. An exemption notification is to be strictly construed and no condition can be read into it (Tata Iron & Steel Co. v. State of Jharkhand, (2005) 4 SCC 272; CCE v. Hira Cement; Orient Traders v. CTO). The only requirement is that the goods merit classification under tariff item 8517 79 90 . As the goods are parts ofPhotonic Service Switches, and not of cellular mobile phones or wrist wearable devices, they are eligible for the “Nil” rate.
5. Port of Import and reply from jurisdictional Commissionerate:
The applicant in their CAAR-1 indicated that they intend to import the subject goods at the jurisdiction of Offices of the Principal Commissioner of Customs, Chennai-VI1 (Import Commissionerate), New Custom House, GST Road, Meenambakkam, Chennai and Commissioner of Customs Chennai —II (Import), Custom House No. 60 Rajaji Salai Chennai. Accordingly, the application was forwarded to the concerned Commissionerate for their comments on 04.06.2026, 03.07.2026 and 23.07.2026.
No comments have been received from the jurisdictional Commissionerate till date.
6. Details of Personal Hearing:
A personal hearing in the matter was held on 15.07.2026. During the personal hearing, Shri Aman Goyal, PWC LLP, the authorised representative, appeared on behalf of the applicant and made submissions on classification of the RSA Backplane and Chassis Assemblies and on the applicability of Serial No. 5 of Notification No. 57/2017-Customs dated 30.06.2017. The applicant also filed a compilation of the following rulings and judicial precedents in support of its submissions:
(A) On the classification of the finished product, i.e. Photonic Service Switches,, under tariff item 8517 62 90
i. Ruling No. CAAR/Mum/ARC/102/2025-26 dated 31.10.2025
ii. Ruling No. CAAR/Mum/ARC/103/Mumbai dated 31.10.2025
iii. CC, Mumbai (Air Cargo Import) and CC, Mumbai (ACC) v. Reliance Jio Infocomm Ltd [2022 (6) TMI 1051 – CESTAT Mumbai]
iv. CC v. Reliance Jio Infocomm [2023 (1) TMI 1297 – SC Order]
v. CC, Mumbai (Air Cargo Import) v. Reliance Jio Infocomm Ltd. [2022 (8) TM! 76 -CESTAT Mumbai]
vi. Huawei Telecommunication (India) Company Private Limited v. CC (Appeals), Mumbai-III [2023 (10) TMI 323 – CESTAT Mumbai]
(vii) Medha Servo Drives Pvt Ltd, V. Kasyap Reddy, B. Sanjay Reddy v. CC, Hyderabad Customs [2025 (3) TMI 1073 – CESTAT Hyderabad]
(viii)Medha Servo Drives Pvt Ltd v. CC, Hyderabad [(2025) 37 Centax 248 (SC)]
(ix) Ingram Micro India Pvt. Ltd. [(2023) 4 Centax 432 (A.A.R. – Cus. – Mum.)]
(x)US CROSS Ruling NY N022695
(xi) US CROSS Ruling NY N117598
(xii) US CROSS Ruling NY N012182
(B) On the classification of an item as a “part”
(xiii) Commissioner v. Insulation Electricals Private Limited [2008 (224) ELT 512 (SC)]
(xiv) CTO, Anti Evasion, Circle III, Jaipur v. Prasoon Enterprises [2019 (23) GSTL 441 (SC)]
(xv) CC (Import) v. Welkin Foods [2026 (1) TMI 348 – Supreme Court]
(xvi) Vodafone Idea Limited v. Pr. CC (Import) [Customs Appeal No. 52287 of 2019]
(xvii) Vodafone Idea Limited (Previously Idea Cellular Limited) v. Pr. CC, New Delhi [2025 (1) TMI 556 – CESTAT New Delhi]
(xviii) Ciena Communications India Pvt. Ltd. v. Pr. CC (Import), Mumbai [2024 (1) TMI 683 -CESTAT Mumbai]
(xix) SEW Eurodrive India Private Limited v. CC, Chennai II Commissionerate [2024 (1) TMI 465 – CESTAT Chennai]
(C) On the exclusion of “parts of general use” under Note 1 to Section XVI
(xx) G.S. Auto International Limited v. CCE, Chandigarh [2003 (1) TMI 700 – Supreme Court]
(xxi) CCE v. Basmark Components [2007 (3) TMI 50 – CESTAT Chennai]
(xxii) Hallmark Industries v. CCE [2000 (6) TMI 802 – CEGAT Calcutta]
(xxiii) Cast Metal Industries (P) Ltd. v. CCE-IV, Kolkata [2015 (11) TMI 833 – Supreme Court]
(xxiv) Camlin Ltd. v. CCE [2000 (121) ELT 178 (Tri.-Bom.)]
