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Part 25 - Foreign Acquisition | Acquisition.GOV

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class="usa-layout-docs__main desktop:grid-col-fill"> <div id="block-regulationpageblock" class="block block-agov-browse block-agov-regulation-page-block"> <div class="nextprev"><a href="/far/24.302" class="docprevious docprevround" title="Previous" aria-label="Previous">芦 Previous</a><a href="/far/25.000" class="docnext docnextround" title="Next" aria-label="Next">Next 禄</a></div> <div class="regulation-content"> Part 25 - Foreign Acquisition<article role="article" aria-labelledby="ariaid-title1"><article class="nested0" aria-labelledby="ariaid-title1" id="FAR_Part_25"> <h1 class="title topictitle1" id="ariaid-title1"> <span class="ph autonumber">Part 25</span> - Foreign Acquisition</h1> <div class="body"> <p class=" ListL1" id="FAR_Part_25__d1589e10"> <a class="xref fm:TOC" href="#FAR_25_000" title="25.000 Scope of part." aria-label="25.000 Scope of part.. Link 0">25.000 Scope of part.</a> </p> <p class=" ListL1" id="FAR_Part_25__d1589e14"> <a class="xref fm:TOC" href="#FAR_25_001" title="25.001 General." aria-label="25.001 General.. Link 1">25.001 General.</a> </p> <p class=" ListL1" id="FAR_Part_25__d1589e18"> <a class="xref fm:TOC" href="#FAR_25_002" title="25.002 Applicability of subparts." aria-label="25.002 Applicability of subparts.. Link 2">25.002 Applicability of subparts.</a> </p> <p class=" ListL1" id="FAR_Part_25__d1589e22"> <a class="xref fm:TOC" href="#FAR_25_003" title="25.003 Definitions." aria-label="25.003 Definitions.. Link 3">25.003 Definitions.</a> </p> <p class="Subpart ListL1" id="FAR_Part_25__d1589e26"> <a class="xref fm:TOC" href="#FAR_Subpart_25_1" title="Subpart 25.1 - Buy American-Supplies" aria-label="Subpart 25.1 - Buy American-Supplies. Link 4">Subpart 25.1 - Buy American-Supplies</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e31"> <a class="xref fm:TOC" href="#FAR_25_100" title="25.100 Scope of subpart." aria-label="25.100 Scope of subpart.. Link 5">25.100 Scope of subpart.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e35"> <a class="xref fm:TOC" href="#FAR_25_101" title="25.101 General." aria-label="25.101 General.. Link 6">25.101 General.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e39"> <a class="xref fm:TOC" href="#FAR_25_102" title="25.102 Policy." aria-label="25.102 Policy.. Link 7">25.102 Policy.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e43"> <a class="xref fm:TOC" href="#FAR_25_103" title="25.103 Exceptions." aria-label="25.103 Exceptions.. Link 8">25.103 Exceptions.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e47"> <a class="xref fm:TOC" href="#FAR_25_104" title="25.104 Nonavailable articles." aria-label="25.104 Nonavailable articles.. Link 9">25.104 Nonavailable articles.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e51"> <a class="xref fm:TOC" href="#FAR_25_105" title="25.105 Critical components and critical items." aria-label="25.105 Critical components and critical items.. Link 10">25.105 Critical components and critical items.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e55"> <a class="xref fm:TOC" href="#FAR_25_106" title="25.106 Determining reasonableness of cost." aria-label="25.106 Determining reasonableness of cost.. Link 11">25.106 Determining reasonableness of cost.</a> </p> <p class="Subpart ListL1" id="FAR_Part_25__d1589e59"> <a class="xref fm:TOC" href="#FAR_Subpart_25_2" title="Subpart 25.2 - Buy American-Construction Materials" aria-label="Subpart 25.2 - Buy American-Construction Materials. Link 12">Subpart 25.2 - Buy American-Construction Materials</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e64"> <a class="xref fm:TOC" href="#FAR_25_200" title="25.200 Scope of subpart." aria-label="25.200 Scope of subpart.. Link 13">25.200 Scope of subpart.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e68"> <a class="xref fm:TOC" href="#FAR_25_201" title="25.201 Policy." aria-label="25.201 Policy.. Link 14">25.201 Policy.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e72"> <a class="xref fm:TOC" href="#FAR_25_202" title="25.202 Exceptions." aria-label="25.202 Exceptions.. Link 15">25.202 Exceptions.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e76"> <a class="xref fm:TOC" href="#FAR_25_203" title="25.203 Preaward determinations." aria-label="25.203 Preaward determinations.. Link 16">25.203 Preaward determinations.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e80"> <a class="xref fm:TOC" href="#FAR_25_204" title="25.204 Evaluating offers of foreign construction material." aria-label="25.204 Evaluating offers of foreign construction material.. Link 17">25.204 Evaluating offers of foreign construction material.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e84"> <a class="xref fm:TOC" href="#FAR_25_205" title="25.205 Postaward determinations." aria-label="25.205 Postaward determinations.. Link 18">25.205 Postaward determinations.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e88"> <a class="xref fm:TOC" href="#FAR_25_206" title="25.206 Noncompliance." aria-label="25.206 Noncompliance.. Link 19">25.206 Noncompliance.</a> </p> <p class="Subpart ListL1" id="FAR_Part_25__d1589e92"> <a class="xref fm:TOC" href="#FAR_Subpart_25_3" title="Subpart 25.3 - Contracts Performed Outside the United States" aria-label="Subpart 25.3 - Contracts Performed Outside the United States. Link 20">Subpart 25.3 - Contracts Performed Outside the United States</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e97"> <a class="xref fm:TOC" href="#FAR_25_301" title="25.301 Contractor personnel in a designated operational area or supporting a diplomatic or consular mission outside the United States." aria-label="25.301 Contractor personnel in a designated operational area or supporting a diplomatic or consular mission outside the United States.. Link 21">25.301 Contractor personnel in a designated operational area or supporting a diplomatic or consular mission outside the United States.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e102"> <a class="xref fm:TOC" href="#FAR_25_301_1" title="25.301-1 Scope." aria-label="25.301-1 Scope.. Link 22">25.301-1 Scope.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e106"> <a class="xref fm:TOC" href="#FAR_25_301_2" title="25.301-2 Government support." aria-label="25.301-2 Government support.. Link 23">25.301-2 Government support.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e110"> <a class="xref fm:TOC" href="#FAR_25_301_3" title="25.301-3 Weapons." aria-label="25.301-3 Weapons.. Link 24">25.301-3 Weapons.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e114"> <a class="xref fm:TOC" href="#FAR_25_301_4" title="25.301-4 Contract clause." aria-label="25.301-4 Contract clause.. Link 25">25.301-4 Contract clause.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e118"> <a class="xref fm:TOC" href="#FAR_25_302" title="25.302 Contractors performing private security functions outside the United States." aria-label="25.302 Contractors performing private security functions outside the United States.. Link 26">25.302 Contractors performing private security functions outside the United States.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e123"> <a class="xref fm:TOC" href="#FAR_25_302_1" title="25.302-1 Scope." aria-label="25.302-1 Scope.. Link 27">25.302-1 Scope.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e127"> <a class="xref fm:TOC" href="#FAR_25_302_2" title="25.302-2 Definitions." aria-label="25.302-2 Definitions.. Link 28">25.302-2 Definitions.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e131"> <a class="xref fm:TOC" href="#FAR_25_302_3" title="25.302-3 Applicability." aria-label="25.302-3 Applicability.. Link 29">25.302-3 Applicability.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e135"> <a class="xref fm:TOC" href="#FAR_25_302_4" title="25.302-4 Policy." aria-label="25.302-4 Policy.. Link 30">25.302-4 Policy.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e139"> <a class="xref fm:TOC" href="#FAR_25_302_5" title="25.302-5 Remedies." aria-label="25.302-5 Remedies.. Link 31">25.302-5 Remedies.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e143"> <a class="xref fm:TOC" href="#FAR_25_302_6" title="25.302-6 Contract clause." aria-label="25.302-6 Contract clause.. Link 32">25.302-6 Contract clause.</a> </p> <p class="Subpart ListL1" id="FAR_Part_25__d1589e147"> <a class="xref fm:TOC" href="#FAR_Subpart_25_4" title="Subpart 25.4 - Trade Agreements" aria-label="Subpart 25.4 - Trade Agreements. Link 33">Subpart 25.4 - Trade Agreements</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e152"> <a class="xref fm:TOC" href="#FAR_25_400" title="25.400 Scope of subpart." aria-label="25.400 Scope of subpart.. Link 34">25.400 Scope of subpart.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e156"> <a class="xref fm:TOC" href="#FAR_25_401" title="25.401 Exceptions." aria-label="25.401 Exceptions.. Link 35">25.401 Exceptions.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e160"> <a class="xref fm:TOC" href="#FAR_25_402" title="25.402 General." aria-label="25.402 General.. Link 36">25.402 General.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e164"> <a class="xref fm:TOC" href="#FAR_25_403" title="25.403 World Trade Organization Government Procurement Agreement and Free Trade Agreements." aria-label="25.403 World Trade Organization Government Procurement Agreement and Free Trade Agreements.. Link 37">25.403 World Trade Organization Government Procurement Agreement and Free Trade Agreements.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e168"> <a class="xref fm:TOC" href="#FAR_25_404" title="25.404 Least developed countries." aria-label="25.404 Least developed countries.. Link 38">25.404 Least developed countries.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e172"> <a class="xref fm:TOC" href="#FAR_25_405" title="25.405 Caribbean Basin Trade Initiative." aria-label="25.405 Caribbean Basin Trade Initiative.. Link 39">25.405 Caribbean Basin Trade Initiative.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e176"> <a class="xref fm:TOC" href="#FAR_25_406" title="25.406 Israeli Trade Act." aria-label="25.406 Israeli Trade Act.. Link 40">25.406 Israeli Trade Act.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e180"> <a class="xref fm:TOC" href="#FAR_25_407" title="25.407 Agreement on Trade in Civil Aircraft." aria-label="25.407 Agreement on Trade in Civil Aircraft.. Link 41">25.407 Agreement on Trade in Civil Aircraft.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e184"> <a class="xref fm:TOC" href="#FAR_25_408" title="25.408 Procedures." aria-label="25.408 Procedures.. Link 42">25.408 Procedures.</a> </p> <p class="Subpart ListL1" id="FAR_Part_25__d1589e188"> <a class="xref fm:TOC" href="#FAR_Subpart_25_5" title="Subpart 25.5 - Evaluating Foreign Offers-Supply Contracts" aria-label="Subpart 25.5 - Evaluating Foreign Offers-Supply Contracts. Link 43">Subpart 25.5 - Evaluating Foreign Offers-Supply Contracts</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e193"> <a class="xref fm:TOC" href="#FAR_25_501" title="25.501 General." aria-label="25.501 General.. Link 44">25.501 General.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e197"> <a class="xref fm:TOC" href="#FAR_25_502" title="25.502 Application." aria-label="25.502 Application.. Link 45">25.502 Application.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e201"> <a class="xref fm:TOC" href="#FAR_25_503" title="25.503 Group offers." aria-label="25.503 Group offers.. Link 46">25.503 Group offers.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e205"> <a class="xref fm:TOC" href="#FAR_25_504" title="25.504 Evaluation examples." aria-label="25.504 Evaluation examples.. Link 47">25.504 Evaluation examples.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e210"> <a class="xref fm:TOC" href="#FAR_25_504_1" title="25.504-1 Buy American statute." aria-label="25.504-1 Buy American statute.. Link 48">25.504-1 Buy American statute.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e214"> <a class="xref fm:TOC" href="#FAR_25_504_2" title="25.504-2 WTO GPA/Caribbean Basin Trade Initiative/FTAs." aria-label="25.504-2 WTO GPA/Caribbean Basin Trade Initiative/FTAs.. Link 49">25.504-2 WTO GPA/Caribbean Basin Trade Initiative/FTAs.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e218"> <a class="xref fm:TOC" href="#FAR_25_504_3" title="25.504-3 FTA/Israeli Trade Act." aria-label="25.504-3 FTA/Israeli Trade Act.. Link 50">25.504-3 FTA/Israeli Trade Act.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e222"> <a class="xref fm:TOC" href="#FAR_25_504_4" title="25.504-4 Group award basis." aria-label="25.504-4 Group award basis.. Link 51">25.504-4 Group award basis.</a> </p> <p class="Subpart ListL1" id="FAR_Part_25__d1589e226"> <a class="xref fm:TOC" href="#FAR_Subpart_25_6" title="Subpart 25.6 - American Recovery and Reinvestment Act-Buy American statute-Construction Materials" aria-label="Subpart 25.6 - American Recovery and Reinvestment Act-Buy American statute-Construction Materials. Link 52">Subpart 25.6 - American Recovery and Reinvestment Act-Buy American statute-Construction Materials</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e231"> <a class="xref fm:TOC" href="#FAR_25_600" title="25.600 Scope of subpart." aria-label="25.600 Scope of subpart.. Link 53">25.600 Scope of subpart.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e235"> <a class="xref fm:TOC" href="#FAR_25_601" title="25.601 Definitions." aria-label="25.601 Definitions.. Link 54">25.601 Definitions.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e239"> <a class="xref fm:TOC" href="#FAR_25_602" title="25.602 Policy." aria-label="25.602 Policy.. Link 55">25.602 Policy.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e244"> <a class="xref fm:TOC" href="#FAR_25_602_1" title="25.602-1 Section 1605 of the Recovery Act." aria-label="25.602-1 Section 1605 of the Recovery Act.. Link 56">25.602-1 Section 1605 of the Recovery Act.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e248"> <a class="xref fm:TOC" href="#FAR_25_602_2" title="25.602-2 Buy American statute" aria-label="25.602-2 Buy American statute. Link 57">25.602-2 Buy American statute</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e252"> <a class="xref fm:TOC" href="#FAR_25_603" title="25.603 Exceptions." aria-label="25.603 Exceptions.. Link 58">25.603 Exceptions.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e256"> <a class="xref fm:TOC" href="#FAR_25_604" title="25.604 Preaward determination concerning the inapplicability of section 1605 of the Recovery Act or the Buy American statute." aria-label="25.604 Preaward determination concerning the inapplicability of section 1605 of the Recovery Act or the Buy American statute.. Link 59">25.604 Preaward determination concerning the inapplicability of section 1605 of the Recovery Act or the Buy American statute.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e260"> <a class="xref fm:TOC" href="#FAR_25_605" title="25.605 Evaluating offers of foreign construction material." aria-label="25.605 Evaluating offers of foreign construction material.. Link 60">25.605 Evaluating offers of foreign construction material.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e264"> <a class="xref fm:TOC" href="#FAR_25_606" title="25.606 Postaward determinations." aria-label="25.606 Postaward determinations.. Link 61">25.606 Postaward determinations.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e268"> <a class="xref fm:TOC" href="#FAR_25_607" title="25.607 Noncompliance." aria-label="25.607 Noncompliance.. Link 62">25.607 Noncompliance.</a> </p> <p class="Subpart ListL1" id="FAR_Part_25__d1589e272"> <a class="xref fm:TOC" href="#FAR_Subpart_25_7" title="Subpart 25.7 - Prohibited Sources" aria-label="Subpart 25.7 - Prohibited Sources. Link 63">Subpart 25.7 - Prohibited Sources</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e277"> <a class="xref fm:TOC" href="#FAR_25_700" title="25.700 Scope of subpart." aria-label="25.700 Scope of subpart.. Link 64">25.700 Scope of subpart.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e281"> <a class="xref fm:TOC" href="#FAR_25_701" title="25.701 Restrictions administered by the Department of the Treasury on acquisitions of supplies or services from prohibited sources." aria-label="25.701 Restrictions administered by the Department of the Treasury on acquisitions of supplies or services from prohibited sources.. Link 65">25.701 Restrictions administered by the Department of the Treasury on acquisitions of supplies or services from prohibited sources.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e285"> <a class="xref fm:TOC" href="#FAR_25_702" title="25.702 Prohibition on contracting with entities that conduct restricted business operations in Sudan." aria-label="25.702 Prohibition on contracting with entities that conduct restricted business operations in Sudan.. Link 66">25.702 Prohibition on contracting with entities that conduct restricted business operations in Sudan.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e290"> <a class="xref fm:TOC" href="#FAR_25_702_1" title="25.702-1 Definitions." aria-label="25.702-1 Definitions.. Link 67">25.702-1 Definitions.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e294"> <a class="xref fm:TOC" href="#FAR_25_702_2" title="25.702-2 Certification." aria-label="25.702-2 Certification.. Link 68">25.702-2 Certification.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e298"> <a class="xref fm:TOC" href="#FAR_25_702_3" title="25.702-3 Remedies." aria-label="25.702-3 Remedies.. Link 69">25.702-3 Remedies.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e302"> <a class="xref fm:TOC" href="#FAR_25_702_4" title="25.702-4 Waiver." aria-label="25.702-4 Waiver.. Link 70">25.702-4 Waiver.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e306"> <a class="xref fm:TOC" href="#FAR_25_703" title="25.703 Prohibition on contracting with entities that engage in certain activities or transactions relating to Iran." aria-label="25.703 Prohibition on contracting with entities that engage in certain activities or transactions relating to Iran.. Link 71">25.703 Prohibition on contracting with entities that engage in certain activities or transactions relating to Iran.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e311"> <a class="xref fm:TOC" href="#FAR_25_703_1" title="25.703-1 Definitions." aria-label="25.703-1 Definitions.. Link 72">25.703-1 Definitions.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e315"> <a class="xref fm:TOC" href="#FAR_25_703_2" title="25.703-2 Iran Sanctions Act." aria-label="25.703-2 Iran Sanctions Act.. Link 73">25.703-2 Iran Sanctions Act.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e319"> <a class="xref fm:TOC" href="#FAR_25_703_3" title="25.703-3 Prohibition on contracting with entities that export sensitive technology to Iran." aria-label="25.703-3 Prohibition on contracting with entities that export sensitive technology to Iran.. Link 74">25.703-3 Prohibition on contracting with entities that export sensitive technology to Iran.</a> </p> <p class=" ListL3" id="FAR_Part_25__d1589e323"> <a class="xref fm:TOC" href="#FAR_25_703_4" title="25.703-4 Waiver." aria-label="25.703-4 Waiver.. Link 75">25.703-4 Waiver.</a> </p> <p class="Subpart ListL1" id="FAR_Part_25__d1589e328"> <a class="xref fm:TOC" href="#FAR_Subpart_25_8" title="Subpart 25.8 - Other International Agreements and Coordination" aria-label="Subpart 25.8 - Other International Agreements and Coordination. Link 76">Subpart 25.8 - Other International Agreements and Coordination</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e333"> <a class="xref fm:TOC" href="#FAR_25_801" title="25.801 General." aria-label="25.801 General.. Link 77">25.801 General.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e337"> <a class="xref fm:TOC" href="#FAR_25_802" title="25.802 Procedures." aria-label="25.802 Procedures.. Link 78">25.802 Procedures.</a> </p> <p class="Subpart ListL1" id="FAR_Part_25__d1589e341"> <a class="xref fm:TOC" href="#FAR_Subpart_25_9" title="Subpart 25.9 - Customs and Duties" aria-label="Subpart 25.9 - Customs and Duties. Link 79">Subpart 25.9 - Customs and Duties</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e346"> <a class="xref fm:TOC" href="#FAR_25_900" title="25.900 Scope of subpart." aria-label="25.900 Scope of subpart.. Link 80">25.900 Scope of subpart.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e350"> <a class="xref fm:TOC" href="#FAR_25_901" title="25.901 Policy." aria-label="25.901 Policy.. Link 81">25.901 Policy.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e354"> <a class="xref fm:TOC" href="#FAR_25_902" title="25.902 Procedures." aria-label="25.902 Procedures.. Link 82">25.902 Procedures.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e358"> <a class="xref fm:TOC" href="#FAR_25_903" title="25.903 Exempted supplies." aria-label="25.903 Exempted supplies.. Link 83">25.903 Exempted supplies.</a> </p> <p class="Subpart ListL1" id="FAR_Part_25__d1589e362"> <a class="xref fm:TOC" href="#FAR_Subpart_25_10" title="Subpart 25.10 - Additional Foreign Acquisition Regulations" aria-label="Subpart 25.10 - Additional Foreign Acquisition Regulations. Link 84">Subpart 25.10 - Additional Foreign Acquisition Regulations</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e367"> <a class="xref fm:TOC" href="#FAR_25_1001" title="25.1001 Waiver of right to examination of records." aria-label="25.1001 Waiver of right to examination of records.. Link 85">25.1001 Waiver of right to examination of records.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e371"> <a class="xref fm:TOC" href="#FAR_25_1002" title="25.1002 Use of foreign currency." aria-label="25.1002 Use of foreign currency.. Link 86">25.1002 Use of foreign currency.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e375"> <a class="xref fm:TOC" href="#FAR_25_1003" title="25.1003 Tax on certain foreign procurements." aria-label="25.1003 Tax on certain foreign procurements.. Link 87">25.1003 Tax on certain foreign procurements.</a> </p> <p class="Subpart ListL1" id="FAR_Part_25__d1589e379"> <a class="xref fm:TOC" href="#FAR_Subpart_25_11" title="Subpart 25.11 - Solicitation Provisions and Contract Clauses" aria-label="Subpart 25.11 - Solicitation Provisions and Contract Clauses. Link 88">Subpart 25.11 - Solicitation Provisions and Contract Clauses</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e384"> <a class="xref fm:TOC" href="#FAR_25_1101" title="25.1101 Acquisition of supplies." aria-label="25.1101 Acquisition of supplies.. Link 89">25.1101 Acquisition of supplies.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e388"> <a class="xref fm:TOC" href="#FAR_25_1102" title="25.1102 Acquisition of construction." aria-label="25.1102 Acquisition of construction.. Link 90">25.1102 Acquisition of construction.</a> </p> <p class=" ListL2" id="FAR_Part_25__d1589e392"> <a class="xref fm:TOC" href="#FAR_25_1103" title="25.1103 Other provisions and clauses." aria-label="25.1103 Other provisions and clauses.. Link 91">25.1103 Other provisions and clauses.</a> </p> </div> <nav role="navigation" class="related-links"><div class="familylinks"><div class="parentlink"><strong>Parent topic:</strong> <a class="link FAR_4 FAR_Subchapter_DNoPropFAR_4.htmlsubtopic" href="/far/far4" title="Federal Acquisition Regulation" aria-label="Federal Acquisition Regulation. Link 92">Federal Acquisition Regulation</a></div></div></nav><article class="topic concept TORP" aria-labelledby="ariaid-title2" id="FAR_25_000"> <h2 class="title topictitle2" id="ariaid-title2"> <span class="ph autonumber">25.000</span> Scope of part.</h2> <div class="body conbody"> <p class=" ListL1" id="FAR_25_000__d1610e10"> <span class="ph autonumber">(a)</span> This part provides policies and procedures for-</p> <p class=" ListL2" id="FAR_25_000__d1610e16"> <span class="ph autonumber">(1)</span> Acquisition of foreign supplies, services, and construction materials; and</p> <p class=" ListL2" id="FAR_25_000__d1610e21"> <span class="ph autonumber">(2)</span> Contracts performed outside the United States.</p> <p class=" ListL1" id="FAR_25_000__d1610e26"> <span class="ph autonumber">(b)</span> It implements <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid%3AUSC-prelim-title41-chapter83&amp;saved=%7CZ3JhbnVsZWlkOlVTQy1wcmVsaW0tdGl0bGU0MC1jaGFwdGVyMzctZnJvbnQ%3D%7C%7C%7C0%7Cfalse%7Cprelim&amp;edition=prelim" target="_blank" title="41 U.S.C. chapter 83" aria-label="41 U.S.C. chapter 83. Link 93">41 U.S.C. chapter 83</a>, Buy American; trade agreements; and other laws and regulations.</p> </div> </article> <article class="topic concept nested1" aria-labelledby="ariaid-title3" id="FAR_25_001"> <h2 class="title topictitle2" id="ariaid-title3"> <span class="ph autonumber">25.001</span> General.</h2> <div class="body conbody"> <p class=" ListL1" id="FAR_25_001__d1611e10"> <span class="ph autonumber">(a)</span> <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid%3AUSC-prelim-title41-chapter83&amp;saved=%7CZ3JhbnVsZWlkOlVTQy1wcmVsaW0tdGl0bGU0MC1jaGFwdGVyMzctZnJvbnQ%3D%7C%7C%7C0%7Cfalse%7Cprelim&amp;edition=prelim" target="_blank" title="41 U.S.C. chapter 83" aria-label="41 U.S.C. chapter 83. Link 93">41 U.S.C. chapter 83</a>, Buy American-</p> <p class=" ListL2" id="FAR_25_001__d1611e18"> <span class="ph autonumber">(1)</span> Restricts the purchase of supplies, that are not domestic end products, for use within the United States. A foreign end product may be purchased if the contracting officer determines that the price of the lowest domestic offer is unreasonable or if another exception applies (see <a class="xref fm:Subpart" href="#FAR_Subpart_25_1" title="subpart&nbsp; 25.1" aria-label="subpart聽 25.1. Link 95">subpart&nbsp; 25.1</a>); and</p> <p class=" ListL2" id="FAR_25_001__d1611e26"> <span class="ph autonumber">(2)</span> Requires, with some exceptions, the use of only domestic construction materials in contracts for construction in the United States (see <a class="xref fm:Subpart" href="#FAR_Subpart_25_2" title="subpart&nbsp; 25.2" aria-label="subpart聽 25.2. Link 96">subpart&nbsp; 25.2</a>).</p> <p class=" ListL1" id="FAR_25_001__d1611e34"> <span class="ph autonumber">(b)</span> The restrictions in the Buy American statute are not applicable in acquisitions subject to certain trade agreements (see <a class="xref fm:Subpart" href="#FAR_Subpart_25_4" title="subpart&nbsp; 25.4" aria-label="subpart聽 25.4. Link 97">subpart&nbsp; 25.4</a>). In these acquisitions, end products and construction materials from certain countries receive nondiscriminatory treatment in evaluation with domestic offers. Generally, the dollar value of the acquisition determines which of the trade agreements applies. Exceptions to the applicability of the trade agreements are described in <a class="xref fm:Subpart" href="#FAR_Subpart_25_4" title="subpart&nbsp; 25.4" aria-label="subpart聽 25.4. Link 97">subpart&nbsp; 25.4</a>.</p> <p class=" ListL1" id="FAR_25_001__d1611e45"> <span class="ph autonumber">(c)</span> The test to determine the country of origin for an end product under the Buy American statute (see the various country "end product" definitions in <a class="xref fm:ParaNumOnly" href="#FAR_25_003" title="25.003" aria-label="25.003. Link 99">25.003</a>) is different from the test to determine the country of origin for an end product under the trade agreements, or the criteria for the representation on end products manufactured outside the United States (see <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_18" title="52.225-18" aria-label="52.225-18. Link 100">52.225-18</a>).</p> <p class=" ListL2" id="FAR_25_001__d1611e57"> <span class="ph autonumber">(1)</span> <span class="ph autonumber"></span> The Buy American statute uses a two-part test to define a "domestic end product" or "domestic construction material" (manufactured in the United States and a domestic content test). The domestic content test has been waived for acquisition of commercially available off-the-shelf (COTS) items, except a product that consists wholly or predominantly of iron or steel or a combination of both (excluding COTS fasteners) (see <a class="xref fm:ParaNumOnly" href="#FAR_25_101" title="25.101" aria-label="25.101. Link 101">25.101</a>(a) and <a class="xref fm:ParaNumOnly" href="#FAR_25_201" title="25.201" aria-label="25.201. Link 102">25.201</a>(b)).</p> <p class=" ListL2" id="FAR_25_001__d1611e69"> <span class="ph autonumber">(2)</span> Under the trade agreements, the test to determine country of origin is "substantial transformation" (<em class="ph i">i.e.</em>, transforming an article into a new and different article of commerce, with a name, character, or use distinct from the original article).</p> <p class=" ListL2" id="FAR_25_001__d1611e77"> <span class="ph autonumber">(3)</span> For the representation at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_18" title="52.225-18" aria-label="52.225-18. Link 100">52.225-18</a>, the only criterion is whether the place of manufacture of an end product is in the United States or outside the United States, without regard to the origin of the components.</p> <p class=" ListL2" id="FAR_25_001__d1611e85"> <span class="ph autonumber">(4)</span> When using funds appropriated under the American Recovery and Reinvestment Act of 2009 (Pub. L. 111-5), the definition of "domestic manufactured construction material" requires manufacture in the United States but does not include a requirement with regard to the origin of the components. If the construction material consists wholly or predominantly of iron or steel, the iron or steel must be produced in the United States.</p> </div> </article> <article class="topic concept nested1" aria-labelledby="ariaid-title4" id="FAR_25_002"> <h2 class="title topictitle2" id="ariaid-title4"> <span class="ph autonumber">25.002</span> Applicability of subparts.</h2> <div class="body conbody"> <p class="p" id="FAR_25_002__d1620e8">The following table shows the applicability of the subparts. <a class="xref fm:Subpart" href="#FAR_Subpart_25_5" title="subpart&nbsp; 25.5" aria-label="subpart聽 25.5. Link 104">subpart&nbsp; 25.5</a> provides comprehensive procedures for offer evaluation and examples.</p> <div class="agov-table-wrapper"><table class="table frame-all" aria-label="Presentation Table"><colgroup><col><col><col><col><col><col><col></colgroup><thead class="thead"> <tr> <th class="entry colsep-1 rowsep-1" id="FAR_25_002__entry__1" aria-label=" Subpart "> <p class="p" id="FAR_25_002__d1604e47"> <dfn class="term">Subpart</dfn> </p> </th> <th class="entry colsep-1 rowsep-1" id="FAR_25_002__entry__2" colspan="2" aria-label=" Supplies For Use "> <p class="p" id="FAR_25_002__d1604e56"> <dfn class="term">Supplies For Use</dfn> </p> </th> <th class="entry colsep-1 rowsep-1" id="FAR_25_002__entry__3" colspan="2" aria-label=" Construction "> <p class="p" id="FAR_25_002__d1604e65"> <dfn class="term">Construction</dfn> </p> </th> <th class="entry colsep-1 rowsep-1" id="FAR_25_002__entry__4" colspan="2" aria-label=" Services Performed "> <p class="p" id="FAR_25_002__d1604e74"> <dfn class="term">Services Performed</dfn> </p> </th> </tr> <tr> <th class="entry colsep-1 rowsep-1" id="FAR_25_002__entry__5" aria-label="No value"></th> <th class="entry colsep-1 rowsep-1" id="FAR_25_002__entry__6" aria-label=" Inside U.S. "> <p class="p" id="FAR_25_002__d1604e88"> <dfn class="term">Inside U.S.</dfn> </p> </th> <th class="entry colsep-1 rowsep-1" id="FAR_25_002__entry__7" aria-label=" Outside U.S. "> <p class="p" id="FAR_25_002__d1604e97"> <dfn class="term">Outside U.S.</dfn> </p> </th> <th class="entry colsep-1 rowsep-1" id="FAR_25_002__entry__8" aria-label=" Inside U.S. "> <p class="p" id="FAR_25_002__d1604e106"> <dfn class="term">Inside U.S.