8523.52.00 - "Smart cards"

This HTS category encompasses "smart cards," which are defined as semiconductor media designed for storing and processing data, particularly for identification, authentication, and transactional purposes. These cards typically contain an integrated circuit chip embedded within a plastic substrate, allowing them to perform specific functions beyond simple data storage. They are distinct from other semiconductor media by their interactive capabilities and application-specific design.

Unlike the sibling category 8523.51.00.00, which covers solid-state non-volatile storage devices such as USB flash drives and memory cards primarily for general data storage, smart cards are intended for more specialized applications. While both are forms of semiconductor media, the smart card's embedded microcontroller and memory enable it to execute programs, manage security, and engage in two-way communication with external readers, a characteristic not inherent to standard storage devices.

Within this classification, subcategories differentiate based on the recording status of the smart card. The 8523.52.00.10 designation applies to unrecorded smart cards, meaning the integrated circuit has not yet been programmed with specific applications or data. Conversely, 8523.52.00.90 covers "other" smart cards, which include those that have been pre-programmed or contain sensitive data essential for their intended use, such as for financial transactions, access control, or digital identification.