(xxv) CCE & Cus., Pune v. Mohan Plastics Industries [2002 (144) ELT 549 (Tri.-Mumbai)]
(D) On Rule 3 of the General Rules for Interpretation and classification under tariff item 8517 79 90
(xxvi) Samsung India Electronics Pvt. Ltd. v. Pr. CC, Air Cargo Complex (Import), New Delhi [2023 (12) TMI 1155 – CESTAT New Delhi]
(xxvii) Vivo Mobile India Pvt Ltd v. Pr. CC, New Delhi [(2024) 20 Centax 393 (Tri.-Del.)]
(xxviii) CCE v. Wockhardt Life Sciences [2012 (3) TMI 40 – Supreme Court]
(xxix) Western India Plywoods Ltd v. Collector of Customs, Cochin [2005 (10) TMI 90 Supreme Court]
(xxx) Juniper Networks Solution India Pvt. Ltd. v. CC, Bengaluru [2024 (12) TMI 1670 -CESTAT Bangalore]
6.1 No representative appeared on behalf of the Department at the time of the personal hearing.
7. Discussion and Findings
7.1. 1 have carefully considered the application, the written submissions of the applicant, the submissions made at the personal hearing, and the technical literature and other documents placed on record.
7.2. The issues raised in Question 1 and 2 in the Form CAA R- l are covered under Section 28H (2) of the Customs Act, 1962, being matter of classification and of applicability of import duty benefit notification. The questions posed for advance ruling are:
Question 1: Whether the following goods, imported by the applicant for the manufacture of Photonic Service Switches,, are classifiable under tariff item 8517 79 90 of the Customs Tariff of India as “Parts of other apparatus for transmission or reception of voice, images or other data, including apparatus for communication in a wired or wireless network (such as a local or wide area network)”:
- RSA Backplane and Chassis Assembly PSS-8x-LFIALC3TD00071AAAC
- RSA Backplane and Chassis Assembly PSS-12x-LFIALC3TD00286AAAC
- RSA Backplane and Chassis Assembly PSS-24x-LFIALC3KC50378ABAC
Question 2: If the answer to Question 1 is in the affirmative, whether the applicant is eligible to avail the benefit of concessional rate of duty under Serial No. 5 of Notification No. 57/2017-Customs dated 30.06.2017?
Question 3: If the answers to the above questions are in the negative, what would be the correct classification of the above items under the Customs Tariff of India.
7.3. Classification of the finished product – Photonic service switches: As per the datasheet (Exhibit-2), the 1830 PSS-8x, PSS-12x and PSS-24x are Optical Transport Network (OTN) switching and transport platforms. These deliver multi-terabit switching scale along with integrated high-capacity wavelength division multiplexing (WDM) transport optics, and expanded range of service options using high-density, multi—rate client interfaces. Such equipment receives, converts, switches and transmits data in a wired network. It is apparatus of heading 8517, falling under subheading 8517 62 as “machines for the reception, conversion and transmission or regeneration of voice, images or other data, including switching and routing apparatus”. This is consistent with Serial No. 20 of Notification No. 57/2017-Customs read with Circular No. 08/2023-Customs dated 13.03.2023, which describe optical transport equipment and Optical Transport Network products, including DWDM equipment, among the goods falling under tariff items 8517 62 90 and 8517 69 90. For the present case, it is sufficient to hold that the photonic service switch is a machine of heading 8517. ”
7.4. Classification of the goods under consideration
7.4.1. Each of the goods is a single assembled unit described as RSA Backplane and Chassis Assembly PSS-8x- LFIALC3TD00071AAAC, RSA Backplane and Chassis Assembly PSS-12x-LFIALC3TD00286AAAC and RSA Backplane and Chassis Assembly PSS-24x-LFIALC3KC50378ABAC consisting of:
- a chassis of aluminium and pre-plated steel, vents, meshes, ventilation slots, for fans and other cooling mechanisms integrated within the chassis, pre-specified demarcated protrusions, compartments, circumscribed & delimited projections, boundaried protuberances, insulators, exclusive pre-measured chambers with identified partitions for mounting, bolting and installation of modular interface cards, power supply modules and other components;
- backplane printed circuit board assemblies (PCBA) integrated with the chassis, which acts as the high-speed interconnection backbone between cards inserted into the shelf.