</dfn> </p> </th> <th class="entry colsep-1 rowsep-1" id="FAR_25_002__entry__9" aria-label=" Outside U.S. "> <p class="p" id="FAR_25_002__d1604e115"> <dfn class="term">Outside U.S.</dfn> </p> </th> <th class="entry colsep-1 rowsep-1" id="FAR_25_002__entry__10" aria-label=" Inside U.S. "> <p class="p" id="FAR_25_002__d1604e125"> <dfn class="term">Inside U.S</dfn>.</p> </th> <th class="entry colsep-1 rowsep-1" id="FAR_25_002__entry__11" aria-label=" Outside U.S. "> <p class="p" id="FAR_25_002__d1604e134"> <dfn class="term">Outside U.S</dfn>.</p> </th> </tr> </thead><tbody class="tbody"> <tr> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1" headers="FAR_25_002__entry__1 FAR_25_002__entry__5 "> <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_1" title="25.1" aria-label="25.1. Link 105">25.1</a> Buy American- Supplies</td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__6 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__7 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__8 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__9 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__10 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__11 "> <p class="p Ctr">-</p> </td> </tr> <tr> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1" headers="FAR_25_002__entry__1 FAR_25_002__entry__5 "> <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_2" title="25.2" aria-label="25.2. Link 106">25.2</a> Buy American- Construction Materials</td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__6 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__7 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__8 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__9 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__10 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__11 "> <p class="p Ctr">-</p> </td> </tr> <tr> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1" headers="FAR_25_002__entry__1 FAR_25_002__entry__5 "> <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_3" title="25.3" aria-label="25.3. Link 107">25.3</a> Contracts Performed Outside the United States</td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__6 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__7 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__8 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__9 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__10 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__11 "> <p class="p Ctr">X</p> </td> </tr> <tr> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1" headers="FAR_25_002__entry__1 FAR_25_002__entry__5 "> <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_4" title="25.4" aria-label="25.4. Link 108">25.4</a> Trade Agreements</td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__6 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__7 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__8 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__9 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__10 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__11 "> <p class="p Ctr">X</p> </td> </tr> <tr> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1" headers="FAR_25_002__entry__1 FAR_25_002__entry__5 "> <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_5" title="25.5" aria-label="25.5. Link 109">25.5</a> Evaluating Foreign Offers- Supply Contracts</td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__6 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__7 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__8 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__9 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__10 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__11 "> <p class="p Ctr">-</p> </td> </tr> <tr> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1" headers="FAR_25_002__entry__1 FAR_25_002__entry__5 "> <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_6" title="25.6" aria-label="25.6. Link 110">25.6</a> American Recovery and Reinvestment Act-Buy American statute-Construction Materials</td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__6 "> <p class="p Ctr"></p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__7 "> <p class="p Ctr"></p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__8 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__9 "> <p class="p Ctr"></p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__10 "> <p class="p Ctr"></p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__11 "> <p class="p Ctr"></p> </td> </tr> <tr> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1" headers="FAR_25_002__entry__1 FAR_25_002__entry__5 "> <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_7" title="25.7" aria-label="25.7. Link 111">25.7</a> Prohibited Sources</td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__6 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__7 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__8 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__9 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__10 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__11 "> <p class="p Ctr">X</p> </td> </tr> <tr> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1" headers="FAR_25_002__entry__1 FAR_25_002__entry__5 "> <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_8" title="25.8" aria-label="25.8. Link 112">25.8</a> Other International Agreements and Coordination</td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__6 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__7 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__8 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__9 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__10 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__11 "> <p class="p Ctr">X</p> </td> </tr> <tr> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1" headers="FAR_25_002__entry__1 FAR_25_002__entry__5 "> <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_9" title="25.9" aria-label="25.9. Link 113">25.9</a> Customs and Duties</td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__6 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__7 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__8 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__9 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__10 "> <p class="p Ctr">-</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__11 "> <p class="p Ctr">-</p> </td> </tr> <tr> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1" headers="FAR_25_002__entry__1 FAR_25_002__entry__5 "> <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_10" title="25.10" aria-label="25.10. Link 114">25.10</a> Additional Foreign Acquisition Regulations</td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__6 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__7 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__8 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__9 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__10 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__11 "> <p class="p Ctr">X</p> </td> </tr> <tr> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1" headers="FAR_25_002__entry__1 FAR_25_002__entry__5 "> <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_11" title="25.11" aria-label="25.11. Link 115">25.11</a> Solicitation Provisions and Contract Clauses</td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__6 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__2 FAR_25_002__entry__7 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__8 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__3 FAR_25_002__entry__9 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__10 "> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_002__entry__4 FAR_25_002__entry__11 "> <p class="p Ctr">X</p> </td> </tr> </tbody></table></div> </div> </article> <article class="topic concept nested1" aria-labelledby="ariaid-title5" id="FAR_25_003"> <h2 class="title topictitle2" id="ariaid-title5"> <span class="ph autonumber">25.003</span> Definitions. </h2> <div class="body conbody"> <p class="p">As used in this part&mdash;</p> <p class="p"> <em class="ph i _25.003d1617e18 Term">Caribbean Basin country</em> means any of the following countries: Antigua and Barbuda, Aruba, Bahamas, Barbados, Belize, Bonaire, British Virgin Islands, Curacao, Dominica, Grenada, Guyana, Haiti, Jamaica, Montserrat, Saba, St. Kitts and Nevis, St. Lucia, St. Vincent and the Grenadines, Sint Eustatius, Sint Maarten, or Trinidad and Tobago.</p> <p class="p"> <em class="ph i _25.003d1617e24 Term">Caribbean Basin country end product</em>&mdash; </p><p class=" ListL2" id="FAR_25_003__d1613e22"> <span class="ph autonumber">(1)</span> Means an article that&ndash;</p> <p class="p"></p><p class="Runin RuninRestart ListL3" id="FAR_25_003__d1613e28"> <span class="ph autonumber">(i)</span> </p> <p class="RuninChild ListL4" id="FAR_25_003__d1613e33"> <span class="ph autonumber">(A)</span> Is wholly the growth, product, or manufacture of a Caribbean Basin country; or</p> <p class=" ListL4" id="FAR_25_003__d1613e38"> <span class="ph autonumber">(B)</span> In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in a Caribbean Basin country into a new and different article of commerce with a name, character, or use distinct from that of the article or articles from which it was transformed; and</p> <p class=" ListL3" id="FAR_25_003__d1613e43"> <span class="ph autonumber">(ii)</span> Is not excluded from duty-free treatment for Caribbean countries under <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section2703(b)&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 2703(b)" aria-label="19 U.S.C. 2703(b). Link 116">19 U.S.C. 2703(b)</a>.</p> <p class=" ListL4" id="FAR_25_003__d1613e49"> <span class="ph autonumber">(A)</span> For this reason, the following articles are not Caribbean Basin country end products:</p> <p class=" ListL5" id="FAR_25_003__d1613e55"> <span class="ph autonumber">(1)</span> Tuna, prepared or preserved in any manner in airtight containers.</p> <p class=" ListL5" id="FAR_25_003__d1613e60"> <span class="ph autonumber">(2)</span> Petroleum, or any product derived from petroleum.</p> <p class=" ListL5" id="FAR_25_003__d1613e65"> <span class="ph autonumber">(3)</span> Watches and watch parts (including cases, bracelets, and straps) of whatever type including, but not limited to, mechanical, quartz digital, or quartz analog, if such watches or watch parts contain any material that is the product of any country to which the Harmonized Tariff Schedule of the United States (HTSUS) column 2 rates of duty apply (i.e., Afghanistan, Cuba, Laos, North Korea, and Vietnam).</p> <p class=" ListL5" id="FAR_25_003__d1613e70"> <span class="ph autonumber">(4)</span> Certain of the following: textiles and apparel articles; footwear, handbags, luggage, flat goods, work gloves, and leather wearing apparel; or handloomed, handmade, and folklore articles.</p> <p class=" ListL4" id="FAR_25_003__d1613e75"> <span class="ph autonumber">(B)</span> Access to the HTSUS to determine duty-free status of articles of the types listed in paragraph (1)(ii)(A)(4) of this definition is available via the Internet at <a class="xref" href="https://usitc.gov/tata/hts/index.htm" target="_blank" title="https://usitc.gov/tata/hts/index.htm" aria-label="https://usitc.gov/tata/hts/index.htm. Link 117">https://usitc.gov/tata/hts/index.htm</a>. In particular, see the following:</p> <p class=" ListL5" id="FAR_25_003__d1613e84"> <span class="ph autonumber">(1)</span> General Note 3(c), Products Eligible for Special Tariff treatment.</p> <p class=" ListL5" id="FAR_25_003__d1613e89"> <span class="ph autonumber">(2)</span> General Note 17, Products of Countries Designated as Beneficiary Countries under the United States- Caribbean Basin Trade Partnership Act of 2000.</p> <p class=" ListL5" id="FAR_25_003__d1613e94"> <span class="ph autonumber">(3)</span> Section XXII, Chapter 98, Subchapter II, Articles Exported and Returned, Advanced or Improved Abroad, U.S. Note 7(b).</p> <p class=" ListL5" id="FAR_25_003__d1613e99"> <span class="ph autonumber">(4)</span> Section XXII, Chapter 98, Subchapter XX, Goods Eligible for Special Tariff Benefits under the United States-Caribbean Basin Trade Partnership Act; and</p> <p class=" ListL2" id="FAR_25_003__d1613e104"> <span class="ph autonumber">(2)</span> Refers to a product offered for purchase under a supply contract, but for purposes of calculating the value of the acquisition, includes services (except transportation services) incidental to the article, provided that the value of those incidental services does not exceed that of the article itself.</p> <p class="p" id="FAR_25_003__d1612e191"> <em class="ph i _25.003d1617e201 Term">Civil aircraft and related articles</em> means- </p><p class=" ListL2" id="FAR_25_003__d1613e116"> <span class="ph autonumber">(1)</span> All aircraft other than aircraft to be purchased for use by the Department of Defense or the U.S. Coast Guard;</p> <p class=" ListL2" id="FAR_25_003__d1613e121"> <span class="ph autonumber">(2)</span> The engines (and parts and components for incorporation into the engines) of these aircraft;</p> <p class=" ListL2" id="FAR_25_003__d1613e126"> <span class="ph autonumber">(3)</span> Any other parts, components, and subassemblies for incorporation into the aircraft; and</p> <p class=" ListL2" id="FAR_25_003__d1613e131"> <span class="ph autonumber">(4)</span> Any ground flight simulators, and parts and components of these simulators, for use with respect to the aircraft, whether to be used as original or replacement equipment in the manufacture, repair, maintenance, rebuilding, modification, or conversion of the aircraft and without regard to whether the aircraft or articles receive duty-free treatment under section 601(a)(2) of the Trade Agreements Act.</p> <p class="p" id="FAR_25_003__d1612e236"> <em class="ph i _25.003d1617e252 Term">Component</em> means an article, material, or supply incorporated directly into an end product or construction material.</p> <p class="p" id="FAR_25_003__d1612e239"> <em class="ph i _25.003d1617e259 Term">Construction material</em> means an article, material, or supply brought to the construction site by a contractor or subcontractor for incorporation into the building or work. The term also includes an item brought to the site preassembled from articles, materials, or supplies. However, emergency life safety systems, such as emergency lighting, fire alarm, and audio evacuation systems, that are discrete systems incorporated into a public building or work and that are produced as complete systems, are evaluated as a single and distinct construction material regardless of when or how the individual parts or components of those systems are delivered to the construction site. Materials purchased directly by the Government are supplies, not construction material.</p> <p class="p" id="FAR_25_003__d1612e243"> <em class="ph i _25.003d1617e265 Term">Cost of components</em> means- </p><p class=" ListL2" id="FAR_25_003__d1613e151"> <span class="ph autonumber">(1)</span> For components purchased by the contractor, the acquisition cost, including transportation costs to the place of incorporation into the end product or construction material (whether or not such costs are paid to a domestic firm), and any applicable duty (whether or not a duty-free entry certificate is issued); or</p> <p class=" ListL2" id="FAR_25_003__d1613e156"> <span class="ph autonumber">(2)</span> For components manufactured by the contractor, all costs associated with the manufacture of the component, including transportation costs as described in paragraph (1) of this definition, plus allocable overhead costs, but excluding profit. Cost of components does not include any costs associated with the manufacture of the end product.</p> <p class=" ListL2" id="FAR_25_003__d1613e160"></p> <p class="p" id="FAR_25_003__d1613e161"> <em class="ph i _25.003d7e164 Term">Critical component</em> means a component that is mined, produced, or manufactured in the United States and deemed critical to the U.S. supply chain. The list of critical components is at <a class="xref fm:ParaNumOnly" href="#FAR_25_105" title="25.105" aria-label="25.105. Link 118">25.105</a>.</p> <p class="p" id="FAR_25_003__d1613e171"> <em class="ph i _25.003d7e174 Term">Critical item</em> means a domestic construction material or domestic end product that is deemed critical to the U.S. supply chain. The list of critical items is at <a class="xref fm:ParaNumOnly" href="#FAR_25_105" title="25.105" aria-label="25.105. Link 118">25.105</a>.</p> <p class="p" id="FAR_25_003__d1612e267"> <em class="ph i _25.003d1617e298 Term">Designated country</em> means any of the following countries: </p><p class=" ListL2" id="FAR_25_003__d1613e168"> <span class="ph autonumber">(1)</span> A World Trade Organization Government Procurement Agreement (WTO GPA) country (Armenia, Aruba, Australia, Austria,, Belgium, Bulgaria, Canada, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hong Kong, Hungary, Iceland, Ireland, Israel, Italy, Japan, Korea (Republic of), Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Moldova, Montenegro, Netherlands, New Zealand, North Macedonia, Norway, Poland, Portugal, Romania, Singapore, Slovak Republic, Slovenia, Spain, Sweden, Switzerland, Taiwan (known in the World Trade Organization as "the Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu (Chinese Taipei)"), Ukraine, or United Kingdom);</p> <p class=" ListL2" id="FAR_25_003__d1613e173"> <span class="ph autonumber">(2)</span> A Free Trade Agreement (FTA) country (Australia, Bahrain, Chile, Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Korea (Republic of), Mexico, Morocco, Nicaragua, Oman, Panama, Peru, or Singapore);</p> <p class=" ListL2" id="FAR_25_003__d1613e178"> <span class="ph autonumber">(3)</span> A least developed country (Afghanistan, Angola, Bangladesh, Benin, Bhutan, Burkina Faso, Burundi, Cambodia, Central African Republic, Chad, Comoros, Democratic Republic of Congo, Djibouti, Equatorial Guinea, Eritrea, Ethiopia, Gambia, Guinea, Guinea-Bissau, Haiti, Kiribati, Laos, Lesotho, Liberia, Madagascar, Malawi, Mali, Mauritania, Mozambique, Nepal, Niger, Rwanda, Samoa, Sao Tome and Principe, Senegal, Sierra Leone, Solomon Islands, Somalia, South Sudan, Tanzania, Timor-Leste, Togo, Tuvalu, Uganda, Vanuatu, Yemen, or Zambia); or</p> <p class=" ListL2" id="FAR_25_003__d1613e183"> <span class="ph autonumber">(4)</span> A Caribbean Basin country (Antigua and Barbuda, Aruba, Bahamas, Barbados, Belize, Bonaire, British Virgin Islands, Curacao, Dominica, Grenada, Guyana, Haiti, Jamaica, Montserrat, Saba, St. Kitts and Nevis, St. Lucia, St. Vincent and the Grenadines, Sint Eustatius, Sint Maarten, or Trinidad and Tobago).</p> <p class="p" id="FAR_25_003__d1612e312"> <em class="ph i _25.003d1617e352 Term">Designated country end product</em> means a WTO GPA country end product, an FTA country end product, a least developed country end product, or a Caribbean Basin country end product.</p> <p class="p" id="FAR_25_003__d1612e315"> <em class="ph i _25.003d1617e358 Term">Domestic construction material</em> means- </p><p class=" ListL2" id="FAR_25_003__d1613e199"> <span class="ph autonumber">(1)</span> For use in subparts other than 25.6&mdash;</p> <p class=" ListL3" id="FAR_25_003__d1613e206"> <span class="ph autonumber">(i)</span> For construction material that does not consist wholly or predominantly of iron or steel or a combination of both&mdash;</p> <p class=" ListL4" id="FAR_25_003__d1613e212"> <span class="ph autonumber">(A)</span> An unmanufactured construction material mined or produced in the United States; or</p> <p class=" ListL4" id="FAR_25_003__d1613e217"> <span class="ph autonumber">(B)</span> A construction material manufactured in the United States, if&ndash;</p> <p class=" ListL5" id="FAR_25_003__d1613e245"> <span class="ph autonumber">(1)</span> The cost of the components mined, produced, or manufactured in the United States exceeds 60 percent of the cost of all its components, except that the percentage will be 65 percent for items delivered in calendar years 2024 through 2028 and 75 percent for items delivered starting in calendar year 2029 (unless an alternate percentage is established for a contract in accordance with FAR <a class="xref fm:ParaNumOnly" href="#FAR_25_201" title="25.201" aria-label="25.201. Link 102">25.201</a>(c)).Components of unknown origin are treated as foreign; or</p> <p class=" ListL5" id="FAR_25_003__d1613e228"> <span class="ph autonumber">(2)</span> The construction material is a commercially available off-the-shelf (COTS) item; or</p> <p class=" ListL3" id="FAR_25_003__d1613e233"> <span class="ph autonumber">(ii)</span> For construction material that consists wholly or predominantly of iron or steel or a combination of both, a construction material manufactured in the United States if the cost of foreign iron and steel constitutes less than 5 percent of the cost of all the components used in such construction material. The cost of foreign iron and steel includes but is not limited to the cost of foreign iron or steel mill products (such as bar, billet, slab, wire, plate, or sheet), castings, or forgings utilized in the manufacture of the construction material and a good faith estimate of the cost of all foreign iron or steel components excluding COTS fasteners. Iron or steel components of unknown origin are treated as foreign. If the construction material contains multiple components, the cost of all the materials used in such construction material is calculated in accordance with the definition of &ldquo;cost of components&rdquo; in this section; or</p> <p class=" ListL2" id="FAR_25_003__d1613e238"> <span class="ph autonumber">(3)</span> For use in <a class="xref fm:Subpart" href="#FAR_Subpart_25_6" title="subpart&nbsp; 25.6" aria-label="subpart聽 25.6. Link 121">subpart&nbsp; 25.6</a>, see the definition in <a class="xref fm:ParaNumOnly" href="#FAR_25_601" title="25.601" aria-label="25.601. Link 122">25.601</a>.</p> <p class="p" id="FAR_25_003__d1612e388"> <em class="ph i _25.003d1617e439 Term">Domestic end product</em> means- </p><p class=" ListL2" id="FAR_25_003__d1613e256"> <span class="ph autonumber">(1)</span> For an end product that does not consist wholly or predominantly of iron or steel or a combination of both&mdash;</p> <p class=" ListL3" id="FAR_25_003__d1613e262"> <span class="ph autonumber">(i)</span> An unmanufactured end product mined or produced in the United States;</p> <p class=" ListL3" id="FAR_25_003__d1613e267"> <span class="ph autonumber">(ii)</span> An end product manufactured in the United States, if&ndash;</p> <p class=" ListL4" id="FAR_25_003__d1613e302"> <span class="ph autonumber">(A)</span> The cost of its components mined, produced, or manufactured in the United States exceeds 60 percent of the cost of all its components, except that the percentage will be 65 percent for items delivered in calendar years 2024 through 2028 and 75 percent for items delivered starting in calendar year 2029 (unless an alternate percentage is established for a contract in accordance with FAR <a class="xref fm:ParaNumOnly" href="#FAR_25_101" title="25.101" aria-label="25.101. Link 101">25.101</a>(d)). Components of unknown origin are treated as foreign. Scrap generated, collected, and prepared for processing in the United States is considered domestic; or</p> <p class=" ListL4" id="FAR_25_003__d1613e278"> <span class="ph autonumber">(B)</span> The end product is a COTS item; or</p> <p class=" ListL2" id="FAR_25_003__d1613e283"> <span class="ph autonumber">(2)</span> For an end product that consists wholly or predominantly of iron or steel or a combination of both, an end product manufactured in the United States, if the cost of foreign iron and steel constitutes less than 5 percent of the cost of all the components used in the end product. The cost of foreign iron and steel includes but is not limited to the cost of foreign iron or steel mill products (such as bar, billet, slab, wire, plate, or sheet), castings, or forgings utilized in the manufacture of the end product and a good faith estimate of the cost of all foreign iron or steel components excluding COTS fasteners. Iron or steel components of unknown origin are treated as foreign. If the end product contains multiple components, the cost of all the materials used in such end product is calculated in accordance with the definition of "cost of components" in this section.</p> <p class="p" id="FAR_25_003__d1612e433"> <em class="ph i _25.003d1617e494 Term">Domestic offer</em> means an offer of a domestic end product. When the solicitation specifies that award will be made on a group of line items, a domestic offer means an offer where the proposed price of the domestic end products exceeds 50 percent of the total proposed price of the group.</p> <p class="p" id="FAR_25_003__d1612e436"> <em class="ph i _25.003d1617e500 Term">Eligible offer</em> means an offer of an eligible product. When the solicitation specifies that award will be made on a group of line items, an eligible offer means a foreign offer where the combined proposed price of the eligible products and the domestic end products exceeds 50 percent of the total proposed price of the group.</p> <p class="p" id="FAR_25_003__d1612e439"> <em class="ph i _25.003d1617e506 Term">Eligible product</em> means a foreign end product, construction material, or service that, due to applicability of a trade agreement to a particular acquisition, is not subject to discriminatory treatment.</p> <p class="p" id="FAR_25_003__d1612e443"> <em class="ph i _25.003d1617e512 Term">End product</em> means those articles, materials, and supplies to be acquired for public use.</p> <p class="p" id="FAR_25_003__id211FDH0035Z"> <em class="ph i _25.003d55e293 Term">Fastener</em> means a hardware device that mechanically joins or affixes two or more objects together. Examples of fasteners are nuts, bolts, pins, rivets, nails, clips, and screws.</p> <p class="p" id="FAR_25_003__d1612e446"> <em class="ph i _25.003d1617e518 Term">Foreign construction material</em> means a construction material other than a domestic construction material.</p> <p class="p" id="FAR_25_003__d1612e449"> <em class="ph i _25.003d1617e524 Term">Foreign contractor</em> means a contractor or subcontractor organized or existing under the laws of a country other than the United States.</p> <p class="p" id="FAR_25_003__d1612e452"> <em class="ph i _25.003d1617e531 Term">Foreign end product</em> means an end product other than a domestic end product.</p> <p class="p" id="FAR_25_003__id211FDH090Y4"> <em class="ph i _25.003d55e305 Term">Foreign iron and steel</em> means iron or steel products not produced in the United States. Produced in the United States means that all manufacturing processes of the iron or steel must take place in the United States, from the initial melting stage through the application of coatings, except metallurgical processes involving refinement of steel additives. The origin of the elements of the iron or steel is not relevant to the determination of whether it is domestic or foreign.</p> <p class="p" id="FAR_25_003__d1612e455"> <em class="ph i _25.003d1617e537 Term">Foreign offer</em> means any offer other than a domestic offer.</p> <p class="p" id="FAR_25_003__d1612e458"> <em class="ph i _25.003d1617e543 Term">Free Trade Agreement country</em> means Australia, Bahrain, Chile, Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Korea (Republic of), Mexico, Morocco, Nicaragua, Oman, Panama, Peru, or Singapore.</p> <p class="p" id="FAR_25_003__d1612e462"> <em class="ph i _25.003d1617e549 Term">Free Trade Agreement country end product</em> means an article that- </p><p class=" ListL2" id="FAR_25_003__d1613e341"> <span class="ph autonumber">(1)</span> Is wholly the growth, product, or manufacture of a Free Trade Agreement (FTA) country; or</p> <p class=" ListL2" id="FAR_25_003__d1613e346"> <span class="ph autonumber">(2)</span> In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in an FTA country into a new and different article of commerce with a name, character, or use distinct from that of the article or articles from which it was transformed. The term refers to a product offered for purchase under a supply contract, but for purposes of calculating the value of the end product, includes services (except transportation services) incidental to the article, provided that the value of those incidental services does not exceed that of the article itself.</p> <p class="p" id="FAR_25_003__d1612e486"> <em class="ph i _25.003d1617e582 Term">Israeli end product</em> means an article that- </p><p class=" ListL2" id="FAR_25_003__d1613e358"> <span class="ph autonumber">(1)</span> Is wholly the growth, product, or manufacture of Israel; or</p> <p class=" ListL2" id="FAR_25_003__d1613e363"> <span class="ph autonumber">(2)</span> In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Israel into a new and different article of commerce with a name, character, or use distinct from that of the article or articles from which it was transformed.</p> <p class="p"> <em class="ph i _25.003d1617e615 Term">Least developed country</em> means any of the following countries: Afghanistan, Angola, Bangladesh, Benin, Bhutan, Burkina Faso, Burundi, Cambodia, Central African Republic, Chad, Comoros, Democratic Republic of Congo, Djibouti, Equatorial Guinea, Eritrea, Ethiopia, Gambia, Guinea, Guinea-Bissau, Haiti, Kiribati, Laos, Lesotho, Liberia, Madagascar, Malawi, Mali, Mauritania, Mozambique, Nepal, Niger, Rwanda, Samoa, Sao Tome and Principe, Senegal, Sierra Leone, Solomon Islands, Somalia, South Sudan, Tanzania, Timor-Leste, Togo, Tuvalu, Uganda, Vanuatu, Yemen, or Zambia.</p> <p class="p"> <em class="ph i _25.003d1617e622 Term">Least developed country end product</em> means an article that- </p><p class=" ListL2" id="FAR_25_003__d1613e379"> <span class="ph autonumber">(1)</span> Is wholly the growth, product, or manufacture of a least developed country; or</p> <p class=" ListL2" id="FAR_25_003__d1613e384"> <span class="ph autonumber">(2)</span> In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in a least developed country into a new and different article of commerce with a name, character, or use distinct from that of the article or articles from which it was transformed. The term refers to a product offered for purchase under a supply contract, but for purposes of calculating the value of the end product, includes services (except transportation services) incidental to the article, provided that the value of those incidental services does not exceed that of the article itself.</p> <p class="p"> <em class="ph i _25.003d1617e655 Term">Noneligible offer</em> means an offer of a noneligible product.</p> <p class="p"> <em class="ph i _25.003d1617e661 Term">Noneligible product</em> means a foreign end product that is not an eligible product.</p> <p class="p" id="FAR_25_003__id211FDI00YHS"> <em class="ph i _25.003d55e381 Term">Predominantly of iron or steel or a combination of both</em> means that the cost of the iron and steel content exceeds 50 percent of the total cost of all its components. The cost of iron and steel is the cost of the iron or steel mill products (such as bar, billet, slab, wire, plate, or sheet), castings, or forgings utilized in the manufacture of the product and a good faith estimate of the cost of iron or steel components excluding COTS fasteners.</p> <p class="p" id="FAR_25_003__id211FDJ00KUI"> <em class="ph i _25.003d55e385 Term">Steel</em> means an alloy that includes at least 50 percent iron, between 0.02 and 2 percent carbon, and may include other elements.</p> <p class="p"> <em class="ph i _25.003d59e405 Term">United States</em> means the 50 States, the District of Columbia, and outlying areas.</p> <p class="p"> <em class="ph i _25.003d1617e673 Term">U.S.-made end product</em> means an article that is mined, produced, or manufactured in the United States or that is substantially transformed in the United States into a new and different article of commerce with a name, character, or use distinct from that of the article or articles from which it was transformed.</p> <p class="p" id="FAR_25_003__d1612e559"> <em class="ph i _25.003d1617e679 Term">World Trade Organization Government Procurement Agreement (WTO GPA) country</em> means any of the following countries: Armenia, Aruba, Australia, Austria, Belgium, Bulgaria, Canada, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hong Kong, Hungary, Iceland, Ireland, Israel, Italy, Japan, Korea (Republic of), Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Moldova, Montenegro, Netherlands, New Zealand, North Macedonia, Norway, Portugal, Romania, Singapore, Slovak Republic, Slovenia, Spain, Sweden, Switzerland, Taiwan, Ukraine, or United Kingdom.</p> <p class="p"> <em class="ph i _25.003d1617e686 Term">WTO GPA country end product</em> means an article that- </p><p class=" ListL2" id="FAR_25_003__d1613e425"> <span class="ph autonumber">(1)</span> Is wholly the growth, product, or manufacture of a WTO GPA country; or</p> <p class=" ListL2" id="FAR_25_003__d1613e430"> <span class="ph autonumber">(2)</span> In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in a WTO GPA country into a new and different article of commerce with a name, character, or use distinct from that of the article or articles from which it was transformed. The term refers to a product offered for purchase under a supply contract, but for purposes of calculating the value of the end product includes services (except transportation services) incidental to the article, provided that the value of those incidental services does not exceed that of the article itself.</p> </div> </article> <article class="topic nested1" aria-labelledby="ariaid-title6" id="FAR_Subpart_25_1"> <h2 class="title topictitle2 Subpart" id="ariaid-title6"> <span class="ph autonumber">Subpart 25.1</span> - Buy American-Supplies</h2> <article class="topic nested2" aria-labelledby="ariaid-title7" id="FAR_25_100"> <h3 class="title topictitle3" id="ariaid-title7"> <span class="ph autonumber">25.100</span> Scope of subpart.</h3> <div class="body"> <p class=" ListL1" id="FAR_25_100__d1615e10"> <span class="ph autonumber">(a)</span> This subpart implements-</p> <p class=" ListL2" id="FAR_25_100__d1615e16"> <span class="ph autonumber">(1)</span> <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid%3AUSC-prelim-title41-chapter83&amp;saved=%7CZ3JhbnVsZWlkOlVTQy1wcmVsaW0tdGl0bGU0MC1jaGFwdGVyMzctZnJvbnQ%3D%7C%7C%7C0%7Cfalse%7Cprelim&amp;edition=prelim" target="_blank" title="41 U.S.C. chapter 83" aria-label="41 U.S.C. chapter 83. Link 93">41 U.S.C. chapter 83</a>, Buy American;</p> <p class=" ListL2" id="FAR_25_100__d1615e23"> <span class="ph autonumber">(2)</span> Executive Order 10582, December 17, 1954; </p> <p class=" ListL2" id="FAR_25_100__d1615e28"> <span class="ph autonumber">(3)</span> Executive Order 13881, July 15, 2019; </p> <p class=" ListL2" id="FAR_25_100__d1615e37"> <span class="ph autonumber">(4)</span> <a class="xref" href="https://www.federalregister.gov/executive-order/14005" target="_blank" title="Executive Order 14005," aria-label="Executive Order 14005,. Link 125">Executive Order 14005,</a> January 25, 2021; and </p> <p class=" ListL2" id="FAR_25_100__d1615e33"> <span class="ph autonumber">(5)</span> Waiver of the domestic content test of the Buy American statute for acquisition of commercially available off-the-shelf (COTS) items in accordance with <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title41-section1907&amp;num=0&amp;edition=prelim" target="_blank" title="41 U.S.C. 1907" aria-label="41 U.S.C. 1907. Link 126">41 U.S.C. 1907</a>, but see <a class="xref fm:ParaNumOnly" href="#FAR_25_101" title="25.101" aria-label="25.101. Link 101">25.101</a>(a)(2)(ii). </p> <p class=" ListL1" id="FAR_25_100__d1615e41"> <span class="ph autonumber">(b)</span> It applies to supplies acquired for use in the United States, including supplies acquired under contracts set aside for small business concerns, if-</p> <p class=" ListL2" id="FAR_25_100__d1615e47"> <span class="ph autonumber">(1)</span> The supply contract exceeds the micro-purchase threshold; or</p> <p class=" ListL2" id="FAR_25_100__d1615e52"> <span class="ph autonumber">(2)</span> The supply portion of a contract for services that involves the furnishing of supplies (<em class="ph i">e.g.</em>, lease) exceeds the micro-purchase threshold.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title8" id="FAR_25_101"> <h3 class="title topictitle3" id="ariaid-title8"> <span class="ph autonumber">25.101</span> General.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_101__d1616e10"> <span class="ph autonumber">(a)</span> The Buy American statute restricts the purchase of supplies that are not domestic end products. For manufactured</p> <p class=" ListL1" id="FAR_25_101__d1616e14">end products, the Buy American statute, <a class="xref" href="https://www.federalregister.gov/executive-order/13881" target="_blank" title="E.O. 13881," aria-label="E.O. 13881,. Link 128">E.O. 13881,</a> and <a class="xref" href="https://www.federalregister.gov/executive-order/14005" target="_blank" title="E.O. 14005" aria-label="E.O. 14005. Link 129">E.O. 14005</a> use a two-part test to define a domestic end product.</p> <p class=" ListL2" id="FAR_25_101__d1616e18"> <span class="ph autonumber">(1)</span> The article must be manufactured in the United States; and</p> <p class="p"></p><p class="Runin RuninRestart ListL2" id="FAR_25_101__d1616e33"> <span class="ph autonumber">(2)</span> </p> <p class="RuninChild ListL3" id="FAR_25_101__d1616e38"> <span class="ph autonumber">(i)</span> Except for an end product that consists wholly or predominantly of iron or steel or a combination of both, the cost of domestic components shall exceed 60 percent of the cost of all the components, except that the percentage will be 65 percent for items delivered in calendar years 2024 through 2028 and 75 percent for items delivered starting in calendar year 2029. But see paragraph (d) of this section. In accordance with <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title41-section1907&amp;num=0&amp;edition=prelim" target="_blank" title="41 U.S.C. 1907" aria-label="41 U.S.C. 1907. Link 126">41 U.S.C. 1907</a>, this domestic content test of the Buy American statute has been waived for acquisitions of COTS items (see <a class="xref fm:ParaNumOnly" href="/far/part-12#FAR_12_505" title="12.505" aria-label="12.505. Link 131">12.505</a>(a)) (but see paragraph (a)(2)(ii) of this section). </p> <p class=" ListL3" id="FAR_25_101__d1616e36"> <span class="ph autonumber">(ii)</span> For an end product that consists wholly or predominantly of iron or steel or a combination of both, the cost of foreign iron and steel must constitute less than 5 percent of the cost of all the components used in the end product (see the definition of "foreign iron and steel" at <a class="xref fm:ParaNumOnly" href="#FAR_25_003" title="25.003" aria-label="25.003. Link 99">25.003</a>). The cost of foreign iron and steel includes but is not limited to the cost of foreign iron or steel mill products (such as bar, billet, slab, wire, plate, or sheet), castings, or forgings utilized in the manufacture of the end product and a good faith estimate of the cost of all foreign iron or steel components excluding COTS fasteners. This domestic content test of the Buy American statute has not been waived for acquisitions of COTS items in this category, except for COTS fasteners. </p> <p class=" ListL1" id="FAR_25_101__d1616e44"> <span class="ph autonumber">(b)</span> The Buy American statute applies to small business set-asides. A manufactured product of a small business concern is a U.S.-made end product, but is not a domestic end product unless it meets the domestic content test in paragraph (a)(2) of this section.</p> <p class=" ListL1" id="FAR_25_101__d1616e49"> <span class="ph autonumber">(c)</span> Exceptions that allow the purchase of a foreign end product are listed at <a class="xref fm:ParaNumOnly" href="#FAR_25_103" title="25.103" aria-label="25.103. Link 133">25.103</a>. The unreasonable cost exception is implemented through the use of an evaluation factor applied to low foreign offers that are not eligible offers. The evaluation factor is not used to provide a preference for one foreign offer over another. Evaluation procedures and examples are provided in <a class="xref fm:Subpart" href="#FAR_Subpart_25_5" title="subpart&nbsp; 25.5" aria-label="subpart聽 25.5. Link 104">subpart&nbsp; 25.5</a> .</p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_101__d1616e74"> <span class="ph autonumber">(d)</span> </p> <p class="RuninChild ListL2" id="FAR_25_101__d1616e79"> <span class="ph autonumber">(1)</span> A contract with a period of performance that spans the schedule of domestic content threshold increases specified in paragraph (a)(2)(i) of this section shall be required to comply with each increased threshold for the items in the year of delivery, unless the senior procurement executive of the contracting agency allows for application of an alternate domestic content test for that contract under which the domestic content threshold in effect at time of contract award will apply to the entire period of performance for the contract. This authority is not delegable. The senior procurement executive shall consult the Office of Management and Budget's Made in America Office before allowing the use of the alternate domestic content test. </p> <p class=" ListL2" id="FAR_25_101__FAR_25_101d2"> <span class="ph autonumber">(2)</span>When a senior procurement executive allows for application of an alternate domestic content test for a contract&mdash;</p> <p class=" ListL3" id="FAR_25_101__FAR_25_101d2i"> <span class="ph autonumber">(i)</span>See <a class="xref fm:ParaNumOnly" href="#FAR_25_1101" title="25.1101" aria-label="25.1101. Link 135">25.1101</a>(a)(1)(ii) or <a class="xref fm:ParaNumOnly" href="#FAR_25_1101" title="25.1101" aria-label="25.1101. Link 135">25.1101</a>(b)(1)(v) for use of the appropriate Alternate clause to reflect the domestic content threshold that will apply to the entire period of performance for that contract; and</p> <p class=" ListL3" id="FAR_25_101__FAR_25_101d2ii"> <span class="ph autonumber">(ii)</span>Use the fill-in at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_213_4" title="52.213-4" aria-label="52.213-4. Link 137">52.213-4</a>(b)(1)(xviii)(B) instead of including <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_1" title="52.225-1" aria-label="52.225-1. Link 138">52.225-1</a> Alternate I when using <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_213_4" title="52.213-4" aria-label="52.213-4. Link 137">52.213-4</a>, Terms and Conditions&mdash;Simplified Acquisitions (Other Than Commercial Products and Commercial Services).</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title9" id="FAR_25_102"> <h3 class="title topictitle3" id="ariaid-title9"> <span class="ph autonumber">25.102</span> Policy.</h3> <div class="body conbody"> <p class="p" id="FAR_25_102__d1625e8">Except as provided in <a class="xref fm:ParaNumOnly" href="#FAR_25_103" title="25.103" aria-label="25.103. Link 133">25.103</a>, acquire only domestic end products for public use inside the United States.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title10" id="FAR_25_103"> <h3 class="title topictitle3" id="ariaid-title10"> <span class="ph autonumber">25.103</span> Exceptions.</h3> <div class="body conbody"> <p class="p">When one of the following exceptions applies, the contracting officer may acquire a foreign end product without regard to the restrictions of the Buy American statute:</p> <p class=" ListL1" id="FAR_25_103__d1618e12"> <span class="ph autonumber">(a)</span> <em class="ph i">Public interest.</em> The head of the agency may make a determination that domestic preference would be inconsistent with the public interest. This exception applies when an agency has an agreement with a foreign government that provides a blanket exception to the Buy American statute.</p> <p class=" ListL1" id="FAR_25_103__d1618e19"> <span class="ph autonumber">(b)</span> <em class="ph i">Nonavailability</em>. The Buy American statute does not apply with respect to articles, materials, or supplies if articles, materials, or supplies of the class or kind to be acquired, either as end items or components, are not mined, produced, or manufactured in the United States in sufficient and reasonably available commercial quantities and of a satisfactory quality.</p> <p class="p"></p><p class="Runin RuninRestart ListL2" id="FAR_25_103__d1618e27"> <span class="ph autonumber">(1)</span> <em class="ph i">Class determinations</em>.</p> <p class="RuninChild ListL3" id="FAR_25_103__d1618e35"> <span class="ph autonumber">(i)</span> A nonavailability determination has been made for the articles listed in <a class="xref fm:ParaNumOnly" href="#FAR_25_104" title="25.104" aria-label="25.104. Link 141">25.104</a>. This determination does not necessarily mean that there is no domestic source for the listed items, but that domestic sources can only meet 50 percent or less of total U.S. Government and nongovernment demand.</p> <p class=" ListL3" id="FAR_25_103__d1618e43"> <span class="ph autonumber">(ii)</span> Before acquisition of an article on the list, the procuring agency is responsible to conduct market research appropriate to the circumstances, including seeking of domestic sources. This applies to acquisition of an article as-</p> <p class=" ListL4" id="FAR_25_103__d1618e49"> <span class="ph autonumber">(A)</span> An end product; or</p> <p class=" ListL4" id="FAR_25_103__d1618e54"> <span class="ph autonumber">(B)</span> A significant component (valued at more than 50 percent of the value of all the components).</p> <p class=" ListL3" id="FAR_25_103__d1618e59"> <span class="ph autonumber">(iii)</span> The determination in paragraph (b)(1)(i) of this section does not apply if the contracting officer learns at any time before the time designated for receipt of bids in sealed bidding or final offers in negotiation that an article on the list is available domestically in sufficient and reasonably available commercial quantities of a satisfactory quality to meet the requirements of the solicitation. The contracting officer must-</p> <p class=" ListL4" id="FAR_25_103__d1618e65"> <span class="ph autonumber">(A)</span> Ensure that the appropriate Buy American statute provision and clause are included in the solicitation (see <a class="xref fm:ParaNumOnly" href="#FAR_25_1101" title="25.1101" aria-label="25.1101. Link 135">25.1101</a>(a), <a class="xref fm:ParaNumOnly" href="#FAR_25_1101" title="25.1101" aria-label="25.1101. Link 135">25.1101</a>(b), or <a class="xref fm:ParaNumOnly" href="#FAR_25_1102" title="25.1102" aria-label="25.1102. Link 144">25.1102</a>);</p> <p class=" ListL4" id="FAR_25_103__d1618e79"> <span class="ph autonumber">(B)</span> Specify in the solicitation that the article is available domestically and that offerors and contractors may not treat foreign components of the same class or kind as domestic components; and</p> <p class=" ListL4" id="FAR_25_103__d1618e84"> <span class="ph autonumber">(C)</span> Submit a copy of supporting documentation to the appropriate council identified in <a class="xref fm:ParaNumOnly" href="/far/part-1#FAR_1_201_1" title="1.201-1" aria-label="1.201-1. Link 145">1.201-1</a>, in accordance with agency procedures, for possible removal of the article from the list.</p> <p class="p"></p><p class="Runin RuninRestart ListL2" id="FAR_25_103__d1618e92"> <span class="ph autonumber">(2)</span> <em class="ph i">Individual determinations.</em> </p> <p class="RuninChild ListL3" id="FAR_25_103__d1618e99"> <span class="ph autonumber">(i)</span> The head of the contracting activity may make a determination that an article, material, or supply is not mined, produced, or manufactured in the United States in sufficient and reasonably available commercial quantities of a satisfactory quality. A determination is not required before January 1, 2030, if there is an offer for a foreign end product that exceeds 55 percent domestic content (see <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(b)(2) and <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(c)(2)). </p> <p class=" ListL3" id="FAR_25_103__d1618e104"> <span class="ph autonumber">(ii)</span> If the contracting officer considers that the nonavailability of an article is likely to affect future acquisitions, the contracting officer may submit a copy of the determination and supporting documentation to the appropriate council identified in <a class="xref fm:ParaNumOnly" href="/far/part-1#FAR_1_201_1" title="1.201-1" aria-label="1.201-1. Link 145">1.201-1</a>, in accordance with agency procedures, for possible addition to the list in <a class="xref fm:ParaNumOnly" href="#FAR_25_104" title="25.104" aria-label="25.104. Link 141">25.104</a>.</p> <p class=" ListL2" id="FAR_25_103__d1618e115"> <span class="ph autonumber">(3)</span> A written determination is not required if all of the following conditions are present:</p> <p class=" ListL3" id="FAR_25_103__d1618e121"> <span class="ph autonumber">(i)</span> The acquisition was conducted through use of full and open competition.</p> <p class=" ListL3" id="FAR_25_103__d1618e126"> <span class="ph autonumber">(ii)</span> The acquisition was synopsized in accordance with <a class="xref fm:ParaNumOnly" href="/far/part-5#FAR_5_201" title="5.201" aria-label="5.201. Link 150">5.201</a>.</p> <p class=" ListL3" id="FAR_25_103__d1618e134"> <span class="ph autonumber">(iii)</span> No offer for a domestic end product was received.</p> <p class=" ListL1" id="FAR_25_103__d1618e149"> <span class="ph autonumber">(c)</span> <em class="ph i">Unreasonable cost</em>. The contracting officer may determine that the cost of a domestic end product would be unreasonable, in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a> and <a class="xref fm:Subpart" href="#FAR_Subpart_25_5" title="subpart&nbsp; 25.5" aria-label="subpart聽 25.5. Link 104">subpart&nbsp; 25.5</a>. </p> <p class=" ListL1" id="FAR_25_103__d1618e152"> <span class="ph autonumber">(d)</span> <em class="ph i">Resale</em>. The contracting officer may purchase foreign end products specifically for commissary resale.</p> <p class=" ListL1" id="FAR_25_103__d1618e159"> <span class="ph autonumber">(e)</span> <em class="ph i">Information technology that is a commercial product. </em> The restriction on purchasing foreign end products does not apply to the acquisition of information technology that is a commercial product, when using fiscal year 2004 or subsequent fiscal year funds (section 535(a) of Division F, Title V, Consolidated Appropriations Act, 2004, and similar sections in subsequent appropriations acts).</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title11" id="FAR_25_104"> <h3 class="title topictitle3" id="ariaid-title11"> <span class="ph autonumber">25.104</span> Nonavailable articles.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_104__d1619e10"> <span class="ph autonumber">(a)</span> The following articles have been determined to be nonavailable in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_103" title="25.103" aria-label="25.103. Link 133">25.103</a>(b)(1)(i):</p> <p class=" ListL1" id="FAR_25_104__d1619e17">Acetylene, black.</p> <p class=" ListL1" id="FAR_25_104__d1619e19">Agar, bulk.</p> <p class=" ListL1" id="FAR_25_104__d1619e21">Anise.</p> <p class=" ListL1" id="FAR_25_104__d1619e23">Antimony, as metal or oxide.</p> <p class=" ListL1" id="FAR_25_104__d1619e25">Asbestos, amosite, chrysotile, and crocidolite.</p> <p class=" ListL1" id="FAR_25_104__d1619e27">Bamboo shoots.</p> <p class=" ListL1" id="FAR_25_104__d1619e29">Bananas.</p> <p class=" ListL1" id="FAR_25_104__d1619e31">Bauxite.</p> <p class=" ListL1" id="FAR_25_104__d1619e33">Beef, corned, canned.</p> <p class=" ListL1" id="FAR_25_104__d1619e35">Beef extract.</p> <p class=" ListL1" id="FAR_25_104__d1619e38">Bephenium hydroxynapthoate.</p> <p class=" ListL1" id="FAR_25_104__d1619e40">Bismuth.</p> <p class=" ListL1" id="FAR_25_104__d1619e42">Books, trade, text, technical, or scientific; newspapers; pamphlets; magazines; periodicals; printed briefs and films; not printed in the United States and for which domestic editions are not available.</p> <p class=" ListL1" id="FAR_25_104__d1619e44">Brazil nuts, unroasted</p> <p class=" ListL1" id="FAR_25_104__d1619e46">Cadmium, ores and flue dust.</p> <p class=" ListL1" id="FAR_25_104__d1619e48">Calcium cyanamide.</p> <p class=" ListL1" id="FAR_25_104__d1619e50">Capers.</p> <p class=" ListL1" id="FAR_25_104__d1619e52">Cashew nuts.</p> <p class=" ListL1" id="FAR_25_104__d1619e54">Castor beans and castor oil.</p> <p class=" ListL1" id="FAR_25_104__d1619e56">Chalk, English.</p> <p class=" ListL1" id="FAR_25_104__d1619e58">Chestnuts.</p> <p class=" ListL1" id="FAR_25_104__d1619e61">Chicle.</p> <p class=" ListL1" id="FAR_25_104__d1619e63">Chrome ore or chromite.</p> <p class=" ListL1" id="FAR_25_104__d1619e65">Cinchona bark.</p> <p class=" ListL1" id="FAR_25_104__d1619e67">Cobalt, in cathodes, rondelles, or other primary ore and metal forms.</p> <p class=" ListL1" id="FAR_25_104__d1619e69">Cocoa beans.</p> <p class=" ListL1" id="FAR_25_104__d1619e71">Coconut and coconut meat, unsweetened, in shredded, desiccated, or similarly prepared form.</p> <p class=" ListL1" id="FAR_25_104__d1619e73">Coffee, raw or green bean.</p> <p class=" ListL1" id="FAR_25_104__d1619e75">Colchicine alkaloid, raw.</p> <p class=" ListL1" id="FAR_25_104__d1619e77">Copra.</p> <p class=" ListL1" id="FAR_25_104__d1619e79">Cork, wood or bark and waste.</p> <p class=" ListL1" id="FAR_25_104__d1619e81">Cover glass, microscope slide.</p> <p class=" ListL1" id="FAR_25_104__d1619e84">Crane rail (85-pound per foot).</p> <p class=" ListL1" id="FAR_25_104__d1619e86">Cryolite, natural.</p> <p class=" ListL1" id="FAR_25_104__d1619e88">Dammar gum.</p> <p class=" ListL1" id="FAR_25_104__d1619e90">Diamonds, industrial, stones and abrasives.</p> <p class=" ListL1" id="FAR_25_104__d1619e92">Emetine, bulk.</p> <p class=" ListL1" id="FAR_25_104__d1619e94">Ergot, crude.</p> <p class=" ListL1" id="FAR_25_104__d1619e96">Erythrityl tetranitrate.</p> <p class=" ListL1" id="FAR_25_104__d1619e98">Fair linen, altar.</p> <p class=" ListL1" id="FAR_25_104__d1619e100">Fibers of the following types: abaca, abace, agave, coir, flax, jute, jute burlaps, palmyra, and sisal.</p> <p class=" ListL1" id="FAR_25_104__d1619e102">Goat and kidskins.</p> <p class=" ListL1" id="FAR_25_104__d1619e104">Goat hair canvas.</p> <p class=" ListL1" id="FAR_25_104__d1619e107">Grapefruit sections, canned.</p> <p class=" ListL1" id="FAR_25_104__d1619e109">Graphite, natural, crystalline, crucible grade.</p> <p class=" ListL1" id="FAR_25_104__d1619e111">Hand file sets (Swiss pattern).</p> <p class=" ListL1" id="FAR_25_104__d1619e113">Handsewing needles.</p> <p class=" ListL1" id="FAR_25_104__d1619e115">Hemp yarn.</p> <p class=" ListL1" id="FAR_25_104__d1619e117">Hog bristles for brushes.</p> <p class=" ListL1" id="FAR_25_104__d1619e119">Hyoscine, bulk.</p> <p class=" ListL1" id="FAR_25_104__d1619e121">Ipecac, root.</p> <p class=" ListL1" id="FAR_25_104__d1619e123">Iodine, crude.</p> <p class=" ListL1" id="FAR_25_104__d1619e125">Kaurigum.</p> <p class=" ListL1" id="FAR_25_104__d1619e127">Lac.</p> <p class=" ListL1" id="FAR_25_104__d1619e130">Leather, sheepskin, hair type.</p> <p class=" ListL1" id="FAR_25_104__d1619e132">Lavender oil.</p> <p class=" ListL1" id="FAR_25_104__d1619e134">Manganese.</p> <p class=" ListL1" id="FAR_25_104__d1619e136">Menthol, natural bulk.</p> <p class=" ListL1" id="FAR_25_104__d1619e138">Mica.</p> <p class=" ListL1" id="FAR_25_104__d1619e140">Microprocessor chips (brought onto a Government construction site as separate units for incorporation into building systems during construction or repair and alteration of real property).</p> <p class=" ListL1" id="FAR_25_104__d1619e142">Modacrylic fiber.</p> <p class=" ListL1" id="FAR_25_104__d1619e144">Nickel, primary, in ingots, pigs, shots, cathodes, or similar forms; nickel oxide and nickel salts.</p> <p class=" ListL1" id="FAR_25_104__d1619e146">Nitroguanidine (also known as picrite).</p> <p class=" ListL1" id="FAR_25_104__d1619e148">Nux vomica, crude.</p> <p class=" ListL1" id="FAR_25_104__d1619e150">Oiticica oil.</p> <p class=" ListL1" id="FAR_25_104__d1619e153">Olive oil.</p> <p class=" ListL1" id="FAR_25_104__d1619e155">Olives (green), pitted or unpitted, or stuffed, in bulk.</p> <p class=" ListL1" id="FAR_25_104__d1619e157">Opium, crude.</p> <p class=" ListL1" id="FAR_25_104__d1619e159">Oranges, mandarin, canned.</p> <p class=" ListL1" id="FAR_25_104__d1619e161">Petroleum, crude oil, unfinished oils, and finished products.</p> <p class=" ListL1" id="FAR_25_104__d1619e163">Pine needle oil.</p> <p class=" ListL1" id="FAR_25_104__d1619e165">Pineapple, canned.</p> <p class=" ListL1" id="FAR_25_104__d1619e167">Platinum and related group metals, refined, as sponge, powder, ingots, or cast bars.</p> <p class=" ListL1" id="FAR_25_104__d1619e169">Pyrethrum flowers.</p> <p class=" ListL1" id="FAR_25_104__d1619e171">Quartz crystals.</p> <p class=" ListL1" id="FAR_25_104__d1619e173">Quebracho.</p> <p class=" ListL1" id="FAR_25_104__d1619e176">Quinidine.</p> <p class=" ListL1" id="FAR_25_104__d1619e178">Quinine.</p> <p class=" ListL1" id="FAR_25_104__d1619e180">Rabbit fur felt.</p> <p class=" ListL1" id="FAR_25_104__d1619e182">Radium salts, source and special nuclear materials.</p> <p class=" ListL1" id="FAR_25_104__d1619e184">Rosettes.</p> <p class=" ListL1" id="FAR_25_104__d1619e186">Rubber, crude and latex.</p> <p class=" ListL1" id="FAR_25_104__d1619e188">Rutile.</p> <p class=" ListL1" id="FAR_25_104__d1619e190">Santonin, crude.</p> <p class=" ListL1" id="FAR_25_104__d1619e192">Secretin.</p> <p class=" ListL1" id="FAR_25_104__d1619e194">Shellac.</p> <p class=" ListL1" id="FAR_25_104__d1619e196">Silk, raw and unmanufactured.</p> <p class=" ListL1" id="FAR_25_104__d1619e199">Spare and replacement parts for equipment of foreign manufacture, and for which domestic parts are not available.</p> <p class=" ListL1" id="FAR_25_104__d1619e201">Spices and herbs, in bulk.</p> <p class=" ListL1" id="FAR_25_104__d1619e203">Sugars, raw.</p> <p class=" ListL1" id="FAR_25_104__d1619e205">Swords and scabbards.</p> <p class=" ListL1" id="FAR_25_104__d1619e207">Talc, block, steatite.</p> <p class=" ListL1" id="FAR_25_104__d1619e209">Tantalum.</p> <p class=" ListL1" id="FAR_25_104__d1619e211">Tapioca flour and cassava.</p> <p class=" ListL1" id="FAR_25_104__d1619e213">Tartar, crude; tartaric acid and cream of tartar in bulk.</p> <p class=" ListL1" id="FAR_25_104__d1619e215">Tea in bulk.</p> <p class=" ListL1" id="FAR_25_104__d1619e217">Thread, metallic (gold).</p> <p class=" ListL1" id="FAR_25_104__d1619e219">Thyme oil.</p> <p class=" ListL1" id="FAR_25_104__d1619e222">Tin in bars, blocks, and pigs.</p> <p class=" ListL1" id="FAR_25_104__d1619e224">Triprolidine hydrochloride.</p> <p class=" ListL1" id="FAR_25_104__d1619e226">Tungsten.</p> <p class=" ListL1" id="FAR_25_104__d1619e228">Vanilla beans.</p> <p class=" ListL1" id="FAR_25_104__d1619e230">Venom, cobra.</p> <p class=" ListL1" id="FAR_25_104__d1619e232">Water chestnuts.</p> <p class=" ListL1" id="FAR_25_104__d1619e234">Wax, carnauba.</p> <p class=" ListL1" id="FAR_25_104__d1619e236">Wire glass.</p> <p class=" ListL1" id="FAR_25_104__d1619e238">Woods; logs, veneer, and lumber of the following species: Alaskan yellow cedar, angelique, balsa, ekki, greenheart, lignum vitae, mahogany, and teak.</p> <p class=" ListL1" id="FAR_25_104__d1619e240">Yarn, 50 Denier rayon.</p> <p class=" ListL1" id="FAR_25_104__d1619e242">Yeast, active dry and instant active dry.</p> <p class=" ListL1" id="FAR_25_104__d1619e245"> <span class="ph autonumber">(b)</span> This list will be published in the <em class="ph i">Federal Register</em> for public comment no less frequently than once every five years. Unsolicited recommendations for deletions from this list may be submitted at any time and should provide sufficient data and rationale to permit evaluation (see <a class="xref fm:ParaNumOnly" href="/far/part-1#FAR_1_502" title="1.502" aria-label="1.502. Link 154">1.502</a>).</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title12" id="FAR_25_105"> <h3 class="title topictitle3" id="ariaid-title12"> <span class="ph autonumber">25.105</span> Critical components and critical items. </h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_105__FAR_25_105a"> <span class="ph autonumber">(a)</span> The following is a list of articles that have been determined to be a critical component or critical item and their respective preference factor(s).