7.4.2. Past consignments of the goods were declared under tariff items 7326 90 99 and 7616 99 90, as articles of iron or steel and of aluminium. However, Note 1(f) to Section XV excludes from that Section the articles of Section XVI. Note 1(g) to Section XVI, in turn, excludes from Section XVI “parts of general use, as defined in Note 2 to Section XV, of base metal”. Note 2 to Section XV confines the “parts of general use” to articles of headings 7307, 7312, 7315, 7317 or 7318 and similar articles of other base metal, springs and leaves for springs of base metal, and articles of headings 8301, 8302, 8308 and 8310 and frames and mirrors of heading 8306. The subject goods are not articles of that kind.
7.4.3. As described by the applicant, the interface cards, the processor, control and management cards. the power supply units and the cooling system of the switch are separate modules. „which are inserted into the imported assembly in the course of manufacture of the switch. This ruling proceeds on the basis that the goods are imported without any of those modules and are used as such, without further processing, in the manufacture of photonic service switches. Under Rule 2(a) of the General Rules for Interpretation, a reference to an article includes that article incomplete or unfinished, provided that, as presented, it has the essential character of the complete article. The imported goods, in which no such module is present, cannot by themselves receive, convert, switch or transmit any signal. As presented, they do not have the essential character of a photonic service switch and cannot be classified as such under subheading 8517 62. As per applicant’s submission, the subject goods have no function apart from the switch and cannot operate independently of it. At the same time, the switch cannot be assembled or function without them, since its cards and power modules are mounted, powered or interconnected by the said assembly. The goods are, accordingly, Parts of the Photonic service switch.
7.4.4. Under Note 2(b), “other parts, if suitable for use solely or principally with a particular kind of machine, or with a number of machines of the same heading (including a machine of heading 8479 or 8543) are to be classified with the machines of that kind or in the heading 8409, 8431, 8448, 8466, 8473, 8503, 8522, 8529 or 8538 as appropriate. However, parts which are equally suitable for the use of principally with the goods of headings 8517 and 8525 to 8528 are to be classified in the heading 8517, and parts which are suitable for use solely or principally with the goods of heading 8524 are to be classified in the heading 8529”. In other words, the parts of goods are to be classified with the machines of that kind. Each of the subject assemblies bears a part number specific to one model of the Photonic Service Switches,,, is built to that model’s design. It has no use other than as the shelf of that switch. The goods are therefore suitable for use solely withPhotonic Service Switches,,, which are machines of heading 8517, and by virtue of Note 2(b) to Section XVI they are classifiable in heading 8517.
7.4.5. Heading 8517 groups parts under the third single-dash entry “- Parts”, divided into subheading 8517 71 (aerials and aerial reflectors of all kinds; parts suitable for use therewith) and subheading 8517 79 (other). The subject goods are not aerials or parts of aerials, and fall under subheading 8517 79. The relevant entries are extracted below:
| Sl. No. | Chapter, heading, sub-heading or tariff item | Description of goods |
| 5 | 8517 71 00 or 8517 79 90 | (a) All goods other than the parts of cellular mobile phones or wrist wearable devices (commonly known as smart watches)
(b) Inputs or sub-parts for use in manufacture of parts mentioned at (a) above |
7.4.6. Tariff item 8517 79 10 covers “populated, loaded or stuffed printed circuit boards”. The expression describes a specific article: a printed circuit board on which components have been mounted. The goods presented are not such a board. The supplier’s documentation identifies the goods as an “RSA (Rack/Subrack assembly) or chassis” and an “RSA7,Shelf7Backplane Assembly” i.e. chassis assemblies with integrated backplanes. Most of the functions attributed to the goods are housing, guiding and immobilising the cards, protecting them, managing airflow and heat, shielding against EMI/RFI and damping vibration, and the backplane can perform its interconnection function only because the chassis aligns and holds each card against its connectors. The goods are therefore, “parts” covered under subheading 8517 79, and more particularly undertariff item 8517 79 90 . It may also be noted that a backplane PCBA imported on its own would be a populated printed circuit board of tariff item 8517 79 10, and is not covered by this ruling.