</p> <p class=" ListL1" id="FAR_25_105__d1621e14">(1)-(2) [Reserved] </p> <p class=" ListL1" id="FAR_25_105__FAR_25_105b"> <span class="ph autonumber">(b)</span> The list of articles and preference factors in paragraph (a) of this section will be published in the <strong class="ph b">Federal Register</strong> for public comment no less frequently than once every 4 years. Unsolicited recommendations for deletions from this list may be submitted at any time and should provide sufficient data and rationale to permit evaluation ( <em class="ph i">see</em> <a class="xref fm:ParaNumOnly" href="/far/part-1#FAR_1_502" title="1.502" aria-label="1.502. Link 154">1.502</a>). </p> <p class=" ListL1" id="FAR_25_105__FAR_25_105c"> <span class="ph autonumber">(c)</span> For determining reasonableness of cost for domestic end products that contain critical components or are critical items ( <em class="ph i">see</em> <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(c)). </p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title13" id="FAR_25_106"> <h3 class="title topictitle3" id="ariaid-title13"> <span class="ph autonumber">25.106</span> Determining reasonableness of cost. </h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_106__d1620e10"> <span class="ph autonumber">(a)</span> The contracting officer-</p> <p class=" ListL2" id="FAR_25_106__d1621e19"> <span class="ph autonumber">(1)</span> Must use the evaluation factors in paragraphs (b) and (c) of this section unless the head of the agency makes a written determination that the use of higher factors is more appropriate. If the determination applies to all agency acquisitions, the agency evaluation factors must be published in agency regulations; and</p> <p class=" ListL2" id="FAR_25_106__d1621e29"> <span class="ph autonumber">(2)</span> Must not apply evaluation factors to offers of eligible products if the acquisition is subject to a trade agreement under <a class="xref fm:Subpart" href="#FAR_Subpart_25_4" title="subpart&nbsp; 25.4" aria-label="subpart聽 25.4. Link 97">subpart&nbsp; 25.4</a>. </p> <p class=" ListL1" id="FAR_25_106__d1621e40"> <span class="ph autonumber">(b)</span> <em class="ph i">For end products that are not critical items and do not contain critical components</em>. </p> <p class="p"></p><p class="Runin RuninRestart ListL2" id="FAR_25_106__d1620e35"> <span class="ph autonumber">(1)</span> </p> <p class="RuninChild ListL3" id="FAR_25_106__d1621e41"> <span class="ph autonumber">(i)</span> If there is a domestic offer that is not the low offer, and the restrictions of the Buy American statute apply to the low offer, the contracting officer must determine the reasonableness of the cost of the domestic offer by adding to the price of the low offer, inclusive of duty&mdash; </p> <p class=" ListL4" id="FAR_25_106__d1621e47"> <span class="ph autonumber">(A)</span> 20 percent, if the lowest domestic offer is from a large business concern; or </p> <p class=" ListL4" id="FAR_25_106__d1621e52"> <span class="ph autonumber">(B)</span> 30 percent, if the lowest domestic offer is from a small business concern. The contracting officer must use this factor, or another factor established in agency regulations, in small business set-asides if the low offer is from a small business concern offering the product of a small business concern that is not a domestic end product (see <a class="xref fm:Subpart" href="/far/part-19#FAR_Subpart_19_5" title="subpart&nbsp; 19.5" aria-label="subpart聽 19.5. Link 158">subpart&nbsp; 19.5</a>). </p> <p class=" ListL3" id="FAR_25_106__d1621e60"> <span class="ph autonumber">(ii)</span> The price of the domestic offer is reasonable if it does not exceed the evaluated price of the low offer after addition of the appropriate evaluation factor in accordance with paragraph (a) or (b)(1)(i) of this section. See evaluation procedures at <a class="xref fm:Subpart" href="#FAR_Subpart_25_5" title="subpart&nbsp; 25.5" aria-label="subpart聽 25.5. Link 104">subpart&nbsp; 25.5</a>. </p> <p class="p"></p><p class="Runin RuninRestart ListL2" id="FAR_25_106__d1620e40"> <span class="ph autonumber">(2)</span> </p> <p class="RuninChild ListL3" id="FAR_25_106__d1621e73"> <span class="ph autonumber">(i)</span> For end products that are not COTS items and do not consist wholly or predominantly of iron or steel or a combination of both, if the procedures in paragraph (b)(1)(i) of this section result in an unreasonable cost determination for the domestic offer or there is no domestic offer received, and the low offer is for a foreign end product that does not exceed 55 percent domestic content, the contracting officer shall&mdash; </p> <p class=" ListL4" id="FAR_25_106__d1621e79"> <span class="ph autonumber">(A)</span> Treat the lowest offer of a foreign end product that is manufactured in the United States and exceeds 55 percent domestic content as a domestic offer; and </p> <p class=" ListL4" id="FAR_25_106__d1621e84"> <span class="ph autonumber">(B)</span> Determine the reasonableness of the cost of this offer by applying the evaluation factors listed in paragraph (b)(1)(i) of this section to the low offer. </p> <p class=" ListL3" id="FAR_25_106__d1621e89"> <span class="ph autonumber">(ii)</span> The price of the lowest offer of a foreign end product that exceeds 55 percent domestic content is reasonable if it does not exceed the evaluated price of the low offer after addition of the appropriate evaluation factor in accordance with paragraph (a) or (b)(1)(i) of this section. See evaluation procedures at <a class="xref fm:Subpart" href="#FAR_Subpart_25_5" title="subpart&nbsp; 25.5" aria-label="subpart聽 25.5. Link 104">subpart&nbsp; 25.5</a>. </p> <p class=" ListL3" id="FAR_25_106__d1621e97"> <span class="ph autonumber">(iii)</span> The procedures in this paragraph (b)(2) will no longer apply as of January 1, 2030. </p> <p class=" ListL1" id="FAR_25_106__d1621e126"> <span class="ph autonumber">(c)</span> <em class="ph i">For end products that are critical items or contain critical components</em>. </p> <p class="p"></p><p class="Runin RuninRestart ListL2" id="FAR_25_106__d1621e109"> <span class="ph autonumber">(1)</span> </p> <p class="RuninChild ListL3" id="FAR_25_106__d1621e114"> <span class="ph autonumber">(i)</span> If there is a domestic offer that is not the low offer, and the restrictions of the Buy American statute apply to the low offer, the contracting officer shall determine the reasonableness of the cost of the domestic offer by adding to the price of the low offer, inclusive of duty&mdash; </p> <p class=" ListL4" id="FAR_25_106__d1621e120"> <span class="ph autonumber">(A)</span> 20 percent, plus the additional preference factor identified for the critical item or end product containing critical components listed at section <a class="xref fm:ParaNumOnly" href="#FAR_25_105" title="25.105" aria-label="25.105. Link 118">25.105</a>, if the lowest domestic offer is from a large business concern; or </p> <p class=" ListL4" id="FAR_25_106__d1621e128"> <span class="ph autonumber">(B)</span> 30 percent, plus the additional preference factor identified for the critical item or end product containing critical components listed at section <a class="xref fm:ParaNumOnly" href="#FAR_25_105" title="25.105" aria-label="25.105. Link 118">25.105</a>, if the lowest domestic offer is from a small business concern. The contracting officer shall use this factor, or another factor established in agency regulations, in small business set-asides if the low offer is from a small business concern offering the product of a small business concern that is not a domestic end product (see <a class="xref fm:Subpart" href="/far/part-19#FAR_Subpart_19_5" title="subpart&nbsp; 19.5" aria-label="subpart聽 19.5. Link 158">subpart&nbsp; 19.5</a>). </p> <p class=" ListL3" id="FAR_25_106__d1621e136"> <span class="ph autonumber">(ii)</span> The price of the domestic offer is reasonable if it does not exceed the evaluated price of the low offer after addition of the appropriate evaluation factor in accordance with paragraph (a) or (b) of this section. See evaluation procedures at <a class="xref fm:Subpart" href="#FAR_Subpart_25_5" title="subpart&nbsp; 25.5" aria-label="subpart聽 25.5. Link 104">subpart&nbsp; 25.5</a>. </p> <p class="p"></p><p class="Runin RuninRestart ListL2" id="FAR_25_106__d1621e144"> <span class="ph autonumber">(2)</span> </p> <p class="RuninChild ListL3" id="FAR_25_106__d1621e149"> <span class="ph autonumber">(i)</span> For end products that are not COTS items and do not consist wholly or predominantly of iron or steel or a combination of both, if the procedures in paragraph (c)(1)(ii) of this section result in an unreasonable cost determination for the domestic offer or there is no domestic offer received, and the low offer is for a foreign end product that does not exceed 55 percent domestic content, the contracting officer shall&mdash; </p> <p class=" ListL4" id="FAR_25_106__d1621e155"> <span class="ph autonumber">(A)</span> Treat the lowest offer of a foreign end product that is manufactured in the United States and exceeds 55 percent domestic content as a domestic offer; and </p> <p class=" ListL4" id="FAR_25_106__d1621e160"> <span class="ph autonumber">(B)</span> Determine the reasonableness of the cost of this offer by applying the evaluation factors listed in paragraph (c)(1) of this section to the low offer. </p> <p class=" ListL3" id="FAR_25_106__d1621e165"> <span class="ph autonumber">(ii)</span> The price of the lowest offer of a foreign end product that exceeds 55 percent domestic content is reasonable if it does not exceed the evaluated price of the low offer after addition of the appropriate evaluation factor in accordance with paragraph (a) or (b) of this section. See evaluation procedures at <a class="xref fm:Subpart" href="#FAR_Subpart_25_5" title="subpart&nbsp; 25.5" aria-label="subpart聽 25.5. Link 104">subpart&nbsp; 25.5</a>. </p> <p class=" ListL3" id="FAR_25_106__d1621e173"> <span class="ph autonumber">(iii)</span> The procedures in this paragraph (c)(2) will no longer apply as of January 1, 2030. </p> </div> </article> </article> <article class="topic nested1" aria-labelledby="ariaid-title14" id="FAR_Subpart_25_2"> <h2 class="title topictitle2 Subpart" id="ariaid-title14"> <span class="ph autonumber">Subpart 25.2</span> - Buy American-Construction Materials</h2> <article class="topic nested2" aria-labelledby="ariaid-title15" id="FAR_25_200"> <h3 class="title topictitle3" id="ariaid-title15"> <span class="ph autonumber">25.200</span> Scope of subpart.</h3> <div class="body"> <p class=" ListL1" id="FAR_25_200__d1622e10"> <span class="ph autonumber">(a)</span> This subpart implements-</p> <p class=" ListL2" id="FAR_25_200__d1622e16"> <span class="ph autonumber">(1)</span> <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid%3AUSC-prelim-title41-chapter83&amp;saved=%7CZ3JhbnVsZWlkOlVTQy1wcmVsaW0tdGl0bGU0MC1jaGFwdGVyMzctZnJvbnQ%3D%7C%7C%7C0%7Cfalse%7Cprelim&amp;edition=prelim" target="_blank" title="41 U.S.C. chapter 83" aria-label="41 U.S.C. chapter 83. Link 93">41 U.S.C. chapter 83</a>, Buy American;</p> <p class=" ListL2" id="FAR_25_200__d1622e23"> <span class="ph autonumber">(2)</span> Executive Order 10582, December 17, 1954;</p> <p class=" ListL2" id="FAR_25_200__d1623e28"> <span class="ph autonumber">(3)</span> Executive Order 13881, July 15, 2019; </p> <p class=" ListL2" id="FAR_25_200__d1623e37"> <span class="ph autonumber">(4)</span> <a class="xref" href="https://www.federalregister.gov/executive-order/14005" target="_blank" title="Executive Order 14005," aria-label="Executive Order 14005,. Link 125">Executive Order 14005,</a> January 25, 2021; and </p> <p class=" ListL2" id="FAR_25_200__d1622e33"> <span class="ph autonumber">(5)</span> Waiver of the domestic content test of the Buy American statute for acquisitions of commercially available off-the-shelf (COTS) items in accordance with <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title41-section1907&amp;num=0&amp;edition=prelim" target="_blank" title="41 U.S.C. 1907" aria-label="41 U.S.C. 1907. Link 126">41 U.S.C. 1907</a>, but see <a class="xref fm:ParaNumOnly" href="#FAR_25_201" title="25.201" aria-label="25.201. Link 102">25.201</a>(b)(2)(ii).</p> <p class=" ListL1" id="FAR_25_200__d1622e38"> <span class="ph autonumber">(b)</span> It applies to contracts for the construction, alteration, or repair of any public building or public work in the United States.</p> <p class=" ListL1" id="FAR_25_200__d1623e57"> <span class="ph autonumber">(c)</span> When using funds appropriated or otherwise provided by the American Recovery and Reinvestment Act of 2009 (Pub. L. 111-5) (Recovery Act) for construction, see <a class="xref fm:Subpart" href="#FAR_Subpart_25_6" title="subpart&nbsp; 25.6" aria-label="subpart聽 25.6. Link 121">subpart&nbsp; 25.6</a>. </p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title16" id="FAR_25_201"> <h3 class="title topictitle3" id="ariaid-title16"> <span class="ph autonumber">25.201</span> Policy.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_201__d1623e10"> <span class="ph autonumber">(a)</span> Except as provided in <a class="xref fm:ParaNumOnly" href="#FAR_25_202" title="25.202" aria-label="25.202. Link 171">25.202</a>, use only domestic construction materials in construction contracts performed in the United States. </p> <p class=" ListL1" id="FAR_25_201__d1624e18"> <span class="ph autonumber">(b)</span> The Buy American statute restricts the purchase of construction materials that are not domestic construction materials. For manufactured construction materials, the Buy American statute, <a class="xref" href="https://www.federalregister.gov/executive-order/13881" target="_blank" title="E.O. 13881," aria-label="E.O. 13881,. Link 128">E.O. 13881,</a> and <a class="xref" href="https://www.federalregister.gov/executive-order/14005" target="_blank" title="E.O. 14005" aria-label="E.O. 14005. Link 173">E.O. 14005</a> use a two-part test to define domestic construction materials.</p> <p class=" ListL2" id="FAR_25_201__d1623e24"> <span class="ph autonumber">(1)</span> The article must be manufactured in the United States; and </p> <p class="p"></p><p class="Runin RuninRestart ListL2" id="FAR_25_201__d1623e29"> <span class="ph autonumber">(2)</span> </p> <p class="RuninChild ListL3" id="FAR_25_201__d1624e45"> <span class="ph autonumber">(i)</span> Except for construction material that consists wholly or predominantly of iron or steel or a combination of both, the cost of domestic components must exceed 60 percent of the cost of all the components, except that the percentage will be 65 percent for items delivered in calendar years 2024 through 2028 and 75 percent for items delivered starting in calendar year 2029, but see paragraph (c) of this section. In accordance with <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title41-section1907&amp;num=0&amp;edition=prelim" target="_blank" title="41 U.S.C. 1907" aria-label="41 U.S.C. 1907. Link 126">41 U.S.C. 1907</a>, this domestic content test of the Buy American statute has been waived for acquisitions of COTS items (see <a class="xref fm:ParaNumOnly" href="/far/part-12#FAR_12_505" title="12.505" aria-label="12.505. Link 131">12.505</a>(a)). </p> <p class=" ListL3" id="FAR_25_201__d1623e39"> <span class="ph autonumber">(ii)</span> For construction material that consists wholly or predominantly of iron or steel or a combination of both, the cost of foreign iron and steel must constitute less than 5 percent of the cost of all the components used in such construction material (see the definition of "foreign iron and steel" at <a class="xref fm:ParaNumOnly" href="#FAR_25_003" title="25.003" aria-label="25.003. Link 99">25.003</a>). The cost of foreign iron and steel includes but is not limited to the cost of foreign iron or steel mill products (such as bar, billet, slab, wire, plate, or sheet), castings, or forgings utilized in the manufacture of the construction material and a good faith estimate of the cost of all foreign iron or steel components excluding COTS fasteners. This domestic content test of the Buy American statute has not been waived for acquisitions of COTS items in this category, except for COTS fasteners.</p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_201__d1624e59"> <span class="ph autonumber">(c)</span> </p> <p class="RuninChild ListL2" id="FAR_25_201__d1624e67"> <span class="ph autonumber">(1)</span> A contract with a period of performance that spans the schedule of domestic content threshold increases specified in paragraph (b)(2)(i) of this section shall be required to comply with each increased threshold for the items in the year of delivery, unless the senior procurement executive of the contracting agency allows for application of an alternate domestic content test for that contract under which the domestic content threshold in effect at time of contract award will apply to the entire period of performance for the contract. This authority is not delegable. The senior procurement executive shall consult the Office of Management and Budget's Made in America Office before allowing the use of the alternate domestic content test. </p> <p class=" ListL2" id="FAR_25_201__d1624e72"> <span class="ph autonumber">(2)</span> When a senior procurement executive allows for application of an alternate domestic content test for a contract, see <a class="xref fm:ParaNumOnly" href="#FAR_25_1102" title="25.1102" aria-label="25.1102. Link 144">25.1102</a>(a)(3) or (c)(4) for use of the appropriate Alternate clause to reflect the domestic content threshold that will apply to the entire period of performance for that contract. </p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title17" id="FAR_25_202"> <h3 class="title topictitle3" id="ariaid-title17"> <span class="ph autonumber">25.202</span> Exceptions.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_202__d1624e10"> <span class="ph autonumber">(a)</span> When one of the following exceptions applies, the contracting officer may allow the contractor to acquire foreign construction materials without regard to the restrictions of the Buy American statute:</p> <p class=" ListL2" id="FAR_25_202__d1624e16"> <span class="ph autonumber">(1)</span> <em class="ph i">Impracticable or inconsistent with public interest</em>. The head of the agency may determine that application of the restrictions of the Buy American statute to a particular construction material would be impracticable or would be inconsistent with the public interest. The public interest exception applies when an agency has an agreement with a foreign government that provides a blanket exception to the Buy American statute.</p> <p class=" ListL2" id="FAR_25_202__d1625e23"> <span class="ph autonumber">(2)</span> <em class="ph i">Nonavailability</em>. The head of the contracting activity may determine that a particular construction material is not mined, produced, or manufactured in the United States in sufficient and reasonably available commercial quantities of a satisfactory quality. The determinations of nonavailability of the articles listed at <a class="xref fm:ParaNumOnly" href="#FAR_25_104" title="25.104" aria-label="25.104. Link 141">25.104</a>(a) and the procedures at <a class="xref fm:ParaNumOnly" href="#FAR_25_103" title="25.103" aria-label="25.103. Link 133">25.103</a>(b)(1) also apply if any of those articles are acquired as construction materials. A determination is not required before January 1, 2030, if there is an offer for a foreign construction material that exceeds 55 percent domestic content (see <a class="xref fm:ParaNumOnly" href="#FAR_25_204" title="25.204" aria-label="25.204. Link 180">25.204</a>(b)(1)(ii) and <a class="xref fm:ParaNumOnly" href="#FAR_25_204" title="25.204" aria-label="25.204. Link 180">25.204</a>(b)(2)(ii)). </p> <p class=" ListL2" id="FAR_25_202__d1624e36"> <span class="ph autonumber">(3)</span> <em class="ph i">Unreasonable cost</em>. The contracting officer concludes that the cost of domestic construction material is unreasonable in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_204" title="25.204" aria-label="25.204. Link 180">25.204</a>.</p> <p class=" ListL2" id="FAR_25_202__d1624e46"> <span class="ph autonumber">(4)</span> <em class="ph i">Information technology that is a commercial product.</em> The restriction on purchasing foreign construction material does not apply to the acquisition of information technology that is a commercial product, when using Fiscal Year 2004 or subsequent fiscal year funds (section 535(a) of Division F, Title V, Consolidated Appropriations Act, 2004, and similar sections in subsequent appropriations acts).</p> <p class=" ListL1" id="FAR_25_202__d1624e53"> <span class="ph autonumber">(b)</span> <em class="ph i">Determination and findings</em>. When a determination is made for any of the reasons stated in this section that certain foreign construction materials may be used, the contracting officer must list the excepted materials in the contract. The agency must make the findings justifying the exception available for public inspection.</p> <p class=" ListL1" id="FAR_25_202__d1624e60"> <span class="ph autonumber">(c)</span> <em class="ph i">Acquisitions under trade agreements</em>. For construction contracts with an estimated acquisition value of $6,708,000 or more, see <a class="xref fm:Subpart" href="#FAR_Subpart_25_4" title="subpart&nbsp; 25.4" aria-label="subpart聽 25.4. Link 97">subpart&nbsp; 25.4</a>.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title18" id="FAR_25_203"> <h3 class="title topictitle3" id="ariaid-title18"> <span class="ph autonumber">25.203</span> Preaward determinations.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_203__d1625e10"> <span class="ph autonumber">(a)</span> For any acquisition, an offeror may request from the contracting officer a determination concerning the inapplicability of the Buy American statute for specifically identified construction materials. The time for submitting the request is specified in the solicitation in paragraph (b) of either <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_10" title="52.225-10" aria-label="52.225-10. Link 184">52.225-10</a> or <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_12" title="52.225-12" aria-label="52.225-12. Link 185">52.225-12</a>, whichever applies. The information and supporting data that must be included in the request are also specified in the solicitation in paragraphs (c) and (d) of either <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_9" title="52.225-9" aria-label="52.225-9. Link 186">52.225-9</a> or <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_11" title="52.225-11" aria-label="52.225-11. Link 187">52.225-11</a>, whichever applies.</p> <p class=" ListL1" id="FAR_25_203__d1625e27"> <span class="ph autonumber">(b)</span> Before award, the contracting officer must evaluate all requests based on the information provided and may supplement this information with other readily available information.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title19" id="FAR_25_204"> <h3 class="title topictitle3" id="ariaid-title19"> <span class="ph autonumber">25.204</span> Evaluating offers of foreign construction material.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_204__d1626e10"> <span class="ph autonumber">(a)</span> Offerors proposing to use foreign construction material other than that listed by the Government in the applicable clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_9" title="52.225-9" aria-label="52.225-9. Link 186">52.225-9</a>, paragraph (b)(2), or <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_11" title="52.225-11" aria-label="52.225-11. Link 187">52.225-11</a>, paragraph (b)(3), or covered by the WTO GPA or a Free Trade Agreement (paragraph (b)(2) of <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_11" title="52.225-11" aria-label="52.225-11. Link 187">52.225-11</a>), must provide the information required by paragraphs (c) and (d) of the respective clauses.</p> <p class=" ListL1" id="FAR_25_204__d1626e24"> <span class="ph autonumber">(b)</span> </p> <p class=" ListL2" id="FAR_25_204__d1627e29"> <span class="ph autonumber">(1)</span> <em class="ph i">For construction material that is not a critical item and does not contain critical components</em>. </p> <p class=" ListL3" id="FAR_25_204__d1627e40"> <span class="ph autonumber">(i)</span> Unless the head of the agency specifies a higher percentage, the contracting officer shall add to the offered price 20 percent of the cost of any foreign construction material proposed for exception from the requirements of the Buy American statute based on the unreasonable cost of domestic construction materials. In the case of a tie, the contracting officer shall give preference to an offer that does not include foreign construction material excepted at the request of the offeror on the basis of unreasonable cost. </p> <p class=" ListL3" id="FAR_25_204__d1627e46"> <span class="ph autonumber">(ii)</span> For construction material that is not a COTS item and does not consist wholly or predominantly of iron or steel or a combination of both, if the procedures in paragraph (b)(1)(i) of this section result in an unreasonable cost determination for the domestic construction material offer or there is no domestic construction material offer received, and the low offer is for foreign construction material that does not exceed 55 percent domestic content, the contracting officer shall&mdash; </p> <p class=" ListL4" id="FAR_25_204__d1627e53"> <span class="ph autonumber">(A)</span> Treat the lowest offer of foreign construction material that is manufactured in the United States and exceeds 55 percent domestic content as a domestic offer; and </p> <p class=" ListL4" id="FAR_25_204__d1627e59"> <span class="ph autonumber">(B)</span> Determine the reasonableness of the cost of this offer by applying the evaluation factor listed in paragraph (b)(1)(i) to the low offer. </p> <p class=" ListL3" id="FAR_25_204__d1627e65"> <span class="ph autonumber">(iii)</span> The procedures in paragraph (b)(1)(ii) of this section will no longer apply as of January 1, 2030. </p> <p class=" ListL2" id="FAR_25_204__d1627e71"> <span class="ph autonumber">(2)</span> <em class="ph i">For construction material that is a critical item or contains critical components</em>. </p> <p class=" ListL3" id="FAR_25_204__d1627e80"> <span class="ph autonumber">(i)</span> The contracting officer shall add to the offered price 20 percent, plus the additional preference factor identified for the critical item or construction material containing critical components listed at section <a class="xref fm:ParaNumOnly" href="#FAR_25_105" title="25.105" aria-label="25.105. Link 118">25.105</a>, of the cost of any foreign construction material proposed for exception from the requirements of the Buy American statute based on the unreasonable cost of domestic construction materials. In the case of a tie, the contracting officer shall give preference to an offer that does not include foreign construction material excepted at the request of the offeror on the basis of unreasonable cost. See <a class="xref fm:ParaNumOnly" href="#FAR_25_105" title="25.105" aria-label="25.105. Link 118">25.105</a> for the list of critical components and critical items. </p> <p class=" ListL3" id="FAR_25_204__d1627e86"> <span class="ph autonumber">(ii)</span> For construction material that is not a COTS item and does not consist wholly or predominantly of iron or steel or a combination of both, if the procedures in paragraph (b)(2)(i) of this section result in an unreasonable cost determination for the domestic construction material offer or there is no domestic construction material offer received, and the low offer is for foreign construction material that does not exceed 55 percent domestic content, the contracting officer shall&mdash; </p> <p class=" ListL4" id="FAR_25_204__d1627e93"> <span class="ph autonumber">(A)</span> Treat the lowest offer of foreign construction material that is manufactured in the United States and exceeds 55 percent domestic content as a domestic offer; and </p> <p class=" ListL4" id="FAR_25_204__d1627e99"> <span class="ph autonumber">(B)</span> Determine the reasonableness of the cost of this offer by applying the evaluation factors listed in this paragraph (b)(2) to the low offer. </p> <p class=" ListL3" id="FAR_25_204__d1627e105"> <span class="ph autonumber">(iii)</span> The procedures in paragraph (b)(2)(ii) of this section will no longer apply as of January 1, 2030. </p> <p class=" ListL1" id="FAR_25_204__d1626e29"> <span class="ph autonumber">(c)</span> Offerors also may submit alternate offers based on use of equivalent domestic construction material to avoid possible rejection of the entire offer if the Government determines that an exception permitting use of a particular foreign construction material does not apply.</p> <p class=" ListL1" id="FAR_25_204__d1626e34"> <span class="ph autonumber">(d)</span> If the contracting officer awards a contract to an offeror that proposed foreign construction material not listed in the applicable clause in the solicitation (paragraph (b)(2) of <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_9" title="52.225-9" aria-label="52.225-9. Link 186">52.225-9</a>, or paragraph (b)(3) of <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_11" title="52.225-11" aria-label="52.225-11. Link 187">52.225-11</a>), the contracting officer must add the excepted materials to the list in the contract clause.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title20" id="FAR_25_205"> <h3 class="title topictitle3" id="ariaid-title20"> <span class="ph autonumber">25.205</span> Postaward determinations.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_205__d1627e10"> <span class="ph autonumber">(a)</span> If a contractor requests a determination regarding the inapplicability of the Buy American statute after contract award, the contractor must explain why it could not request the determination before contract award or why the need for such determination otherwise was not reasonably foreseeable. If the contracting officer concludes that the contractor should have made the request before contract award, the contracting officer may deny the request.</p> <p class=" ListL1" id="FAR_25_205__d1627e15"> <span class="ph autonumber">(b)</span> The contracting officer must base evaluation of any request for a determination regarding the inapplicability of the Buy American statute made after contract award on information required by paragraphs (c) and (d) of the applicable clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_9" title="52.225-9" aria-label="52.225-9. Link 186">52.225-9</a> or <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_11" title="52.225-11" aria-label="52.225-11. Link 187">52.225-11</a> and/or other readily available information.</p> <p class=" ListL1" id="FAR_25_205__d1627e26"> <span class="ph autonumber">(c)</span> If a determination, under <a class="xref fm:ParaNumOnly" href="#FAR_25_202" title="25.202" aria-label="25.202. Link 171">25.202</a>(a), is made after contract award that an exception to the Buy American statute applies, the contracting officer must negotiate adequate consideration and modify the contract to allow use of the foreign construction material. When the basis for the exception is the unreasonable price of a domestic construction material, adequate consideration is at least the differential established in <a class="xref fm:ParaNumOnly" href="#FAR_25_202" title="25.202" aria-label="25.202. Link 171">25.202</a>(a) or in accordance with agency procedures.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title21" id="FAR_25_206"> <h3 class="title topictitle3" id="ariaid-title21"> <span class="ph autonumber">25.206</span> Noncompliance.</h3> <div class="body conbody"> <p class="p">The contracting officer must-</p> <p class=" ListL1" id="FAR_25_206__d1628e12"> <span class="ph autonumber">(a)</span> Review allegations of Buy American statute violations;</p> <p class=" ListL1" id="FAR_25_206__d1628e17"> <span class="ph autonumber">(b)</span> Unless fraud is suspected, notify the contractor of the apparent unauthorized use of foreign construction material and request a reply, to include proposed corrective action; and</p> <p class=" ListL1" id="FAR_25_206__d1628e22"> <span class="ph autonumber">(c)</span> If the review reveals that a contractor or subcontractor has used foreign construction material without authorization, take appropriate action, including one or more of the following:</p> <p class=" ListL2" id="FAR_25_206__d1628e28"> <span class="ph autonumber">(1)</span> Process a determination concerning the inapplicability of the Buy American statute in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_205" title="25.205" aria-label="25.205. Link 199">25.205</a>.</p> <p class=" ListL2" id="FAR_25_206__d1628e36"> <span class="ph autonumber">(2)</span> Consider requiring the removal and replacement of the unauthorized foreign construction material.</p> <p class=" ListL2" id="FAR_25_206__d1628e41"> <span class="ph autonumber">(3)</span> If removal and replacement of foreign construction material incorporated in a building or work would be impracticable, cause undue delay, or otherwise be detrimental to the interests of the Government, the contracting officer may determine in writing that the foreign construction material need not be removed and replaced. A determination to retain foreign construction material does not constitute a determination that an exception to the Buy American statute applies, and this should be stated in the determination. Further, a determination to retain foreign construction material does not affect the Government&rsquo;s right to suspend or debar a contractor, subcontractor, or supplier for violation of the Buy American statute, or to exercise other contractual rights and remedies, such as reducing the contract price or terminating the contract for default.</p> <p class=" ListL2" id="FAR_25_206__d1628e46"> <span class="ph autonumber">(4)</span> If the noncompliance is sufficiently serious, consider exercising appropriate contractual remedies, such as terminating the contract for default. Also consider preparing and forwarding a report to the agency <span class="ph FAC 2025-03 January 17, 2025">suspending and debarring</span> official in accordance with <span class="ph FAC 2025-03 January 17, 2025"> <a class="xref fm:Subpart" href="/far/part-9#FAR_Subpart_9_4" title="subpart&nbsp; 9.4" aria-label="subpart聽 9.4. Link 200">subpart&nbsp; 9.4</a>.</span> If the noncompliance appears to be fraudulent, refer the matter to other appropriate agency officials, such as the officer responsible for criminal investigation.</p> </div> </article> </article> <article class="topic nested1" aria-labelledby="ariaid-title22" id="FAR_Subpart_25_3"> <h2 class="title topictitle2 Subpart" id="ariaid-title22"> <span class="ph autonumber">Subpart 25.3</span> - Contracts Performed Outside the United States</h2> <article class="topic concept nested2" aria-labelledby="ariaid-title23" id="FAR_25_301"> <h3 class="title topictitle3" id="ariaid-title23"> <span class="ph autonumber">25.301</span> Contractor personnel in a designated operational area or supporting a diplomatic or consular mission outside the United States.</h3> <article class="topic concept nested3" aria-labelledby="ariaid-title24" id="FAR_25_301_1"> <h4 class="title topictitle4" id="ariaid-title24"> <span class="ph autonumber">25.301-1</span> Scope.</h4> <div class="body conbody"> <p class=" ListL1" id="FAR_25_301_1__d1631e10"> <span class="ph autonumber">(a)</span> This section applies to contracts requiring contractor personnel to perform outside the United States-</p> <p class=" ListL2" id="FAR_25_301_1__d1631e16"> <span class="ph autonumber">(1)</span> In a designated operational area during-</p> <p class=" ListL3" id="FAR_25_301_1__d1631e22"> <span class="ph autonumber">(i)</span> Contingency operations;</p> <p class=" ListL3" id="FAR_25_301_1__d1631e27"> <span class="ph autonumber">(ii)</span> Humanitarian or peacekeeping operations; or</p> <p class=" ListL3" id="FAR_25_301_1__d1631e32"> <span class="ph autonumber">(iii)</span> Other military operations or military exercises, when designated by the combatant commander; or</p> <p class=" ListL2" id="FAR_25_301_1__d1631e37"> <span class="ph autonumber">(2)</span> When supporting a diplomatic or consular mission-</p> <p class=" ListL3" id="FAR_25_301_1__d1631e43"> <span class="ph autonumber">(i)</span> That has been designated by the Department of State as a danger pay post (see <a class="xref" href="https://aoprals.state.gov/" target="_blank" title="https://aoprals.state.gov/" aria-label="https://aoprals.state.gov/. Link 201">https://aoprals.state.gov/</a>); or</p> <p class=" ListL3" id="FAR_25_301_1__d1631e51"> <span class="ph autonumber">(ii)</span> That the contracting officer determines is a post at which application of the clause at FAR <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_19" title="52.225-19" aria-label="52.225-19. Link 202">52.225-19</a>, Contractor Personnel in a Designated Operational Area or Supporting a Diplomatic or Consular Mission outside the United States, is appropriate.</p> <p class=" ListL1" id="FAR_25_301_1__d1631e59"> <span class="ph autonumber">(b)</span> Any of the types of operations listed in paragraph (a)(1) of this section may include stability operations such as-</p> <p class=" ListL2" id="FAR_25_301_1__d1631e65"> <span class="ph autonumber">(1)</span> Establishment or maintenance of a safe and secure environment; or</p> <p class=" ListL2" id="FAR_25_301_1__d1631e70"> <span class="ph autonumber">(2)</span> Provision of emergency infrastructure reconstruction, humanitarian relief, or essential governmental services (until feasible to transition to local government).</p> <p class=" ListL1" id="FAR_25_301_1__d1631e75"> <span class="ph autonumber">(c)</span> This section does not apply to personal services contracts (see FAR <a class="xref fm:ParaNumOnly" href="/far/part-37#FAR_37_104" title="37.104" aria-label="37.104. Link 203">37.104</a>), unless specified otherwise in agency procedures.</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title25" id="FAR_25_301_2"> <h4 class="title topictitle4" id="ariaid-title25"> <span class="ph autonumber">25.301-2</span> Government support.</h4> <div class="body conbody"> <p class=" ListL1" id="FAR_25_301_2__d1632e10"> <span class="ph autonumber">(a)</span> Generally, contractors are responsible for providing their own logistical and security support, including logistical and security support for their employees. The agency shall provide logistical or security support only when the appropriate agency official, in accordance with agency guidance, determines that-</p> <p class=" ListL2" id="FAR_25_301_2__d1632e16"> <span class="ph autonumber">(1)</span> Such Government support is available and is needed to ensure continuation of essential contractor services; and</p> <p class=" ListL2" id="FAR_25_301_2__d1632e21"> <span class="ph autonumber">(2)</span> The contractor cannot obtain adequate support from other sources at a reasonable cost.</p> <p class=" ListL1" id="FAR_25_301_2__d1632e26"> <span class="ph autonumber">(b)</span> The contracting officer shall specify in the contract, and in the solicitation if possible, the exact support to be provided, and whether this support is provided on a reimbursable basis, citing the authority for the reimbursement.</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title26" id="FAR_25_301_3"> <h4 class="title topictitle4" id="ariaid-title26"> <span class="ph autonumber">25.301-3</span> Weapons.</h4> <div class="body conbody"> <p class="p" id="FAR_25_301_3__d1641e8">The contracting officer shall follow agency procedures and the weapons policy established by the combatant commander or the chief of mission when authorizing contractor personnel to carry weapons (see paragraph (i) of the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_19" title="52.225-19" aria-label="52.225-19. Link 202">52.225-19</a>, Contractor Personnel in a Designated Operational Area or Supporting a Diplomatic or Consular Mission outside the United States).</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title27" id="FAR_25_301_4"> <h4 class="title topictitle4" id="ariaid-title27"> <span class="ph autonumber">25.301-4</span> Contract clause.</h4> <div class="body conbody"> <p class="p" id="FAR_25_301_4__d1642e8">Insert the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_19" title="52.225-19" aria-label="52.225-19. Link 202">52.225-19</a>, Contractor Personnel in a Designated Operational Area or Supporting a Diplomatic or Consular Mission outside the United States, in solicitations and contracts, other than personal service contracts with individuals, that will require contractor personnel to perform outside the United States&mdash;</p> <p class=" ListL1" id="FAR_25_301_4__d1634e15"> <span class="ph autonumber">(a)</span> In a designated operational area during&ndash;</p> <p class=" ListL2" id="FAR_25_301_4__d1634e21"> <span class="ph autonumber">(1)</span> Contingency operations;</p> <p class=" ListL2" id="FAR_25_301_4__d1634e26"> <span class="ph autonumber">(2)</span> Humanitarian or peacekeeping operations; or</p> <p class=" ListL2" id="FAR_25_301_4__d1634e31"> <span class="ph autonumber">(3)</span> Other military operations or military exercises, when designated by the combatant commander; or</p> <p class=" ListL1" id="FAR_25_301_4__d1634e36"> <span class="ph autonumber">(b)</span> When supporting a diplomatic or consular mission&ndash;</p> <p class=" ListL2" id="FAR_25_301_4__d1634e42"> <span class="ph autonumber">(1)</span> That has been designated by the Department of State as a danger pay post (see <a class="xref" href="https://aoprals.state.gov/" target="_blank" title="https://aoprals.state.gov/" aria-label="https://aoprals.state.gov/. Link 201">https://aoprals.state.gov/</a>); or</p> <p class=" ListL2" id="FAR_25_301_4__d1634e50"> <span class="ph autonumber">(2)</span> That the contracting officer determines is a post at which application of the clause FAR <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_19" title="52.225-19" aria-label="52.225-19. Link 202">52.225-19</a>, Contractor Personnel in a Designated Operational Area or Supporting a Diplomatic or Consular Mission outside the United States, is appropriate.</p> </div> </article> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title28" id="FAR_25_302"> <h3 class="title topictitle3" id="ariaid-title28"> <span class="ph autonumber">25.302</span> Contractors performing private security functions outside the United States.</h3> <article class="topic concept nested3" aria-labelledby="ariaid-title29" id="FAR_25_302_1"> <h4 class="title topictitle4" id="ariaid-title29"> <span class="ph autonumber">25.302-1</span> Scope.</h4> <div class="body conbody"> <p class="p" id="FAR_25_302_1__d1644e8">This section prescribes policy for implementing section 862 of the National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2008 (Pub. L. 110-181), as amended by section 853 of the NDAA for FY 2009 (Pub. L. 110-417), and sections 831 and 832 of the NDAA for FY 2011 (Pub. L. 111-383) (see 10 U.S.C. Subtitle A, Part V, Subpart G Note). </p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title30" id="FAR_25_302_2"> <h4 class="title topictitle4" id="ariaid-title30"> <span class="ph autonumber">25.302-2</span> Definitions.</h4> <div class="body conbody"> <p class="p">As used in this section-</p> <p class="p"> <em class="ph i _25.302-2d1641e18 Term">Area of combat operations</em> means an area of operations designated as such by the Secretary of Defense when enhanced coordination of contractors performing private security functions working for Government agencies is required.</p> <p class="p"> <em class="ph i _25.302-2d1641e24 Term">Other significant military operations</em> means activities, other than combat operations, as part of a contingency operation outside the United States that is carried out by United States Armed Forces in an uncontrolled or unpredictable high-threat environment where personnel performing security functions may be called upon to use deadly force (see <a class="xref fm:ParaNumOnly" href="#FAR_25_302_3" title="25.302-3" aria-label="25.302-3. Link 208">25.302-3</a>(a)(2)).</p> <p class="p"> <em class="ph i _25.302-2d1641e33 Term">Private security functions means</em> activities engaged in by a contractor, as follows- </p><p class=" ListL2" id="FAR_25_302_2__d1637e29"> <span class="ph autonumber">(1)</span> Guarding of personnel, facilities, designated sites, or property of a Federal agency, the contractor or subcontractor, or a third party; or</p> <p class=" ListL2" id="FAR_25_302_2__d1637e34"> <span class="ph autonumber">(2)</span> Any other activity for which personnel are required to carry weapons in the performance of their duties in accordance with the terms of the contract.</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title31" id="FAR_25_302_3"> <h4 class="title topictitle4" id="ariaid-title31"> <span class="ph autonumber">25.302-3</span> Applicability.</h4> <div class="body conbody"> <p class=" ListL1" id="FAR_25_302_3__d1638e10"> <span class="ph autonumber">(a)</span> This section applies to contracts that require performance outside the United States-</p> <p class=" ListL2" id="FAR_25_302_3__d1638e16"> <span class="ph autonumber">(1)</span> In an area of combat operations as designated by the Secretary of Defense; or</p> <p class=" ListL2" id="FAR_25_302_3__d1638e21"> <span class="ph autonumber">(2)</span> In an area of other significant military operations as designated by the Secretary of Defense, and only upon agreement of the Secretary of Defense and the Secretary of State.</p> <p class=" ListL1" id="FAR_25_302_3__d1638e26"> <span class="ph autonumber">(b)</span> These designations can be found at <a class="xref" href="http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3" target="_blank" title="http://www.acq.osd.mil/dpap/pacc/cc/designated_areas_of_other_significant_military_operations.html" aria-label="http://www.acq.osd.mil/dpap/pacc/cc/designated_areas_of_other_significant_military_operations.html. Link 209">http://www.acq.osd.mil/dpap/pacc/cc/designated_areas_of_other_significant_military_operations.html</a> and <a class="xref" href="http://www.acq.osd.mil/dpap/pacc/cc/designated_areas_of_combat_operations.html" target="_blank" title="http://www.acq.osd.mil/dpap/pacc/cc/designated_areas_of_combat_operations.html" aria-label="http://www.acq.osd.mil/dpap/pacc/cc/designated_areas_of_combat_operations.html. Link 210">http://www.acq.osd.mil/dpap/pacc/cc/designated_areas_of_combat_operations.html</a>.</p> <p class=" ListL1" id="FAR_25_302_3__d1638e37"> <span class="ph autonumber">(c)</span> When the applicability requirements of this subsection are met, contractors and subcontractors must comply with <span class="ph CFR">32 CFR part 159</span>, whether the contract is for the performance of private security functions as a primary deliverable or the provision of private security functions is ancillary to the stated deliverables.</p> <p class=" ListL1" id="FAR_25_302_3__d1638e45"> <span class="ph autonumber">(d)</span> The requirements of section <a class="xref fm:ParaNumOnly" href="#FAR_25_302" title="25.302" aria-label="25.302. Link 211">25.302</a> shall not apply to-</p> <p class=" ListL2" id="FAR_25_302_3__d1638e54"> <span class="ph autonumber">(1)</span> Contracts entered into by elements of the intelligence community in support of intelligence activities; or</p> <p class=" ListL2" id="FAR_25_302_3__d1638e59"> <span class="ph autonumber">(2)</span> Temporary arrangements entered into on a non-DoD contract for the performance of private security functions by individual indigenous personnel not affiliated with a local or expatriate security company. These temporary arrangements must still comply with local law.</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title32" id="FAR_25_302_4"> <h4 class="title topictitle4" id="ariaid-title32"> <span class="ph autonumber">25.302-4</span> Policy.</h4> <div class="body conbody"> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_302_4__d1639e10"> <span class="ph autonumber">(a)</span> <em class="ph i">General.</em> </p> <p class="RuninChild ListL2" id="FAR_25_302_4__d1639e17"> <span class="ph autonumber">(1)</span> The policy, responsibilities, procedures, accountability, training, equipping, and conduct of personnel performing private security functions in designated areas are addressed at <span class="ph CFR">32 CFR part 159</span>, entitled "Private Security Contractors Operating in Contingency Operations". Contractor responsibilities include ensuring that employees are aware of, and comply with, relevant orders, directives, and instructions; keeping appropriate personnel records; accounting for weapons; registering and identifying armored vehicles, helicopters, and other military vehicles; and reporting specified incidents in which personnel performing private security functions under a contract are involved.</p> <p class=" ListL2" id="FAR_25_302_4__d1639e25"> <span class="ph autonumber">(2)</span> In addition, contractors are required to fully cooperate with any Government-authorized investigation into incidents reported pursuant to paragraph (c)(3) of the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_26" title="52.225-26" aria-label="52.225-26. Link 212">52.225-26</a>, Contractors Performing Private Security Functions Outside the United States, by providing access to employees performing private security functions and relevant information in the possession of the contractor regarding the incident concerned.</p> <p class=" ListL1" id="FAR_25_302_4__d1639e33"> <span class="ph autonumber">(b)</span> <em class="ph i">Implementing guidance.</em> In accordance with <span class="ph CFR">32 CFR part 159</span>-</p> <p class=" ListL2" id="FAR_25_302_4__d1639e44"> <span class="ph autonumber">(1)</span> Geographic combatant commanders will provide DoD contractors performing private security functions with guidance and procedures for the operational environment in their area of responsibility; and</p> <p class=" ListL2" id="FAR_25_302_4__d1639e49"> <span class="ph autonumber">(2)</span> In a designated area of combat operations, or areas of other significant military operations, as designated by the Secretary of Defense and only upon agreement of the Secretary of Defense and the Secretary of State, the relevant Chief of Mission will provide implementing instructions for non-DoD contractors performing private security functions and their personnel consistent with the standards set forth by the geographic combatant commander. In accordance with <span class="ph CFR">32 CFR 159.4(c)</span>, the Chief of Mission has the option of instructing non-DoD contractors performing private security functions and their personnel to follow the guidance and procedures of the geographic combatant commander and/or a sub-unified commander or joint force commander where specifically authorized by the combatant commander to do so and notice of that authorization is provided to non-DoD agencies.</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title33" id="FAR_25_302_5"> <h4 class="title topictitle4" id="ariaid-title33"> <span class="ph autonumber">25.302-5</span> Remedies.</h4> <div class="body conbody"> <p class=" ListL1" id="FAR_25_302_5__d1640e10"> <span class="ph autonumber">(a)</span> In addition to other remedies available to the Government-</p> <p class=" ListL2" id="FAR_25_302_5__d1640e16"> <span class="ph autonumber">(1)</span> The contracting officer may direct the contractor, at its own expense, to remove and replace any contractor or subcontractor personnel performing private security functions who fail to comply with or violate applicable requirements. Such action may be taken at the Government's discretion without prejudice to its rights under any other contract provision, e.g., termination for default;</p> <p class=" ListL2" id="FAR_25_302_5__d1640e21"> <span class="ph autonumber">(2)</span> The contracting officer shall include the contractor&rsquo;s failure to comply with the requirements of this section in appropriate databases of past performance and consider any such failure in any responsibility determination or evaluation of past performance; and</p> <p class=" ListL2" id="FAR_25_302_5__d1640e26"> <span class="ph autonumber">(3)</span> In the case of award-fee contracts, the contracting officer shall consider a contractor&rsquo;s failure to comply with the requirements of this subsection in the evaluation of the contractor&rsquo;s performance during the relevant evaluation period, and may treat such failure as a basis for reducing or denying award fees for such period or for recovering all or part of award fees previously paid for such period.</p> <p class=" ListL1" id="FAR_25_302_5__d1640e31"> <span class="ph autonumber">(b)</span> If the performance failures are severe, prolonged, or repeated, the contracting officer shall refer the matter to the appropriate suspending and debarring official.</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title34" id="FAR_25_302_6"> <h4 class="title topictitle4" id="ariaid-title34"> <span class="ph autonumber">25.302-6</span> Contract clause.</h4> <div class="body conbody"> <p class=" ListL1" id="FAR_25_302_6__d1641e10"> <span class="ph autonumber">(a)</span> Use the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_26" title="52.225-26" aria-label="52.225-26. Link 212">52.225-26</a>, Contractors Performing Private Security Functions Outside the United States, in solicitations and contracts for performance outside the United States in an area of-</p> <p class=" ListL2" id="FAR_25_302_6__d1641e19"> <span class="ph autonumber">(1)</span> Combat operations, as designated by the Secretary of Defense; or</p> <p class=" ListL2" id="FAR_25_302_6__d1641e24"> <span class="ph autonumber">(2)</span> Other significant military operations, as designated by the Secretary of Defense and only upon agreement of the Secretary of Defense and the Secretary of State.</p> <p class=" ListL1" id="FAR_25_302_6__d1641e29"> <span class="ph autonumber">(b)</span> The clause is not required to be used for-</p> <p class=" ListL2" id="FAR_25_302_6__d1641e35"> <span class="ph autonumber">(1)</span> Contracts entered into by elements of the intelligence community in support of intelligence activities; or</p> <p class=" ListL2" id="FAR_25_302_6__d1641e40"> <span class="ph autonumber">(2)</span> Temporary arrangements entered into by non-DoD contractors for the performance of private security functions by individual indigenous personnel not affiliated with a local or expatriate security company.</p> </div> </article> </article> </article> <article class="topic nested1" aria-labelledby="ariaid-title35" id="FAR_Subpart_25_4"> <h2 class="title topictitle2 Subpart" id="ariaid-title35"> <span class="ph autonumber">Subpart 25.4</span> - Trade Agreements</h2> <article class="topic nested2" aria-labelledby="ariaid-title36" id="FAR_25_400"> <h3 class="title topictitle3" id="ariaid-title36"> <span class="ph autonumber">25.400</span> Scope of subpart.</h3> <div class="body"> <p class=" ListL1" id="FAR_25_400__d1643e10"> <span class="ph autonumber">(a)</span> This subpart provides policies and procedures applicable to acquisitions that are covered by-</p> <p class=" ListL2" id="FAR_25_400__d1643e16"> <span class="ph autonumber">(1)</span> The World Trade Organization Government Procurement Agreement (WTO GPA), as approved by Congress in the Uruguay Round Agreements Act (Public Law 103-465);</p> <p class=" ListL2" id="FAR_25_400__d1643e21"> <span class="ph autonumber">(2)</span> Free Trade Agreements (FTA), consisting of-</p> <p class=" ListL3" id="FAR_25_400__d1643e27"> <span class="ph autonumber">(i)</span> USMCA (United States-Mexico-Canada Agreement, as approved by Congress in the United States-Mexico-Canada Agreement Implementation Act (Government Procurement Agreement applicable only to the United States and Mexico) ( <a class="xref" href="https://www.govinfo.gov/link/plaw/116/public/113" target="_blank" title="Pub. L. 116-113" aria-label="Pub. L. 116-113. Link 214">Pub. L. 116-113</a>) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid%3AUSC-prelim-title19-chapter29&amp;saved=%7CZ3JhbnVsZWlkOlVTQy1wcmVsaW0tdGl0bGU0MC1jaGFwdGVyMzctZnJvbnQ%3D%7C%7C%7C0%7Cfalse%7Cprelim&amp;edition=prelim" target="_blank" title="19 U.S.C. chapter 29" aria-label="19 U.S.C. chapter 29. Link 215">19 U.S.C. chapter 29</a> (sections 4501-4732)); </p> <p class=" ListL3" id="FAR_25_400__d1643e35"> <span class="ph autonumber">(ii)</span> Chile FTA (the United States-Chile Free Trade Agreement, as approved by Congress in the United States-Chile Free Trade Agreement Implementation Act of 1993 (Pub. L. 108-77) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section3805&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 3805" aria-label="19 U.S.C. 3805. Link 216">19 U.S.C. 3805</a> note));</p> <p class=" ListL3" id="FAR_25_400__d1643e43"> <span class="ph autonumber">(iii)</span> Singapore FTA (the United States-Singapore Free Trade Agreement, as approved by Congress in the United States-Singapore Free Trade Agreement Implementation Act (Pub. L. 108-78) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section3805&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 3805" aria-label="19 U.S.C. 3805. Link 216">19 U.S.C. 3805</a> note));</p> <p class=" ListL3" id="FAR_25_400__d1643e51"> <span class="ph autonumber">(iv)</span> Australia FTA (the United States-Australia Free Trade Agreement, as approved by Congress in the United States-Australia Free Trade Agreement Implementation Act (Pub. L. 108-286) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section3805&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 3805" aria-label="19 U.S.C. 3805. Link 216">19 U.S.C. 3805</a> note));</p> <p class=" ListL3" id="FAR_25_400__d1643e59"> <span class="ph autonumber">(v)</span> Morocco FTA (The United States-Morocco Free Trade Agreement, as approved by Congress in the United States-Morocco Free Trade Agreement Implementation Act (Pub. L. 108-302) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section3805&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 3805" aria-label="19 U.S.C. 3805. Link 216">19 U.S.C. 3805</a> note));</p> <p class=" ListL3" id="FAR_25_400__d1643e67"> <span class="ph autonumber">(vi)</span> CAFTA-DR (The Dominican Republic-Central America-United States Free Trade Agreement, as approved by Congress in the Dominican Republic-Central America-United States Free Trade Agreement Implementation Act (Pub. L. 109-53) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section4001&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 4001" aria-label="19 U.S.C. 4001. Link 220">19 U.S.C. 4001</a> note));</p> <p class=" ListL3" id="FAR_25_400__d1643e75"> <span class="ph autonumber">(vii)</span> Bahrain FTA (the United States-Bahrain Free Trade Agreement, as approved by Congress in the United States-Bahrain Free Trade Agreement Implementation Act (Pub. L. 109-169) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section3805&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 3805" aria-label="19 U.S.C. 3805. Link 216">19 U.S.C. 3805</a> note));</p> <p class=" ListL3" id="FAR_25_400__d1643e83"> <span class="ph autonumber">(viii)</span> Oman FTA (the United States-Oman Free Trade Agreement, as approved by Congress in the United States-Oman Free Trade Agreement Implementation Act (Pub. L. 109-283) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section3805&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 3805" aria-label="19 U.S.C. 3805. Link 216">19 U.S.C. 3805</a> note));</p> <p class=" ListL3" id="FAR_25_400__d1643e91"> <span class="ph autonumber">(ix)</span> Peru FTA (the United States-Peru Trade Promotion Agreement, as approved by Congress in the United States-Peru Trade Promotion Agreement Implementation Act (Pub. L. 110-138) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section3805&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 3805" aria-label="19 U.S.C. 3805. Link 216">19 U.S.C. 3805</a> note));</p> <p class=" ListL3" id="FAR_25_400__d1643e99"> <span class="ph autonumber">(x)</span> Korea FTA (the United States&ndash;Korea Free Trade Agreement Implementation Act (Pub. L. 112-41) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section3805&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 3805" aria-label="19 U.S.C. 3805. Link 216">19 U.S.C. 3805</a>));</p> <p class=" ListL3" id="FAR_25_400__d1643e107"> <span class="ph autonumber">(xi)</span> Colombia FTA (the United States&ndash;Colombia Trade Promotion Agreement Implementation Act (Pub. L. 112-42) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section3805&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 3805" aria-label="19 U.S.C. 3805. Link 216">19 U.S.C. 3805</a> note)); and</p> <p class=" ListL3" id="FAR_25_400__d1643e116"> <span class="ph autonumber">(xii)</span> Panama FTA (the United States-Panama Trade Promotion Agreement Implementation Act (Pub. L. 112-43) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section3805&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 3805" aria-label="19 U.S.C. 3805. Link 216">19 U.S.C. 3805</a> note));</p> <p class=" ListL2" id="FAR_25_400__d1643e124"> <span class="ph autonumber">(3)</span> The least developed country designation made by the U.S. Trade Representative, pursuant to the Trade Agreements Act ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section2511(b)(4)&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 2511(b)(4)" aria-label="19 U.S.C. 2511(b)(4). Link 227">19 U.S.C. 2511(b)(4)</a>), in acquisitions covered by the WTO GPA;</p> <p class=" ListL2" id="FAR_25_400__d1643e132"> <span class="ph autonumber">(4)</span> The Caribbean Basin Trade Initiative (CBTI) (determination of the U.S. Trade Representative that end products or construction material granted duty-free entry from countries designated as beneficiaries under the Caribbean Basin Economic Recovery Act ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section2701&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 2701" aria-label="19 U.S.C. 2701. Link 228">19 U.S.C. 2701</a>, <em class="ph i">et seq</em>.), with the exception of Panama, must be treated as eligible products in acquisitions covered by the WTO GPA);</p> <p class=" ListL2" id="FAR_25_400__d1643e143"> <span class="ph autonumber">(5)</span> The Israeli Trade Act (the U.S.-Israel Free Trade Area Agreement, as approved by Congress in the United States-Israel Free Trade Area Implementation Act of 1985 ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section2112&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 2112" aria-label="19 U.S.C. 2112. Link 229">19 U.S.C. 2112</a> note)); or</p> <p class=" ListL2" id="FAR_25_400__d1643e151"> <span class="ph autonumber">(6)</span> The Agreement on Trade in Civil Aircraft (U.S. Trade Representative waiver of the Buy American statute for signatories of the Agreement on Trade in Civil Aircraft, as implemented in the Trade Agreements Act of 1979 ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section2513&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 2513" aria-label="19 U.S.C. 2513. Link 230">19 U.S.C. 2513</a>)).</p> <p class=" ListL1" id="FAR_25_400__d1643e159"> <span class="ph autonumber">(b)</span> For application of the trade agreements that are unique to individual agencies, see agency regulations.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title37" id="FAR_25_401"> <h3 class="title topictitle3" id="ariaid-title37"> <span class="ph autonumber">25.401</span> Exceptions.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_401__d1644e10"> <span class="ph autonumber">(a)</span> This subpart does not apply to-</p> <p class=" ListL2" id="FAR_25_401__d1644e16"> <span class="ph autonumber">(1)</span> Acquisitions set aside for small businesses;</p> <p class=" ListL2" id="FAR_25_401__d1644e21"> <span class="ph autonumber">(2)</span> Acquisitions of arms, ammunition, or war materials, or purchases indispensable for national security or for national defense purposes;</p> <p class=" ListL2" id="FAR_25_401__d1644e26"> <span class="ph autonumber">(3)</span> Acquisitions of end products for resale;</p> <p class=" ListL2" id="FAR_25_401__d1644e31"> <span class="ph autonumber">(4)</span> Acquisitions from Federal Prison Industries, Inc., under <a class="xref fm:Subpart" href="/far/part-8#FAR_Subpart_8_6" title="subpart&nbsp; 8.6" aria-label="subpart聽 8.6. Link 231">subpart&nbsp; 8.6</a>, and acquisitions under <a class="xref fm:Subpart" href="/far/part-8#FAR_Subpart_8_7" title="subpart&nbsp; 8.7" aria-label="subpart聽 8.7. Link 232">subpart&nbsp; 8.7</a>, Acquisition from Nonprofit Agencies Employing People Who Are Blind or Severely Disabled; </p> <p class=" ListL2" id="FAR_25_401__d1644e42"> <span class="ph autonumber">(5)</span> Other acquisitions not using full and open competition, if authorized by <a class="xref fm:Subpart" href="/far/part-6#FAR_Subpart_6_2" title="subpart&nbsp; 6.2" aria-label="subpart聽 6.2. Link 233">subpart&nbsp; 6.2</a> or <a class="xref fm:ParaNumOnly" href="/far/part-6#FAR_Subpart_6_3" title="6.3" aria-label="6.3. Link 234">6.3</a>, when the limitation of competition would preclude use of the procedures of this subpart; or sole source acquisitions justified in accordance with <a class="xref fm:ParaNumOnly" href="/far/part-13#FAR_13_501" title="13.501" aria-label="13.501. Link 235">13.501</a>(a); and </p> <p class=" ListL2" id="FAR_25_401__d1646e63"> <span class="ph autonumber">(6)</span> Goods and services specifically excluded under individual trade agreements, such as exceptions negotiated by the U.S. Trade Representative for particular agencies. See the agency supplementary regulations. </p> <p class=" ListL1" id="FAR_25_401__d1644e56"> <span class="ph autonumber">(b)</span> In the World Trade Organization Government Procurement Agreement (WTO GPA) and each FTA, there is a U.S. schedule that lists services that are excluded from that agreement in acquisitions by the United States. Acquisitions of the following services are excluded from coverage by the U.S. schedule of the WTO GPA or an FTA as indicated in this table:</p> <div class="agov-table-wrapper"><table class="table frame-all" aria-label="Presentation Table" role="presentation"><colgroup><col><col><col><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p"></p> </td> <td class="entry CellBody_CtrSmallCaps colsep-1 rowsep-1"> <p class="p">The Service</p> <p class="p">(Federal Service Codes from the Federal Procurement Data System Product/Service Code Manual are indicated in paren-theses for some services.)