7.4.7. The judgements and rulings in the compilation filed by the applicant in the application and at the personal hearing have been considered. These judgements/ rulings lay down the tests for treating an article as a part: that it is an essential component without which the whole cannot function (Insulation Electricals, Prasoon Enterprises and Welkin Foods), and that it has no separate identifiable function and cannot operate independently of the main machine (Vodafone Idea Ltd.). Those tests are satisfied, as found at paragraph 7.4.3. Further, it is also ruled that the goods are not “parts of general use”.
7.4.8. In the applicant’s own case, this Authority has classified chassis, covers and backing plates of pre-plated steel imported for the manufacture of data center switches undertariff item 8517 79 90 as parts of apparatus of heading 8517, and has held them eligible for exemption under Serial No. 5 of Notification No. 57/2017-Customs (Ruling No. CAAR/Mum/ARC/102/2025-26 dated 31.10.2025; Ruling No. CAAR/Mum/ARC/56/2025-26 dated 25.07.2025). The classification of the subject goods as parts under tariff item 8517 79 90 is therefore consistent with those rulings.
7.5. Eligibility under Serial No. 5 of Notification No. 57/2017-Customs
7.5.1 The Notification No. 57/2017-Customs dated 30.06.201 7, exempts goods of the description specified in column (3) of its Table, and falling under the entries in column (2), from so much of the duty of customs leviable under the First Schedule as is in excess of the standard rate specified in column (4), subject to the conditions in its Annexure where a condition number is specified in column (5). The relevant entries read:
| Tariff Item | Description |
|---|---|
| 8517 | Telephone sets, including smartphones and other telephones for cellular networks or for other wireless networks; other apparatus for the transmission or reception of voice, images or other data, including apparatus for communication in a wired or wireless network (such as a local or wide area network), other than transmission or reception apparatus of heading 8443, 8525, 8527 or 8528 |
| – Parts: | |
| 8517 71 00 | – – Aerials and aerial reflectors of all kinds; parts suitable for use therewith |
| 8517 79 | – – Other: |
| 8517 79 10 | – – – Populated, loaded or stuffed printed circuit boards |
| 8517 79 90 | – – – Other |
7.5.2 Serial No. 5 covers all goods falling under tariff item 8517 71 00 or 8517 79 90, other than parts of cellular mobile phones or wrist wearable devices. It has been held above that the subject goods fall under tariff item 8517 79 90 They are parts of photonic service switches, and are neither parts of cellular mobile phones nor of wrist wearable devices. No condition is specified against Serial No. 5 in column (5) of the Table. The subject goods are therefore eligible for the “Nil” rate of Basic Customs Duty under Serial No. 5(a).
7.5.3 Scope of the exemption: Serial No. 5 exempts only duty leviable under the First Schedule, that is, Basic Customs Duty. It does not exempt integrated tax under Section 3(7) of the Customs Tariff Act, 1975, or any other duty, tax or cess not leviable under the First Schedule.
7.6. In view of the answers to Questions 1 and 2, Question 3 does not arise.
- Ruling
8.1. In view of the foregoing discussion and findings, I rule that the goods RSA Backplane and Chassis Assembly PSS-8x-LFIALC3TD00071AAAC, RSA Backplane and Chassis Assembly PSS-12x-LFIALC3TD00286AAAC and RSA Backplane and Chassis Assembly PSS-24x-LFIALC3KC50378ABAC imported by the applicant as complete chassis assemblies of aluminium and pre-plated steel with integrated backplane printed circuit board assemblies, for use in the manufacture of photonic service switches, being parts of such switches, are classifiable le undertariff item 8517 79 90 of the First Schedule to the Customs Tariff Act, 1975.
8.2. I further rule that the said goods, being parts falling under tariff item 8517 79 90 , are eligible for the “Nil” rate of Basic Customs Duty under Serial No. 5(a) ofNotification No. 57/2017-Customs dated 30.06.2017 as amended. The exemption is confined to Basic Customs Duty and does not extend to integrated tax or any other duty, tax or cess not leviable under the First Schedule.
8.3. In view of the answers above, Question 3 does not arise.
8.4. The ruling is pronounced on the facts furnished by the applicant, and under Section 28J(3) of the Act a ruling ceases to apply where those facts change. It does not cover a backplane printed circuit board assembly imported separately, or the subject goods imported together with interface cards, processor, control or management cards, power supply units or fan units. Such a product would require classification on its own facts.
8.5.I rule accordingly.