</p> </td> <td class="entry CellBody_CtrSmallCaps colsep-1 rowsep-1"> <p class="p">WTO GPA and KOREA FTA</p> </td> <td class="entry CellBody_CtrSmallCaps colsep-1 rowsep-1"> <p class="p" id="FAR_25_401__d1646e96"> Bahrain FTA, CAFTA-DR, Chile FTA, Columbia FTA, USMCA, Oman FTA, Panama FTA, and Peru FTA </p> </td> <td class="entry CellBody_CtrSmallCaps colsep-1 rowsep-1"> <p class="p">Singapore FTA</p> </td> <td class="entry CellBody_CtrSmallCaps colsep-1 rowsep-1"> <p class="p">Australia and Morocco FTA</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">(1)</p> </td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">All services purchased in support of military services overseas.</td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">(2)</p> </td> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1">(i) Automatic data processing (ADP) telecommunications and transmission services (D304), except enhanced (<em class="ph i">i.e.,</em> value-added) telecommunications services.</td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"></p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"></p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"></p> </td> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1">(ii) ADP teleprocessing and timesharing services (D305), telecommunications network management services (D316), automated news services, data services or other information services (D317), and other ADP and telecommunications services (D399).</td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"></p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"></p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"></p> </td> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1">(iii) Basic telecommunications network services ( <em class="ph i">i.e.,</em> voice telephone services, packet-switched data transmission services, circuit-switched data transmission services, telex services, facsimile services, and private leased circuit services, but not information services, as defined in 47 U.S.C.153(24)).</td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">*</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">*</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">(3)</p> </td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Dredging.</td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">(4)</p> </td> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1">(i) Operation and management contracts of certain Government or privately owned facilities used for Government purposes, including Federally Funded Research and Development Centers.</td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"></p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"></p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"></p> </td> <td class="entry Hanging_FL CellBody_Hanging_FL colsep-1 rowsep-1">(ii) Operation of all Department of Defense, Department of Energy, or the National Aeronautics and Space Administration facilities; and all Government-owned research and development facilities or Government-owned environmental laboratories.</td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">**</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">**</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">(5)</p> </td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Research and development.</td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">(6)</p> </td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Transportation services (including launching services, but not including travel agent services).</td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">(7)</p> </td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Utility services.</td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">(8)</p> </td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Maintenance, repair, modification, rebuilding and installation of equipment related to ships (J019).</td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"></p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"></p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">(9)</p> </td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Nonnuclear ship repair (J998).</td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"></p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"></p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">X</p> </td> </tr> </tbody></table></div> <p class="p">* Note1. Acquisitions of the services listed at (2)(iii) of this table are a subset of the excluded services at (2)(i) and (ii), and are therefore not covered under the WTO GPA.</p> <p class="p">** Note2. Acquisitions of the services listed at (4)(ii) of this table are a subset of the excluded services at (4)(i), and are therefore not covered under the WTO GPA.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title38" id="FAR_25_402"> <h3 class="title topictitle3" id="ariaid-title38"> <span class="ph autonumber">25.402</span> General.</h3> <div class="body conbody"> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_402__d1645e10"> <span class="ph autonumber">(a)</span> </p> <p class="RuninChild ListL2" id="FAR_25_402__d1645e15"> <span class="ph autonumber">(1)</span> The Trade Agreements Act ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section2501&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C.2501" aria-label="19 U.S.C.2501. Link 236">19 U.S.C.2501</a>, <em class="ph i">et seq</em>.) provides the authority for the President to waive the Buy American statute and other discriminatory provisions for eligible products from countries that have signed an international trade agreement with the United States, or that meet certain other criteria, such as being a least developed country. The President has delegated this waiver authority to the U.S. Trade Representative. In acquisitions covered by the WTO GPA, Free Trade Agreements, or the Israeli Trade Act, the U.S. Trade Representative has waived the Buy American statute and other discriminatory provisions for eligible products. Offers of eligible products receive equal consideration with domestic offers.</p> <p class=" ListL2" id="FAR_25_402__d1645e26"> <span class="ph autonumber">(2)</span> The contracting officer shall determine the origin of services by the country in which the firm providing the services is established. See <a class="xref fm:Subpart" href="#FAR_Subpart_25_5" title="subpart&nbsp; 25.5" aria-label="subpart聽 25.5. Link 104">subpart&nbsp; 25.5</a> for evaluation procedures for supply contracts covered by trade agreements.</p> <p class=" ListL1" id="FAR_25_402__d1645e34"> <span class="ph autonumber">(b)</span> The value of the acquisition is a determining factor in the applicability of trade agreements. Most of these dollar thresholds are subject to revision by the U.S. Trade Representative approximately every 2 years. The various thresholds are summarized as follows:</p> <div class="agov-table-wrapper"><table class="table frame-all" id="FAR_25_402__id201DEJ0A0FP"><caption><span id="FAR_25_402__25402Tb" class="title">Table 1 to Paragraph (b)</span></caption><colgroup><col><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry 9pt CellHeading_9pt_Ctr align-center colsep-1 rowsep-1">Trade Agreement</td> <td class="entry 9pt CellHeading_9pt_Ctr align-center colsep-1 rowsep-1"> Supply Contract (equal to or exceeding) </td> <td class="entry 9pt CellHeading_9pt_Ctr align-center colsep-1 rowsep-1">Service Contract (equal to or exceeding)</td> <td class="entry 9pt CellHeading_9pt_Ctr align-center colsep-1 rowsep-1">Construction Contract (equal to or exceeding)</td> </tr> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">WTO GPA </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1"> $174,000 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1"> $174,000 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1"> $6,708,000 </td> </tr> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-0"> FTAs </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"></td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"></td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"></td> </tr> <tr> <td class="entry nd1 CellBody_Ind1 colsep-1 rowsep-0"> Australia FTA </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 102,280 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 102,280 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 6,708,000 </td> </tr> <tr> <td class="entry nd1 CellBody_Ind1 colsep-1 rowsep-0"> Bahrain FTA </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 174,000 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 174,000 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 13,296,489 </td> </tr> <tr> <td class="entry nd1 CellBody_Ind1 colsep-1 rowsep-0"> CAFTA-DR (Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, and Nicaragua) </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 102,280 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 102,280 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 6,708,000 </td> </tr> <tr> <td class="entry nd1 CellBody_Ind1 colsep-1 rowsep-0"> Chile FTA </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 102,280 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 102,280 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 6,708,000 </td> </tr> <tr> <td class="entry nd1 CellBody_Ind1 colsep-1 rowsep-0"> Colombia FTA </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 102,280 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 102,280 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 6,708,000 </td> </tr> <tr> <td class="entry nd1 CellBody_Ind1 colsep-1 rowsep-0"> Korea FTA </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0">100,000</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0">100,000</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 6,708,000 </td> </tr> <tr> <td class="entry nd1 CellBody_Ind1 colsep-1 rowsep-0"> Morocco FTA </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 174,000 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 174,000 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 6,708,000 </td> </tr> <tr> <td class="entry nd1 CellBody_Ind1 colsep-1 rowsep-0"> USMCA </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"></td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"></td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"></td> </tr> <tr> <td class="entry nd1 CellBody_Ind1 colsep-1 rowsep-0"> -Mexico </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 102,280 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 102,280 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 13,296,489 </td> </tr> <tr> <td class="entry nd1 CellBody_Ind1 colsep-1 rowsep-0"> Oman FTA </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 174,000 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 174,000 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 13,296,489 </td> </tr> <tr> <td class="entry nd1 CellBody_Ind1 colsep-1 rowsep-0"> Panama FTA </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 174,000 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 174,000 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 6,708,000 </td> </tr> <tr> <td class="entry nd1 CellBody_Ind1 colsep-1 rowsep-0"> Peru FTA </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 174,000 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 174,000 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 6,708,000 </td> </tr> <tr> <td class="entry nd1 CellBody_Ind1 colsep-1 rowsep-0"> Singapore FTA </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 102,280 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 102,280 </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-0"> 6,708,000 </td> </tr> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-1"> Israeli Trade Act </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1">50,000</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1">-</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1">-</td> </tr> </tbody></table></div> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title39" id="FAR_25_403"> <h3 class="title topictitle3" id="ariaid-title39"> <span class="ph autonumber">25.403</span> World Trade Organization Government Procurement Agreement and Free Trade Agreements.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_403__d1646e10"> <span class="ph autonumber">(a)</span> Eligible products from WTO GPA and FTA countries are entitled to the nondiscriminatory treatment specified in <a class="xref fm:ParaNumOnly" href="#FAR_25_402" title="25.402" aria-label="25.402. Link 238">25.402</a>(a)(1). The WTO GPA and FTAs specify procurement procedures designed to ensure fairness (see <a class="xref fm:ParaNumOnly" href="#FAR_25_408" title="25.408" aria-label="25.408. Link 239">25.408</a>).</p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_403__d1646e21"> <span class="ph autonumber">(b)</span> <em class="ph i">Thresholds.</em> </p> <p class="RuninChild ListL2" id="FAR_25_403__d1646e28"> <span class="ph autonumber">(1)</span> To determine whether the acquisition of products by lease, rental, or lease-purchase contract (including lease-to-ownership, or lease-with-option-to purchase) is covered by the WTO GPA or an FTA, calculate the estimated acquisition value as follows:</p> <p class=" ListL3" id="FAR_25_403__d1646e34"> <span class="ph autonumber">(i)</span> If a fixed-term contract of 12 months or less is contemplated, use the total estimated value of the acquisition.</p> <p class=" ListL3" id="FAR_25_403__d1646e39"> <span class="ph autonumber">(ii)</span> If a fixed-term contract of more than 12 months is contemplated, use the total estimated value of the acquisition plus the estimated residual value of the leased equipment at the conclusion of the contemplated term of the contract.</p> <p class=" ListL3" id="FAR_25_403__d1646e44"> <span class="ph autonumber">(iii)</span> If an indefinite-term contract is contemplated, use the estimated monthly payment multiplied by the total number of months that ordering would be possible under the proposed contract, <em class="ph i">i.e.,</em> the initial ordering period plus any optional ordering periods.</p> <p class=" ListL3" id="FAR_25_403__d1646e52"> <span class="ph autonumber">(iv)</span> If there is any doubt as to the contemplated term of the contract, use the estimated monthly payment multiplied by 48.</p> <p class=" ListL2" id="FAR_25_403__d1646e57"> <span class="ph autonumber">(2)</span> The estimated value includes the value of all options.</p> <p class=" ListL2" id="FAR_25_403__d1646e62"> <span class="ph autonumber">(3)</span> If, in any 12-month period, recurring or multiple awards for the same type of product or products are anticipated, use the total estimated value of these projected awards to determine whether the WTO GPA or an FTA applies. Do not divide any acquisition with the intent of reducing the estimated value of the acquisition below the dollar threshold of the WTO GPA or an FTA.</p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_403__d1646e67"> <span class="ph autonumber">(c)</span> <em class="ph i">Purchase restriction.</em> </p> <p class="RuninChild ListL2" id="FAR_25_403__d1646e74"> <span class="ph autonumber">(1)</span> Under the Trade Agreements Act ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section2512&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 2512" aria-label="19 U.S.C. 2512. Link 240">19 U.S.C. 2512</a>), in acquisitions covered by the WTO GPA, acquire only U.S.-made or designated country end products or U.S. or designated country services, unless offers for such end products or services are either not received or are insufficient to fulfill the requirements. This purchase restriction does not apply below the WTO GPA threshold for supplies and services, even if the acquisition is covered by an FTA.</p> <p class=" ListL2" id="FAR_25_403__d1646e82"> <span class="ph autonumber">(2)</span> This restriction does not apply to purchases of supplies by the Department of Defense from a country with which it has entered into a reciprocal agreement, as provided in departmental regulations. </p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title40" id="FAR_25_404"> <h3 class="title topictitle3" id="ariaid-title40"> <span class="ph autonumber">25.404</span> Least developed countries.</h3> <div class="body conbody"> <p class="p">For acquisitions covered by the WTO GPA, least developed country end products, construction material, and services must be treated as eligible products.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title41" id="FAR_25_405"> <h3 class="title topictitle3" id="ariaid-title41"> <span class="ph autonumber">25.405</span> Caribbean Basin Trade Initiative.</h3> <div class="body conbody"> <p class="p">Under the Caribbean Basin Trade Initiative, the United States Trade Representative has determined that, for acquisitions covered by the WTO GPA, Caribbean Basin country end products, construction material, and services must be treated as eligible products. In accordance with Section 201 (a)(3) of the Dominican Republic-Central America-United States Free Trade Implementation Act (Pub. L. 109-53) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title19-section4031&amp;num=0&amp;edition=prelim" target="_blank" title="19 U.S.C. 4031" aria-label="19 U.S.C. 4031. Link 241">19 U.S.C. 4031</a>), when the CAFTA-DR agreement enters into force with respect to a country, that country is no longer designated as a beneficiary country for purposes of the Caribbean Basin Economic Recovery Act, and is therefore no longer included in the definition of "Caribbean Basin country" for purposes of the Caribbean Basin Trade Initiative.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title42" id="FAR_25_406"> <h3 class="title topictitle3" id="ariaid-title42"> <span class="ph autonumber">25.406</span> Israeli Trade Act.</h3> <div class="body conbody"> <p class="p" id="FAR_25_406__d1657e8">Acquisitions of supplies by most agencies are covered by the Israeli Trade Act, if the estimated value of the acquisition is $50,000 or more but does not exceed the WTO GPA threshold for supplies (see <a class="xref fm:ParaNumOnly" href="#FAR_25_402" title="25.402" aria-label="25.402. Link 238">25.402</a>(b)). Agencies other than the Department of Defense, the Department of Energy, the Department of Transportation, the Bureau of Reclamation of the Department of the Interior, the Federal Housing Finance Board, and the Office of Thrift Supervision must evaluate offers of Israeli end products without regard to the restrictions of the Buy American statute. The Israeli Trade Act does not prohibit the purchase of other foreign end products.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title43" id="FAR_25_407"> <h3 class="title topictitle3" id="ariaid-title43"> <span class="ph autonumber">25.407</span> Agreement on Trade in Civil Aircraft.</h3> <div class="body conbody"> <p class="p">Under the authority of Section 303 of the Trade Agreements Act, the U.S. Trade Representative has waived the Buy American statute for civil aircraft and related articles that meet the substantial transformation test of the Trade Agreements Act, from countries that are parties to the Agreement on Trade in Civil Aircraft. Those countries are Albania, Austria, Belgium, Bulgaria, Canada, Croatia, Cyprus, Czech Republic, Denmark, Egypt, Estonia, Finland, France, Georgia, Germany, Greece, Hungary, Ireland, Italy, Japan, Latvia, Lithuania, Luxembourg, Macao China, Malta, Montenegro, the Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden, Switzerland, Taiwan (Chinese Taipei), and the United Kingdom.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title44" id="FAR_25_408"> <h3 class="title topictitle3" id="ariaid-title44"> <span class="ph autonumber">25.408</span> Procedures.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_408__d1651e10"> <span class="ph autonumber">(a)</span> If the WTO GPA or an FTA applies (see <a class="xref fm:ParaNumOnly" href="#FAR_25_401" title="25.401" aria-label="25.401. Link 243">25.401</a>), the contracting officer must-</p> <p class=" ListL2" id="FAR_25_408__d1651e19"> <span class="ph autonumber">(1)</span> Comply with the requirements of <a class="xref fm:ParaNumOnly" href="/far/part-5#FAR_5_203" title="5.203" aria-label="5.203. Link 244">5.203</a>, Publicizing and response time;</p> <p class=" ListL2" id="FAR_25_408__d1651e27"> <span class="ph autonumber">(2)</span> Comply with the requirements of <a class="xref fm:ParaNumOnly" href="/far/part-5#FAR_5_207" title="5.207" aria-label="5.207. Link 245">5.207</a>, Preparation and transmittal of synopses;</p> <p class=" ListL2" id="FAR_25_408__d1651e35"> <span class="ph autonumber">(3)</span> Not include technical requirements in solicitations solely to preclude the acquisition of eligible products;</p> <p class=" ListL2" id="FAR_25_408__d1651e40"> <span class="ph autonumber">(4)</span> Specify in solicitations that offerors must submit offers in the English language and in U.S. dollars (see <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_214_34" title="52.214-34" aria-label="52.214-34. Link 246">52.214-34</a>, Submission of Offers in the English Language, and <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_214_35" title="52.214-35" aria-label="52.214-35. Link 247">52.214-35</a>, Submission of Offers in U.S. Currency, or paragraph (c)(5) of <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_215_1" title="52.215-1" aria-label="52.215-1. Link 248">52.215-1</a>, Instruction to Offerors-Competitive Acquisitions); and</p> <p class=" ListL2" id="FAR_25_408__d1651e54"> <span class="ph autonumber">(5)</span> Provide unsuccessful offerors from WTO GPA or FTA countries notice in accordance with <a class="xref fm:ParaNumOnly" href="/far/part-14#FAR_14_409_1" title="14.409-1" aria-label="14.409-1. Link 249">14.409-1</a> or <a class="xref fm:ParaNumOnly" href="/far/part-15#FAR_15_503" title="15.503" aria-label="15.503. Link 250">15.503</a>.</p> <p class=" ListL1" id="FAR_25_408__d1651e65"> <span class="ph autonumber">(b)</span> See <a class="xref fm:Subpart" href="#FAR_Subpart_25_5" title="subpart&nbsp; 25.5" aria-label="subpart聽 25.5. Link 104">subpart&nbsp; 25.5</a> for evaluation procedures and examples.</p> </div> </article> </article> <article class="topic nested1" aria-labelledby="ariaid-title45" id="FAR_Subpart_25_5"> <h2 class="title topictitle2 Subpart" id="ariaid-title45"> <span class="ph autonumber">Subpart 25.5</span> - Evaluating Foreign Offers-Supply Contracts</h2> <article class="topic concept nested2" aria-labelledby="ariaid-title46" id="FAR_25_501"> <h3 class="title topictitle3" id="ariaid-title46"> <span class="ph autonumber">25.501</span> General.</h3> <div class="body conbody"> <p class="p">The contracting officer-</p> <p class=" ListL1" id="FAR_25_501__d1653e12"> <span class="ph autonumber">(a)</span> Must apply the evaluation procedures of this subpart to each line item of an offer unless either the offer or the solicitation specifies evaluation on a group basis (see <a class="xref fm:ParaNumOnly" href="#FAR_25_503" title="25.503" aria-label="25.503. Link 252">25.503</a>);</p> <p class=" ListL1" id="FAR_25_501__d1653e20"> <span class="ph autonumber">(b)</span> May rely on the offeror&rsquo;s certification of end product origin when evaluating a foreign offer;</p> <p class=" ListL1" id="FAR_25_501__d1654e25"> <span class="ph autonumber">(c)</span> Must identify and reject offers of end products that are prohibited in accordance with <a class="xref fm:Subpart" href="#FAR_Subpart_25_7" title="subpart&nbsp; 25.7" aria-label="subpart聽 25.7. Link 253">subpart&nbsp; 25.7</a>; and</p> <p class=" ListL1" id="FAR_25_501__d1654e37"> <span class="ph autonumber">(d)</span> When trade agreements are involved, must not use the Buy American statute evaluation factors prescribed in this subpart to provide a preference for one foreign offer over another foreign offer.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title47" id="FAR_25_502"> <h3 class="title topictitle3" id="ariaid-title47"> <span class="ph autonumber">25.502</span> Application.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_502__d1654e10"> <span class="ph autonumber">(a)</span> Unless otherwise specified in agency regulations, perform the following steps in the order presented:</p> <p class=" ListL2" id="FAR_25_502__d1654e16"> <span class="ph autonumber">(1)</span> Eliminate all offers or offerors that are unacceptable for reasons other than price; <em class="ph i">e.g.,</em> nonresponsive, debarred or suspended, or a prohibited source (see <a class="xref fm:Subpart" href="#FAR_Subpart_25_7" title="subpart&nbsp; 25.7" aria-label="subpart聽 25.7. Link 253">subpart&nbsp; 25.7</a>).</p> <p class=" ListL2" id="FAR_25_502__d1654e27"> <span class="ph autonumber">(2)</span> Rank the remaining offers by price.</p> <p class=" ListL2" id="FAR_25_502__d1654e32"> <span class="ph autonumber">(3)</span> If the solicitation specifies award on the basis of factors in addition to cost or price, apply the evaluation factors as specified in this section and use the evaluated cost or price in determining the offer that represents the best value to the Government.</p> <p class=" ListL1" id="FAR_25_502__d1654e37"> <span class="ph autonumber">(b)</span> For acquisitions covered by the WTO GPA (see <a class="xref fm:Subpart" href="#FAR_Subpart_25_4" title="subpart&nbsp; 25.4" aria-label="subpart聽 25.4. Link 97">subpart&nbsp; 25.4</a>)-</p> <p class=" ListL2" id="FAR_25_502__d1654e46"> <span class="ph autonumber">(1)</span> Consider only offers of U.S.-made or designated country end products, unless no offers of such end products were received;</p> <p class=" ListL2" id="FAR_25_502__d1654e51"> <span class="ph autonumber">(2)</span> If the agency gives the same consideration given eligible offers to offers of U.S.-made end products that are not domestic end products, award on the low offer. Otherwise, evaluate in accordance with agency procedures; and</p> <p class=" ListL2" id="FAR_25_502__d1654e56"> <span class="ph autonumber">(3)</span> If there were no offers of U.S.-made or designated country end products, make a nonavailability determination (see <a class="xref fm:ParaNumOnly" href="#FAR_25_103" title="25.103" aria-label="25.103. Link 133">25.103</a>(b)(2)) and award on the low offer (see <a class="xref fm:ParaNumOnly" href="#FAR_25_403" title="25.403" aria-label="25.403. Link 257">25.403</a>(c)).</p> <p class=" ListL1" id="FAR_25_502__d1654e67"> <span class="ph autonumber">(c)</span> For acquisitions not covered by the WTO GPA, but subject to the Buy American statute (an FTA or the Israeli Trade Act also may apply), the following applies:</p> <p class=" ListL2" id="FAR_25_502__d1654e73"> <span class="ph autonumber">(1)</span> If the low offer is a domestic offer or an eligible offer under an FTA or the Israeli Trade Act, award on that offer. </p> <p class=" ListL2" id="FAR_25_502__d1655e79"> <span class="ph autonumber">(2)</span> If the low offer is a noneligible offer and there were no domestic offers (see <a class="xref fm:ParaNumOnly" href="#FAR_25_103" title="25.103" aria-label="25.103. Link 133">25.103</a>(b)(3)), award on the low offer. The procedures at <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(b)(2) and <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(c)(2) do not apply. </p> <p class=" ListL2" id="FAR_25_502__d1655e96"> <span class="ph autonumber">(3)</span> If the low offer is a noneligible offer and there is an eligible offer that is lower than the lowest domestic offer, award on the low offer. The procedures at <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(b)(2) and <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(c)(2) do not apply. </p> <p class=" ListL2" id="FAR_25_502__d1655e110"> <span class="ph autonumber">(4)</span> Otherwise, apply the appropriate evaluation factor provided in <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a> to the low offer. The procedures at <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(b)(2) and <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(c)(2) do not apply. </p> <p class=" ListL3" id="FAR_25_502__d1658e118"> <span class="ph autonumber">(i)</span> If the evaluated price of the low offer remains less than the lowest domestic offer, award on the low offer.</p> <p class=" ListL3" id="FAR_25_502__d1658e123"> <span class="ph autonumber">(ii)</span> If the price of the lowest domestic offer is less than the evaluated price of the low offer, award on the lowest domestic offer.</p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_502__d1654e110"> <span class="ph autonumber">(d)</span> <em class="ph i">Ties.</em> </p> <p class="RuninChild ListL2" id="FAR_25_502__d1654e117"> <span class="ph autonumber">(1)</span> If application of an evaluation factor results in a tie between a domestic offer and a foreign offer, award on the domestic offer.</p> <p class=" ListL2" id="FAR_25_502__d1654e122"> <span class="ph autonumber">(2)</span> If no evaluation preference was applied (<em class="ph i">i.e.,</em> offers afforded nondiscriminatory treatment under the Buy American statute), resolve ties between domestic and foreign offers by a witnessed drawing of lots by an impartial individual.</p> <p class=" ListL2" id="FAR_25_502__d1654e130"> <span class="ph autonumber">(3)</span> Resolve ties between foreign offers from small business concerns (under the Buy American statute, a small business offering a manufactured article that does not meet the definition of "domestic end product" is a foreign offer) or foreign offers from a small business concern and a large business concern in accordance with <a class="xref fm:ParaNumOnly" href="/far/part-14#FAR_14_408_6" title="14.408-6" aria-label="14.408-6. Link 266">14.408-6</a>(a).</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title48" id="FAR_25_503"> <h3 class="title topictitle3" id="ariaid-title48"> <span class="ph autonumber">25.503</span> Group offers.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_503__d1655e10"> <span class="ph autonumber">(a)</span> If the solicitation or an offer specifies that award can be made only on a group of line items or on all line items contained in the solicitation or offer, reject the offer-</p> <p class=" ListL2" id="FAR_25_503__d1656e16"> <span class="ph autonumber">(1)</span> If any part of the award would consist of prohibited end products (see <a class="xref fm:Subpart" href="#FAR_Subpart_25_7" title="subpart&nbsp; 25.7" aria-label="subpart聽 25.7. Link 253">subpart&nbsp; 25.7</a>); or</p> <p class=" ListL2" id="FAR_25_503__d1655e24"> <span class="ph autonumber">(2)</span> If the acquisition is covered by the WTO GPA and any part of the offer consists of items restricted in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_403" title="25.403" aria-label="25.403. Link 257">25.403</a>(c).</p> <p class=" ListL1" id="FAR_25_503__d1655e32"> <span class="ph autonumber">(b)</span> If an offer restricts award to a group of line items or to all line items contained in the offer, determine for each line item whether to apply an evaluation factor (see <a class="xref fm:ParaNumOnly" href="#FAR_25_504_4" title="25.504-4" aria-label="25.504-4. Link 269">25.504-4</a>, Example 1).</p> <p class=" ListL2" id="FAR_25_503__d1655e41"> <span class="ph autonumber">(1)</span> First, evaluate offers that do not specify an award restriction on a line item basis in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>, determining a tentative award pattern by selecting for each line item the offer with the lowest evaluated price.</p> <p class=" ListL2" id="FAR_25_503__d1655e49"> <span class="ph autonumber">(2)</span> Evaluate an offer that specifies an award restriction against the offered prices of the tentative award pattern, applying the appropriate evaluation factor on a line item basis.</p> <p class=" ListL2" id="FAR_25_503__d1655e54"> <span class="ph autonumber">(3)</span> Compute the total evaluated price for the tentative award pattern and the offer that specified an award restriction.</p> <p class=" ListL2" id="FAR_25_503__d1655e59"> <span class="ph autonumber">(4)</span> Unless the total evaluated price of the offer that specified an award restriction is less than the total evaluated price of the tentative award pattern, award based on the tentative award pattern.</p> <p class=" ListL1" id="FAR_25_503__d1655e64"> <span class="ph autonumber">(c)</span> If the solicitation specifies that award will be made only on a group of line items or all line items contained in the solicitation, determine the category of end products on the basis of each line item, but determine whether to apply an evaluation factor on the basis of the group of items (see <a class="xref fm:ParaNumOnly" href="#FAR_25_504_4" title="25.504-4" aria-label="25.504-4. Link 269">25.504-4</a>, Example 2).</p> <p class=" ListL2" id="FAR_25_503__d1655e73"> <span class="ph autonumber">(1)</span> If the proposed price of domestic end products exceeds 50 percent of the total proposed price of the group, evaluate the entire group as a domestic offer. Evaluate all other groups as foreign offers.</p> <p class=" ListL2" id="FAR_25_503__d1655e78"> <span class="ph autonumber">(2)</span> For foreign offers, if the proposed price of domestic end products and eligible products exceeds 50 percent of the total proposed price of the group, evaluate the entire group as an eligible offer.</p> <p class=" ListL2" id="FAR_25_503__d1655e83"> <span class="ph autonumber">(3)</span> Apply the evaluation factor to the entire group in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>.</p> <p class=" ListL1" id="FAR_25_503__d1656e96"> <span class="ph autonumber">(d)</span> If no trade agreement applies to a solicitation and the solicitation specifies that award will be made only on a group of line items or all line items contained in the solicitation, determine the category of end products ( <em class="ph i">i.e.,</em> domestic or foreign) on the basis of each line item, but determine whether to apply an evaluation factor on the basis of the group of items ( <em class="ph i">see</em> <a class="xref fm:ParaNumOnly" href="#FAR_25_504_4" title="25.504-4" aria-label="25.504-4. Link 269">25.504-4</a>(c), Example 3). </p> <p class=" ListL2" id="FAR_25_503__d1656e113"> <span class="ph autonumber">(1)</span> If the proposed price of domestic end products exceeds 50 percent of the total proposed price of the group, evaluate the entire group as a domestic offer. Evaluate all other groups as foreign offers. </p> <p class=" ListL2" id="FAR_25_503__d1656e119"> <span class="ph autonumber">(2)</span> Apply the evaluation factor to the entire group in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>, except where <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(c)(4) applies and the evaluated price of the low offer remains less than the lowest domestic offer. Where the evaluated price of the low offer remains less than the lowest domestic offer, treat as a domestic offer any group where the proposed price of end products with a domestic content of at least 55 percent exceeds 50 percent of the total proposed price of the group. </p> <p class=" ListL2" id="FAR_25_503__d1656e131"> <span class="ph autonumber">(3)</span> Apply the evaluation factor to the entire group in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(c)(4). </p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title49" id="FAR_25_504"> <h3 class="title topictitle3" id="ariaid-title49"> <span class="ph autonumber">25.504</span> Evaluation examples.</h3> <div class="body conbody"> <p class="p" id="FAR_25_504__d1664e8">The following examples illustrate the application of the evaluation procedures in <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a> and <a class="xref fm:ParaNumOnly" href="#FAR_25_503" title="25.503" aria-label="25.503. Link 252">25.503</a>. The examples assume that the contracting officer has eliminated all offers that are unacceptable for reasons other than price or a trade agreement (see <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(a)(1)). The evaluation factor may change as provided in agency regulations.</p> </div> <article class="topic concept nested3" aria-labelledby="ariaid-title50" id="FAR_25_504_1"> <h4 class="title topictitle4" id="ariaid-title50"> <span class="ph autonumber">25.504-1</span> Buy American statute.</h4> <div class="body conbody"> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_504_1__d1657e10"> <span class="ph autonumber">(a)</span> </p> <p class="RuninChild ListL2" id="FAR_25_504_1__d1658e15"> <span class="ph autonumber">(1)</span> <em class="ph i">Example 1</em>. </p> <div class="agov-table-wrapper"><table class="table frame-all" aria-label="Presentation Table" role="presentation"><colgroup><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry colsep-1 rowsep-1">Offer A</td> <td class="entry colsep-1 rowsep-1"> $16,000 </td> <td class="entry colsep-1 rowsep-1">Domestic end product, small business</td> </tr> <tr> <td class="entry colsep-1 rowsep-1">Offer B</td> <td class="entry colsep-1 rowsep-1"> $15,700 </td> <td class="entry colsep-1 rowsep-1">Domestic end product, small business</td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> Offer C </td> <td class="entry colsep-1 rowsep-1"> <p class="p" id="FAR_25_504_1__d1658e49"> $10,100 </p> </td> <td class="entry colsep-1 rowsep-1"> U.S.-made end product (not domestic), small business </td> </tr> </tbody></table></div> <p class=" ListL2" id="FAR_25_504_1__d1658e58"> <span class="ph autonumber">(2)</span> <em class="ph i">Analysis:</em> This acquisition is for end products for use in the United States and is set aside for small business concerns. The Buy American statute applies. Since the acquisition value is less than $50,000 and the acquisition is set aside, none of the trade agreements apply. Perform the steps in <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(a). Offer C is of 50 percent domestic content, therefore Offer C is evaluated as a foreign end product, because it is the product of a small business but is not a domestic end product ( <em class="ph i">see</em> <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(c)(4)). Since Offer B is a domestic offer, apply the 30 percent factor to Offer C ( <em class="ph i">see</em> <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(b)(2)). The resulting evaluated price of $13,130 remains lower than Offer B. The cost of Offer B is therefore unreasonable ( <em class="ph i">see</em> <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(b)(1)(ii)). The <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(b)(2) procedures do not apply. Award on Offer C at $10,100 ( <em class="ph i">see</em> <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(c)(4)(i)). </p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_504_1__d1657e72"> <span class="ph autonumber">(b)</span> </p> <p class="RuninChild ListL2" id="FAR_25_504_1__d1657e77"> <span class="ph autonumber">(1)</span> <em class="ph i">Example 2</em>.</p> <div class="agov-table-wrapper"><table class="table frame-all" aria-label="Presentation Table" role="presentation"><colgroup><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry colsep-1 rowsep-1">Offer A</td> <td class="entry colsep-1 rowsep-1">$11,000</td> <td class="entry colsep-1 rowsep-1">Domestic end product, small business</td> </tr> <tr> <td class="entry colsep-1 rowsep-1">Offer B</td> <td class="entry colsep-1 rowsep-1">$10,700</td> <td class="entry colsep-1 rowsep-1">Domestic end product, small business</td> </tr> <tr> <td class="entry colsep-1 rowsep-1">Offer C</td> <td class="entry colsep-1 rowsep-1">$10,200</td> <td class="entry colsep-1 rowsep-1">U.S.-made end product (not domestic), small business</td> </tr> </tbody></table></div> <p class=" ListL2" id="FAR_25_504_1__d1657e111"> <span class="ph autonumber">(2)</span> <em class="ph i">Analysis</em>: This acquisition is for end products for use in the United States and is set aside for small business concerns. The Buy American statute applies. Perform the steps in <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(a). Offer C is evaluated as a foreign end product because it is the product of a small business but is not a domestic end product (see <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(c)(4)). After applying the 30 percent factor, the evaluated price of Offer C is $13,260. Award on Offer B at $10,700 (see <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(c)(4)(ii)).</p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_504_1__d1658e146"> <span class="ph autonumber">(c)</span> </p> <p class="RuninChild ListL2" id="FAR_25_504_1__d1658e155"> <span class="ph autonumber">(1)</span> <em class="ph i">Example 3</em>. </p> <div class="agov-table-wrapper"><table class="table frame-all" id="FAR_25_504_1__table_3_25504_1" aria-label="Presentation Table" role="presentation"><colgroup><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry colsep-1 rowsep-1">Offer A</td> <td class="entry colsep-1 rowsep-1">$14,000</td> <td class="entry colsep-1 rowsep-1">Domestic end product (complies with the required domestic content), small business.</td> </tr> <tr> <td class="entry colsep-1 rowsep-1">Offer B</td> <td class="entry colsep-1 rowsep-1">12,500</td> <td class="entry colsep-1 rowsep-1">U.S.-made end product (not domestic, exceeds 55% domestic content), small business.</td> </tr> <tr> <td class="entry colsep-1 rowsep-1">Offer C</td> <td class="entry colsep-1 rowsep-1">10,100</td> <td class="entry colsep-1 rowsep-1">U.S.-made end product (not domestic, with less than 55% domestic content), small business.</td> </tr> </tbody></table></div> <p class=" ListL2" id="FAR_25_504_1__d1658e188"> <span class="ph autonumber">(2)</span> <em class="ph i">Analysis.</em> This acquisition is for end products for use in the United States and is set aside for small business concerns. The Buy American statute applies. Since the acquisition value is less than $50,000 and the acquisition is set aside, none of the trade agreements apply. Perform the steps in <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(a). Offers B and C are initially evaluated as foreign end products, because they are the products of small businesses but are not domestic end products ( <em class="ph i">see</em> <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(c)(4)). Offer C is the low offer. After applying the 30 percent factor, the evaluated price of Offer C is $13,130. The resulting evaluated price of $13,130 remains lower than Offer A. The cost of Offer A is therefore unreasonable. Offer B is then treated as a domestic offer, because it is for a U.S.-made end product that exceeds 55 percent domestic content ( <em class="ph i">see</em> <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(b)(2)). Offer B is determined reasonable because it is lower than the $13,130 evaluated price of Offer C. Award on Offer B at $12,500. </p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title51" id="FAR_25_504_2"> <h4 class="title topictitle4" id="ariaid-title51"> <span class="ph autonumber">25.504-2</span> WTO GPA/Caribbean Basin Trade Initiative/FTAs.</h4> <div class="body conbody"> <p class="p"> <em class="ph i">Example 1</em>.</p> <div class="agov-table-wrapper"><table class="table frame-all" aria-label="Presentation Table" role="presentation"><colgroup><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Offer A</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">$304,000</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">U.S.-made end product (not domestic)</td> </tr> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Offer B</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">$303,000</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">U.S.-made end product (domestic), small business</td> </tr> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Offer C</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">$300,000</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Eligible product</td> </tr> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Offer D</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">$295,000</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Noneligible product (not U.S.-made)</td> </tr> </tbody></table></div> <p class="p" id="FAR_25_504_2__d1658e46"></p> <p class="p"> <em class="ph i">Analysis</em>: Eliminate Offer D because the acquisition is covered by the WTO GPA and there is an offer of a U.S.-made or an eligible product (see <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(b)(1)). If the agency gives the same consideration given eligible offers to offers of U.S.-made end products that are not domestic offers, it is unnecessary to determine if U.S.-made end products are domestic (large or small business). No further analysis is necessary. Award on the low remaining offer, Offer C (see <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(b)(2)).</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title52" id="FAR_25_504_3"> <h4 class="title topictitle4" id="ariaid-title52"> <span class="ph autonumber">25.504-3</span> FTA/Israeli Trade Act.</h4> <div class="body conbody"> <p class=" ListL1" id="FAR_25_504_3__d1659e10"> <span class="ph autonumber">(a)</span> <em class="ph i">Example 1</em>.</p> <div class="agov-table-wrapper"><table class="table frame-all" aria-label="Presentation Table" role="presentation"><colgroup><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Offer A</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">$105,000</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Domestic end product, small business</td> </tr> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-1"> Offer B </td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">$100,000</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Eligible product</td> </tr> </tbody></table></div> <p class=" ListL1" id="FAR_25_504_3__d1659e36"> <em class="ph i">Analysis</em>: Since the low offer is an eligible offer, award on the low offer (see <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(c)(1)).</p> <p class=" ListL1" id="FAR_25_504_3__d1659e44"> <span class="ph autonumber">(b)</span> <em class="ph i">Example 2</em>.</p> <div class="agov-table-wrapper"><table class="table frame-all" aria-label="Presentation Table" role="presentation"><colgroup><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Offer A</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">$105,000</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Eligible product</td> </tr> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-1"> Offer B </td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">$103,000</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Noneligible product</td> </tr> </tbody></table></div> <p class=" ListL1" id="FAR_25_504_3__d1659e70"> <em class="ph i">Analysis</em>: Since the acquisition is not covered by the WTO GPA, the contracting officer can consider the noneligible offer. Since no domestic offer was received, make a nonavailability determination and award on Offer B (see <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(c)(2)).</p> <p class=" ListL1" id="FAR_25_504_3__d1659e78"> <span class="ph autonumber">(c)</span> <em class="ph i">Example 3</em>.</p> <div class="agov-table-wrapper"><table class="table frame-all" aria-label="Presentation Table" role="presentation"><colgroup><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Offer A</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">$105,000</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Domestic end product, large business</td> </tr> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-1"> Offer B </td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">$103,000</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Eligible product</td> </tr> <tr> <td class="entry CellBody_Left align-left colsep-1 rowsep-1"> Offer C </td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">$100,000</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1">Noneligible product</td> </tr> </tbody></table></div> <p class="p"> <em class="ph i">Analysis</em>: Since the acquisition is not covered by the WTO GPA, the contracting officer can consider the noneligible offer. Because the eligible offer (Offer B) is lower than the domestic offer (Offer A), no evaluation factor applies to the low offer (Offer C). Award on the low offer (see <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(c)(3)).</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title53" id="FAR_25_504_4"> <h4 class="title topictitle4" id="ariaid-title53"> <span class="ph autonumber">25.504-4</span> Group award basis.</h4> <div class="body conbody"> <p class=" ListL1" id="FAR_25_504_4__d1660e10"> <span class="ph autonumber">(a)</span> <em class="ph i">Example 1</em>.</p> <div class="agov-table-wrapper"><table class="table frame-all" aria-label="Presentation Table"><colgroup><col><col><col><col><col><col><col><col><col><col></colgroup><thead class="thead"> <tr> <th class="entry CellHeading_Ctr align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__1" colspan="10" aria-label="OFFERS">OFFERS</th> </tr> <tr> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__2" aria-label="Item">Item</th> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__3" colspan="3" aria-label="A">A</th> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__4" colspan="3" aria-label="B">B</th> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__5" colspan="3" aria-label="C">C</th> </tr> </thead><tbody class="tbody"> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__2 "> <p class="p Ctr">1</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 ">$55,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 ">EL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 ">$56,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 ">NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 ">$50,000</td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__2 "> <p class="p Ctr">2</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 ">NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 "> $13,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 ">EL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 "> $10,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 ">EL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 "> $13,000</td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__2 "> <p class="p Ctr">3</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 ">NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 "> $11,500</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 "> $12,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 "> $10,000</td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__2 "> <p class="p Ctr">4</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 ">NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 "> $24,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 ">EL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 "> $28,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 ">NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 "> $22,000</td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__2 "> <p class="p Ctr">5</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 "> <u class="ph u"> $18,000</u> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 ">NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 "> <u class="ph u"> $10,000</u> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 "> <u class="ph u"> $14,000</u> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__2 "> <p class="p Ctr"></p> </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__3 " colspan="3">$121,500</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__4 " colspan="3">$116,000</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__1 FAR_25_504_4__d1638e95__entry__5 " colspan="3">$109,000</td> </tr> </tbody></table></div> <div class="agov-table-wrapper"><table class="table frame-none" aria-label="Presentation Table" role="presentation"><colgroup><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry colsep-0 rowsep-0"> <p class="p Ctr"> <em class="ph i">Key:</em> </p> </td> <td class="entry colsep-0 rowsep-0"> <p class="p Ctr"></p> </td> <td class="entry colsep-0 rowsep-0"> <p class="p Ctr"></p> </td> </tr> <tr> <td class="entry CellBody_Left align-left colsep-0 rowsep-0">DO</td> <td class="entry colsep-0 rowsep-0"> <p class="p Ctr">=</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-0">Domestic end product</td> </tr> <tr> <td class="entry CellBody_Left align-left colsep-0 rowsep-0">EL</td> <td class="entry colsep-0 rowsep-0"> <p class="p Ctr">=</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-0">Eligible product</td> </tr> <tr> <td class="entry CellBody_Left align-left colsep-0 rowsep-0">NEL</td> <td class="entry colsep-0 rowsep-0"> <p class="p Ctr">=</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-0">Noneligible product</td> </tr> </tbody></table></div> <p class=" ListL1" id="FAR_25_504_4__d1660e204"> <em class="ph i">Problem</em>: Offeror C specifies all-or-none award. Assume all offerors are large businesses. The acquisition is not covered by the WTO GPA.</p> <p class=" ListL1" id="FAR_25_504_4__d1660e208"> <em class="ph i">Analysis</em>: (see <a class="xref fm:ParaNumOnly" href="#FAR_25_503" title="25.503" aria-label="25.503. Link 252">25.503</a>)</p> <p class=" ListL1" id="FAR_25_504_4__d1660e215"> <em class="ph i">STEP 1</em>: Evaluate Offers A &amp; B before considering Offer C and determine which offer has the lowest evaluated cost for each line item (the tentative award pattern):</p> <p class=" ListL1" id="FAR_25_504_4__d1660e219"> <em class="ph i">Item 1</em>: Low offer A is domestic; select A.</p> <p class=" ListL1" id="FAR_25_504_4__d1660e223"> <em class="ph i">Item 2</em>: Low offer B is eligible; do not apply factor; select B.</p> <p class=" ListL1" id="FAR_25_504_4__d1660e227"> <em class="ph i">Item 3</em>: Low offer A is noneligible and Offer B is a domestic offer. Apply a 20 percent factor to Offer A. The evaluated price of Offer A is higher than Offer B; select B.</p> <p class=" ListL1" id="FAR_25_504_4__d1660e231"> <em class="ph i">Item 4</em>: Low offer A is noneligible. Since neither offer is a domestic offer, no evaluation factor applies; select A.</p> <p class=" ListL1" id="FAR_25_504_4__d1660e235"> <em class="ph i">Item 5</em>: Low offer B is noneligible; apply a 20 percent factor to Offer B. Offer A is still higher than Offer B; select B.</p> <p class=" ListL1" id="FAR_25_504_4__d1660e240"> <em class="ph i">STEP 2</em>: Evaluate Offer C against the tentative award pattern for Offers A and B:</p> <div class="agov-table-wrapper"><table class="table frame-all" aria-label="Presentation Table"><colgroup><col><col><col><col><col><col><col><col></colgroup><thead class="thead"> <tr> <th class="entry CellHeading_Ctr align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__72" colspan="8" aria-label="OFFERS">OFFERS</th> </tr> <tr> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__73" aria-label="Item">Item</th> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__74" aria-label="Low Offer">Low Offer</th> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__75" colspan="3" aria-label="Tentative Award Pattern from A and B">Tentative Award Pattern from A and B</th> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__76" colspan="3" aria-label="C">C</th> </tr> </thead><tbody class="tbody"> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__73 "> <p class="p Ctr">1</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__74 "> <p class="p Ctr">A</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">$ 55,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 ">*NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 "> $60,000 </td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__73 "> <p class="p Ctr">2</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__74 "> <p class="p Ctr">B</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">EL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">$10,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 ">EL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 "> $13,000 </td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__73 "> <p class="p Ctr">3</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__74 "> <p class="p Ctr">B</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">$12,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 "> $10,000 </td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__73 "> <p class="p Ctr">4</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__74 "> <p class="p Ctr">A</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">$24,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 ">NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 "> $22,000 </td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__73 "> <p class="p Ctr">5</p> </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__74 "> <p class="p Ctr">B</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">*NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 "> <u class="ph u"> $12,000 </u> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 "> <u class="ph u">$14,000</u> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__73 "> TOTAL </td> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__74 "> <p class="p Ctr"></p> </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__75 " colspan="3">$113,000</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__72 FAR_25_504_4__d1638e95__entry__76 " colspan="3">$119,000</td> </tr> </tbody></table></div> <p class=" ListL1" id="FAR_25_504_4__d1660e374">*Offer + 20 percent.</p> <p class=" ListL1" id="FAR_25_504_4__d1660e376"> On a line item basis, apply a factor to any noneligible offer if the other offer for that line item is domestic. </p> <p class=" ListL1" id="FAR_25_504_4__d1660e378"> For Item 1, apply a factor to Offer C because Offer A is domestic and the acquisition was not covered by the WTO GPA. The evaluated price of Offer C, Item 1, becomes $60,000 ($50,000 plus 20 percent). Apply a factor to Offer B, Item 5, because it is a noneligible product and Offer C is domestic. The evaluated price of Offer B is $12,000 ($10,000 plus 20 percent). Evaluate the remaining items without applying a factor. </p> <p class=" ListL1" id="FAR_25_504_4__d1660e380"> STEP 3: The tentative unrestricted award pattern from Offers A and B is lower than the evaluated price of Offer C. Award the combination of Offers A and B. Note that if Offer C had not specified all-or-none award, award would be made on Offer C for line items 3 and 4, totaling an award of $32,000. </p> <p class=" ListL1" id="FAR_25_504_4__d1660e383"> <span class="ph autonumber">(b)</span> <em class="ph i">Example 2</em>.</p> <div class="agov-table-wrapper"><table class="table frame-all" aria-label="Presentation Table"><colgroup><col><col><col><col><col><col><col><col><col><col></colgroup><thead class="thead"> <tr> <th class="entry CellHeading_Ctr align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__121" colspan="10" aria-label="OFFERS">OFFERS</th> </tr> <tr> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__122" aria-label="Item">Item</th> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__123" colspan="3" aria-label="A">A</th> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__124" colspan="3" aria-label="B">B</th> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__d1638e95__entry__125" colspan="3" aria-label="C">C</th> </tr> </thead><tbody class="tbody"> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__122 "> <p class="p Ctr">1</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__123 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__123 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__123 ">$50,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__124 ">EL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__124 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__124 ">$50,500</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__125 ">NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__125 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__125 ">$50,000</td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__122 "> <p class="p Ctr">2</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__123 ">NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__123 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__123 ">$10,300</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__124 ">NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__124 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__124 ">$10,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__125 ">EL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__125 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__125 ">$10,200</td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__122 "> <p class="p Ctr">3</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__123 ">EL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__123 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__123 ">$20,400</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__124 ">EL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__124 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__124 ">$21,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__125 ">NEL</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__125 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__125 ">$20,200</td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__122 "> <p class="p Ctr">4</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__123 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__123 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__123 "> <u class="ph u">$10,500</u> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__124 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__124 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__124 "> <u class="ph u">$10,300</u> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__125 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__125 ">=</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__125 "> <u class="ph u">$10,400</u> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__122 "> <p class="p Ctr">TOTAL</p> </td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__123 " colspan="3">$91,200</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__124 " colspan="3">$91,800</td> <td class="entry CellBody_Right align-right colsep-1 rowsep-1" headers="FAR_25_504_4__d1638e95__entry__121 FAR_25_504_4__d1638e95__entry__125 " colspan="3">$90,800</td> </tr> </tbody></table></div> <p class=" ListL1" id="FAR_25_504_4__d1660e517"> <em class="ph i">Problem:</em> The solicitation specifies award on a group basis. Assume the Buy American statute applies and the acquisition cannot be set aside for small business concerns. All offerors are large businesses.</p> <p class=" ListL1" id="FAR_25_504_4__d1660e521"> <em class="ph i">Analysis:</em> (see <a class="xref fm:ParaNumOnly" href="#FAR_25_503" title="25.503" aria-label="25.503. Link 252">25.503</a>(c))</p> <p class=" ListL1" id="FAR_25_504_4__d1660e528"> STEP 1: Determine which of the offers are domestic (see <a class="xref fm:ParaNumOnly" href="#FAR_25_503" title="25.503" aria-label="25.503. Link 252">25.503</a>(c)(1)): </p> <div class="agov-table-wrapper"><table class="table frame-all" aria-label="Presentation Table" role="presentation"><colgroup><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry CellHeading_Ctr align-center colsep-1 rowsep-1"></td> <td class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1">Domestic [percent]</td> <td class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1">Determination</td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">A</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr" id="FAR_25_504_4__d1660e591"> $50,000 (Offer A1) + $10,500 (Offer A4) = $60,500 </p> <p class="p Ctr" id="FAR_25_504_4__id211MEJ0H05Z"> $60,500/$91,200 (Offer A Total) = 66.3% </p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">Domestic</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">B</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr" id="FAR_25_504_4__d1660e602"> $10,300 (Offer B4) /$91,800 (Offer B Total) $ = 11.2%</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">Foreign</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">C</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr" id="FAR_25_504_4__d1660e616"> $10,400 (Offer C4) /$90,800 (Offer C Total) = 11.5%</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">Foreign</p> </td> </tr> </tbody></table></div> <p class=" ListL1" id="FAR_25_504_4__d1660e577"> <em class="ph i">STEP 2</em>: Determine whether foreign offers are eligible or noneligible offers (see <a class="xref fm:ParaNumOnly" href="#FAR_25_503" title="25.503" aria-label="25.503. Link 252">25.503</a>(c)(2)):</p> <div class="agov-table-wrapper"><table class="table frame-all" aria-label="Presentation Table" role="presentation"><colgroup><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry CellHeading_Ctr align-center colsep-1 rowsep-1"></td> <td class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1">Domestic + Eligible [percent]</td> <td class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1">Determination</td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">A</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr" id="FAR_25_504_4__d1660e650"> N/A (Both Domestic) </p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">Domestic</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">B</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr" id="FAR_25_504_4__d1660e661"> $50,500 (Offer B1) + $21,000 (Offer B3) + $10,300 (Offer B4)= $81,800. </p> <p class="p Ctr" id="FAR_25_504_4__id211MEL00BY4"> $81,800 /$91,800 (Offer B Total) = 89.1% </p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">Eligible</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">C</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr" id="FAR_25_504_4__d1660e672"> $10,200 (Offer C2) + $10,400 (Offer C4) = $20,600. </p> <p class="p Ctr" id="FAR_25_504_4__id211MEM00EHS"> $20,600/$90,800 (Offer C Total) = 22.7%</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">Noneligible</p> </td> </tr> </tbody></table></div> <p class=" ListL1" id="FAR_25_504_4__d1660e630"> <em class="ph i">STEP 3:</em> Determine whether to apply an evaluation factor (see <a class="xref fm:ParaNumOnly" href="#FAR_25_503" title="25.503" aria-label="25.503. Link 252">25.503</a>(c)(3)). The low offer (Offer C) is a foreign offer. There is no eligible offer lower than the domestic offer. Therefore, apply the factor to the low offer. Addition of the 20 percent factor (use 30 percent if Offer A is a small business) to Offer C yields an evaluated price of $108,960 ($90,800 + 20 percent). Award on Offer A (see <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(c)(4)(ii)). Note that, if Offer A were greater than Offer B, an evaluation factor would not be applied, and award would be on Offer C (see <a class="xref fm:ParaNumOnly" href="#FAR_25_502" title="25.502" aria-label="25.502. Link 270">25.502</a>(c)(3)). </p> <p class=" ListL1" id="FAR_25_504_4__d1661e635"> <span class="ph autonumber">(c)</span> <em class="ph i">Example 3</em>. </p> <div class="agov-table-wrapper"><table class="table frame-all" id="FAR_25_504_4__table_325044" aria-label="Presentation Table"><colgroup><col><col><col><col><col><col><col><col><col><col></colgroup><thead class="thead"> <tr> <th class="entry CellHeading_Ctr align-center colsep-1 rowsep-1" id="FAR_25_504_4__table_325044__entry__1" colspan="10" aria-label="OFFERS">OFFERS</th> </tr> <tr> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__table_325044__entry__2" aria-label="Item">Item</th> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__table_325044__entry__3" colspan="3" aria-label="A">A</th> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__table_325044__entry__4" colspan="3" aria-label="B">B</th> <th class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1" id="FAR_25_504_4__table_325044__entry__5" colspan="3" aria-label="C">C</th> </tr> </thead><tbody class="tbody"> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__2 "> <p class="p Ctr">1</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__3 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__3 ">=</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__3 ">$17,800</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__4 ">FO (&gt;55%)</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__4 ">=</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__4 ">$16,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__5 ">FO (&gt;55%)</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__5 ">=</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__5 ">$11,200</td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__2 "> <p class="p Ctr">2</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__3 ">FO (&gt;55%)</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__3 ">=</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__3 "> $9,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__4 ">FO (&gt;55%)</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__4 ">=</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__4 "> $8,500</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__5 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__5 ">=</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__5 "> $10,200</td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__2 "> <p class="p Ctr">3</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__3 ">FO (&gt;55%)</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__3 ">=</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__3 "> $11,200</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__4 ">FO (&gt;55%)</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__4 ">=</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__4 "> $12,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__5 ">FO (&gt;55%)</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__5 ">=</td> <td class="entry CellBody_Right align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__5 "> $11,000</td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__2 "> <p class="p Ctr">4</p> </td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__3 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__3 ">=</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__3 "> $10,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__4 ">DO</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__4 ">=</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__4 "> $9,000</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__5 ">FO (&gt;55%)</td> <td class="entry CellBody_Left align-left colsep-0 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__5 ">=</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__5 "> $6,400</td> </tr> <tr> <td class="entry colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__2 "> <p class="p Ctr">Total</p> </td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__3 " colspan="3">$48,000</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__4 " colspan="3">$45,500</td> <td class="entry CellBody_Left align-left colsep-1 rowsep-1" headers="FAR_25_504_4__table_325044__entry__1 FAR_25_504_4__table_325044__entry__5 " colspan="3">$38,800.</td> </tr> </tbody></table></div> <p class=" ListL1" id="FAR_25_504_4__d1661e769"> <em class="ph i">Key:</em> </p> <p class=" ListL1" id="FAR_25_504_4__d1661e772">DO = Domestic end product (complies with the required domestic content).</p> <p class=" ListL1" id="FAR_25_504_4__d1661e774">FO &gt; 55% = Foreign end product with domestic content exceeding 55%.</p> <p class=" ListL1" id="FAR_25_504_4__d1661e776">FO &lt; 55% = Foreign end product with domestic content of 55% or less.</p> <p class=" ListL1" id="FAR_25_504_4__d1661e778"> <em class="ph i">Problem:</em> The solicitation specifies award on a group basis. Assume only the Buy American statute applies ( <em class="ph i">i.e.,</em> no trade agreements apply) and the acquisition cannot be set aside for small business concerns. All offerors are large businesses. </p> <p class=" ListL1" id="FAR_25_504_4__d1661e792"> <em class="ph i">Analysis:</em> (see <a class="xref fm:ParaNumOnly" href="#FAR_25_503" title="25.503" aria-label="25.503. Link 252">25.503</a>(d)) </p> <p class=" ListL1" id="FAR_25_504_4__d1661e785"> <em class="ph i">STEP 1:</em> Determine which of the offers are domestic (see <a class="xref fm:ParaNumOnly" href="#FAR_25_503" title="25.503" aria-label="25.503. Link 252">25.503</a>(d)(1)).</p> <div class="agov-table-wrapper"><table class="table frame-all" id="FAR_25_504_4__table_3a25044b" aria-label="Presentation Table" role="presentation"><colgroup><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry CellHeading_Ctr align-center colsep-1 rowsep-1"></td> <td class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1">Domestic [percent]</td> <td class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1">Determination</td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">A</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"> $17,800 (Offer A1) + $10,000 (Offer A4) = $27,800 </p> <p class="p Ctr"> $27,800/$48,000 (Offer A Total) = 58%</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">Domestic</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">B</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"> $9,000 (Offer B4)/$45,500 (Offer B Total) = 19.8%</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">Foreign</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">C</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"> $10,200 (Offer C2)/$38,800 (Offer C Total) = 26.3%</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">Foreign</p> </td> </tr> </tbody></table></div> <p class=" ListL1" id="FAR_25_504_4__d1661e843"></p> <p class=" ListL1"> <em class="ph i">STEP 2:</em> Determine which offer, domestic or foreign, is the low offer. If the low offer is a foreign offer, apply the evaluation factor (see 25.503(d)(2)). The low offer (Offer C) is a foreign offer. Therefore, apply the factor to the low offer. Addition of the 20 percent factor (use 30 percent if Offer A is a small business) to Offer C yields an evaluated price of $46,560 ($38,800 + 20 percent). Offer C remains the low offer. </p> <p class=" ListL1" id="FAR_25_504_4__d1661e849"> <em class="ph i">STEP 3:</em> Determine if there is a foreign offer that could be treated as a domestic offer (see <a class="xref fm:ParaNumOnly" href="#FAR_25_106" title="25.106" aria-label="25.106. Link 146">25.106</a>(b)(2) and <a class="xref fm:ParaNumOnly" href="#FAR_25_503" title="25.503" aria-label="25.503. Link 252">25.503</a>(d)(2)).</p> <div class="agov-table-wrapper"><table class="table frame-all" id="FAR_25_504_4__table3b25044c" aria-label="Presentation Table" role="presentation"><colgroup><col><col><col></colgroup><tbody class="tbody"> <tr> <td class="entry CellHeading_Ctr align-center colsep-1 rowsep-1"></td> <td class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1">Amount of domestic content (percent)</td> <td class="entry SmallCaps CellHeading_CtrSmallCaps align-center colsep-1 rowsep-1">Determination</td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">A</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"> N/A </p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">N/A</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">B</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr"> $9,000 (Offer B4)/$45,500 (Offer B Total) $ = 19.8% is domestic</p> <p class="p">AND</p> <p class="p Ctr"> $16,000 (Offer B1) + $8,500 (Offer B2) + $12,000 (Offer B3) = $36,500</p> <p class="p">$36,500/$45,500 (Offer B Total) = 80.2% can be treated as domestic</p> <p class="p">19.8% + 80.2% = 100% is domestic or can be treated as domestic</p> </td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">Can be treated as domestic.</p> </td> </tr> <tr> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">C</p> </td> <td class="entry colsep-1 rowsep-1">$10,200 (Offer C2)/$38,800 (Offer C Total) = 26.3% is domestic</td> <td class="entry colsep-1 rowsep-1"> <p class="p Ctr">Noneligible</p> </td> </tr> </tbody></table></div> <p class=" ListL1" id="FAR_25_504_4__d1661e908"> <em class="ph i">STEP 4:</em> If there is a foreign offer that could be treated as a domestic offer, compare the evaluated price of the low offer to the price of the offer treated as domestic ( <em class="ph i">see</em> <a class="xref fm:ParaNumOnly" href="#FAR_25_503" title="25.503" aria-label="25.503. Link 252">25.503</a>(d)(3)). Offer B can be treated as a domestic offer ($45,500). The evaluated price of the low offer (Offer C) is $46,560. Award on Offer B. </p> </div> </article> </article> </article> <article class="topic nested1" aria-labelledby="ariaid-title54" id="FAR_Subpart_25_6"> <h2 class="title topictitle2 Subpart" id="ariaid-title54"> <span class="ph autonumber">Subpart 25.6</span> - American Recovery and Reinvestment Act-Buy American statute-Construction Materials</h2> <article class="topic nested2" aria-labelledby="ariaid-title55" id="FAR_25_600"> <h3 class="title topictitle3" id="ariaid-title55"> <span class="ph autonumber">25.600</span> Scope of subpart.</h3> <div class="body"> <p class="p">This subpart implements section 1605 in Division A of the American Recovery and Reinvestment Act of 2009 (Pub. L. 111-5) (Recovery Act) with regard to manufactured construction material and the <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid%3AUSC-prelim-title41-chapter83&amp;saved=%7CZ3JhbnVsZWlkOlVTQy1wcmVsaW0tdGl0bGU0MC1jaGFwdGVyMzctZnJvbnQ%3D%7C%7C%7C0%7Cfalse%7Cprelim&amp;edition=prelim" target="_blank" title="41 U.S.C. chapter 83" aria-label="41 U.S.C. chapter 83. Link 93">41 U.S.C. chapter 83</a>, Buy American (referred to in this subpart as the Buy American statute) with regard to unmanufactured construction material. It applies to construction projects that use funds appropriated or otherwise provided by the Recovery Act.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title56" id="FAR_25_601"> <h3 class="title topictitle3" id="ariaid-title56"> <span class="ph autonumber">25.601</span> Definitions.</h3> <div class="body conbody"> <p class="p">As used in this subpart-</p> <p class="p"> <em class="ph i _25.601d1667e18 Term">Domestic construction material</em> means the following: </p><p class=" ListL2" id="FAR_25_601__d1663e18"> <span class="ph autonumber">(1)</span> An unmanufactured construction material mined or produced in the United States. (The Buy American statute applies.)</p> <p class=" ListL2" id="FAR_25_601__d1663e23"> <span class="ph autonumber">(2)</span> A manufactured construction material that is manufactured in the United States and, if the construction material consists wholly or predominantly of iron or steel, the iron or steel was produced in the United States. (Section 1605 of the Recovery Act applies.)</p> <p class="p" id="FAR_25_601__d1663e27"> <em class="ph i _25.601d1667e46 Term">Foreign construction material</em> means a construction material other than a domestic construction material.</p> <p class="p" id="FAR_25_601__d1663e31"> <em class="ph i _25.601d1667e52 Term">Manufactured construction material</em> means any construction material that is not unmanufactured construction material.</p> <p class="p" id="FAR_25_601__d1663e35"> <em class="ph i _25.601d1667e58 Term">Public building or public work</em> means a building or work, the construction, prosecution, completion, or repair of which is carried on directly or indirectly by authority of, or with funds of, a Federal agency to serve the interest of the general public regardless of whether title thereof is in a Federal agency (see <a class="xref fm:ParaNumOnly" href="/far/part-22#FAR_22_401" title="22.401" aria-label="22.401. Link 310">22.401</a>). These buildings and works may include, without limitation, bridges, dams, plants, highways, parkways, streets, subways, tunnels, sewers, mains, power lines, pumping stations, heavy generators, railways, airports, terminals, docks, piers, wharves, ways, lighthouses, buoys, jetties, breakwaters, levees, and canals, and the construction, alteration, maintenance, or repair of such buildings and works.</p> <p class="p" id="FAR_25_601__d1663e42"> <em class="ph i _25.601d1667e67 Term">Recovery Act designated country</em> means a World Trade Organization Government Procurement Agreement country, a Free Trade Agreement country, or a least developed country.</p> <p class="p"></p> <p class="p" id="FAR_25_601__d1663e49"> <em class="ph i _25.601d1667e80 Term">Unmanufactured construction material</em> means raw material brought to the construction site for incorporation into the building or work that has not been- </p><p class=" ListL2" id="FAR_25_601__d1663e55"> <span class="ph autonumber">(1)</span> Processed into a specific form and shape; or</p> <p class=" ListL2" id="FAR_25_601__d1663e60"> <span class="ph autonumber">(2)</span> Combined with other raw material to create a material that has different properties than the properties of the individual raw materials.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title57" id="FAR_25_602"> <h3 class="title topictitle3" id="ariaid-title57"> <span class="ph autonumber">25.602</span> Policy.</h3> <article class="topic concept nested3" aria-labelledby="ariaid-title58" id="FAR_25_602_1"> <h4 class="title topictitle4" id="ariaid-title58"> <span class="ph autonumber">25.602-1</span> Section 1605 of the Recovery Act.</h4> <div class="body conbody"> <p class="p" id="FAR_25_602_1__d1673e8">Except as provided in <a class="xref fm:ParaNumOnly" href="#FAR_25_603" title="25.603" aria-label="25.603. Link 311">25.603</a>-</p> <p class=" ListL1" id="FAR_25_602_1__d1665e15"> <span class="ph autonumber">(a)</span> None of the funds appropriated or otherwise made available by the Recovery Act may be used for a project for the construction, alteration, maintenance, or repair of a public building or public work unless the public building or public work is located in the United States and-</p> <p class=" ListL2" id="FAR_25_602_1__d1665e21"> <span class="ph autonumber">(1)</span> All of the iron, steel, and manufactured goods used as construction material in the project are produced or manufactured in the United States.</p> <p class=" ListL3" id="FAR_25_602_1__d1665e27"> <span class="ph autonumber">(i)</span> All manufactured construction material must be manufactured in the United States.</p> <p class="p"></p><p class="Runin RuninRestart ListL3" id="FAR_25_602_1__d1665e32"> <span class="ph autonumber">(ii)</span> <em class="ph i">Iron or steel components</em>.</p> <p class="RuninChild ListL4" id="FAR_25_602_1__d1665e40"> <span class="ph autonumber">(A)</span> Iron or steel components of construction material consisting wholly or predominantly of iron or steel must be produced in the United States. This does not restrict the origin of the elements of the iron or steel, but requires that all manufacturing processes of the iron or steel must take place in the United States, except metallurgical processes involving refinement of steel additives.</p> <p class=" ListL4" id="FAR_25_602_1__d1665e45"> <span class="ph autonumber">(B)</span> The requirement in paragraph (a)(1)(ii)(A) of this section does not apply to iron or steel components or subcomponents in construction material that does not consist wholly or predominantly of iron or steel.</p> <p class=" ListL3" id="FAR_25_602_1__d1665e50"> <span class="ph autonumber">(iii)</span> <em class="ph i">All other components</em>. There is no restriction on the origin or place of production or manufacture of components or subcomponents that do not consist of iron or steel.</p> <p class="p"></p><p class="Runin RuninRestart ListL3" id="FAR_25_602_1__d1665e57"> <span class="ph autonumber">(iv)</span> <em class="ph i">Examples</em>.</p> <p class="RuninChild ListL4" id="FAR_25_602_1__d1665e65"> <span class="ph autonumber">(A)</span> If a steel guardrail consists predominantly of steel, even though coated with aluminum, then the steel would be subject to the section 1605 restriction requiring that all stages of production of the steel occur in the United States, in addition to the requirement to manufacture the guardrail in the United States. There would be no restrictions on the other components of the guardrail.</p> <p class=" ListL4" id="FAR_25_602_1__d1665e70"> <span class="ph autonumber">(B)</span> If a wooden window frame is delivered to the site as a single construction material, there is no restriction on any of the components, including the steel lock on the window frame; or</p> <p class=" ListL2" id="FAR_25_602_1__d1665e75"> <span class="ph autonumber">(2)</span> If trade agreements apply, the manufactured construction material shall either comply with the requirements of paragraph (a)(1) of this subsection, or be wholly the product of or be substantially transformed in a Recovery Act designated country;</p> <p class=" ListL1" id="FAR_25_602_1__d1665e80"> <span class="ph autonumber">(b)</span> Manufactured materials purchased directly by the Government and delivered to the site for incorporation into the project shall meet the same domestic source requirements as specified for manufactured construction material in paragraphs (a)(1) and (a)(2) of this section; and</p> <p class=" ListL1" id="FAR_25_602_1__d1665e85"> <span class="ph autonumber">(c)</span> A project may include several contracts, a single contract, or one or more line items on a contract.</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title59" id="FAR_25_602_2"> <h4 class="title topictitle4" id="ariaid-title59"> <span class="ph autonumber">25.602-2</span> Buy American statute</h4> <div class="body conbody"> <p class="p" id="FAR_25_602_2__d1674e8">Except as provided in <a class="xref fm:ParaNumOnly" href="#FAR_25_603" title="25.603" aria-label="25.603. Link 311">25.603</a>, use only unmanufactured construction material mined or produced in the United States, as required by the Buy American statute or, if trade agreements apply, unmanufactured construction material mined or produced in a designated country may also be used.</p> </div> </article> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title60" id="FAR_25_603"> <h3 class="title topictitle3" id="ariaid-title60"> <span class="ph autonumber">25.603</span> Exceptions.</h3> <div class="body conbody"> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_603__d1667e10"> <span class="ph autonumber">(a)</span> </p> <p class="RuninChild ListL2" id="FAR_25_603__d1667e15"> <span class="ph autonumber">(1)</span> When one of the following exceptions applies, the contracting officer may allow the contractor to incorporate foreign manufactured construction materials without regard to the restrictions of section 1605 of the Recovery Act or foreign unmanufactured construction material without regard to the restrictions of the Buy American statute:</p> <p class=" ListL3" id="FAR_25_603__d1667e21"> <span class="ph autonumber">(i)</span> <em class="ph i">Nonavailability</em>. The head of the contracting activity may determine that a particular construction material is not mined, produced, or manufactured in the United States in sufficient and reasonably available commercial quantities of a satisfactory quality. The determinations of nonavailability of the articles listed at <a class="xref fm:ParaNumOnly" href="#FAR_25_104" title="25.104" aria-label="25.104. Link 141">25.104</a>(a) and the procedures at <a class="xref fm:ParaNumOnly" href="#FAR_25_103" title="25.103" aria-label="25.103. Link 133">25.103</a>(b)(1) also apply if any of those articles are acquired as construction materials.</p> <p class=" ListL3" id="FAR_25_603__d1667e34"> <span class="ph autonumber">(ii)</span> <em class="ph i">Unreasonable cost</em>. The contracting officer concludes that the cost of domestic construction material is unreasonable in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_605" title="25.605" aria-label="25.605. Link 315">25.605</a>.</p> <p class=" ListL3" id="FAR_25_603__d1667e44"> <span class="ph autonumber">(iii)</span> <em class="ph i">Inconsistent with public interest</em>. The head of the agency may determine that application of the restrictions of section 1605 of the Recovery Act to a particular manufactured construction material, or the restrictions of the Buy American statute to a particular unmanufactured construction material would be inconsistent with the public interest.</p> <p class=" ListL2" id="FAR_25_603__d1667e51"> <span class="ph autonumber">(2)</span> In addition, the head of the agency may determine that application of the Buy American statute to a particular unmanufactured construction material would be impracticable.</p> <p class=" ListL1" id="FAR_25_603__d1667e56"> <span class="ph autonumber">(b)</span> <em class="ph i">Determinations</em>. When a determination is made, for any of the reasons stated in this section, that certain foreign construction materials may be used-</p> <p class=" ListL2" id="FAR_25_603__d1667e64"> <span class="ph autonumber">(1)</span> The contracting officer shall list the excepted materials in the contract; and</p> <p class=" ListL2" id="FAR_25_603__d1667e69"> <span class="ph autonumber">(2)</span> For determinations with regard to the inapplicability of section 1605 of the Recovery Act, unless the construction material has already been determined to be domestically nonavailable (see list at <a class="xref fm:ParaNumOnly" href="#FAR_25_104" title="25.104" aria-label="25.104. Link 141">25.104</a>), the head of the agency shall provide a notice to the Federal Register within three business days after the determination is made, with a copy to the Administrator for Federal Procurement Policy and to the Recovery Accountability and Transparency Board. The notice shall include-</p> <p class=" ListL3" id="FAR_25_603__d1667e78"> <span class="ph autonumber">(i)</span> The title "Buy American Exception under the American Recovery and Reinvestment Act of 2009";</p> <p class=" ListL3" id="FAR_25_603__d1667e83"> <span class="ph autonumber">(ii)</span> The dollar value and brief description of the project; and</p> <p class=" ListL3" id="FAR_25_603__d1667e88"> <span class="ph autonumber">(iii)</span> A detailed justification as to why the restriction is being waived.</p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_603__d1667e93"> <span class="ph autonumber">(c)</span> <em class="ph i">Acquisitions under trade agreements</em>.</p> <p class="RuninChild ListL2" id="FAR_25_603__d1667e101"> <span class="ph autonumber">(1)</span> For construction contracts with an estimated acquisition value of $6,708,000 or more, also see subpart <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_4" title="25.4" aria-label="25.4. Link 108">25.4</a>. Offers proposing the use of construction material from a designated country shall receive equal consideration with offers proposing the use of domestic construction material.</p> <p class=" ListL2" id="FAR_25_603__d1667e109"> <span class="ph autonumber">(2)</span> For purposes of applying section 1605 of the Recovery Act to evaluation of manufactured construction material, designated countries do not include the Caribbean Basin Countries.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title61" id="FAR_25_604"> <h3 class="title topictitle3" id="ariaid-title61"> <span class="ph autonumber">25.604</span> Preaward determination concerning the inapplicability of section 1605 of the Recovery Act or the Buy American statute.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_604__d1668e10"> <span class="ph autonumber">(a)</span> For any acquisition, an offeror may request from the contracting officer a determination concerning the inapplicability of section 1605 of the Recovery Act or the Buy American statute for specifically identified construction materials. The time for submitting the request is specified in the solicitation in paragraph (b) of either <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_22" title="52.225-22" aria-label="52.225-22. Link 318">52.225-22</a> or <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_24" title="52.225-24" aria-label="52.225-24. Link 319">52.225-24</a>, whichever applies. The information and supporting data that must be included in the request are also specified in the solicitation in paragraphs (c) and (d) of either <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_21" title="52.225-21" aria-label="52.225-21. Link 320">52.225-21</a> or <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_23" title="52.225-23" aria-label="52.225-23. Link 321">52.225-23</a>, whichever applies.</p> <p class=" ListL1" id="FAR_25_604__d1668e27"> <span class="ph autonumber">(b)</span> Before award, the contracting officer must evaluate all requests based on the information provided and may supplement this information with other readily available information.</p> <p class=" ListL1" id="FAR_25_604__d1668e32"> <span class="ph autonumber">(c)</span> Determination based on unreasonable cost of domestic construction material.</p> <p class=" ListL2" id="FAR_25_604__d1668e38"> <span class="ph autonumber">(1)</span> <em class="ph i">Manufactured construction material</em>. The contracting officer must compare the offered price of the contract using foreign manufactured construction material (<em class="ph i">i.e.</em>, any construction material not manufactured in the United States, or construction material consisting predominantly of iron or steel and the iron or steel is not produced in the United States) to the estimated price if all domestic manufactured construction material were used. If use of domestic manufactured construction material would increase the overall offered price of the contract by more than 25 percent, then the contracting officer shall determine that the cost of the domestic manufactured construction material is unreasonable</p> <p class=" ListL2" id="FAR_25_604__d1668e48"> <span class="ph autonumber">(2)</span> <em class="ph i">Unmanufactured construction material</em>. The contracting officer must compare the cost of each foreign unmanufactured construction material to the cost of domestic unmanufactured construction material. If the cost of the domestic unmanufactured construction material exceeds the cost of the foreign unmanufactured construction material by more than 20 percent, then the contracting officer shall determine that the cost of the domestic unmanufactured construction material is unreasonable.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title62" id="FAR_25_605"> <h3 class="title topictitle3" id="ariaid-title62"> <span class="ph autonumber">25.605</span> Evaluating offers of foreign construction material.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_605__d1669e10"> <span class="ph autonumber">(a)</span> If the contracting officer has determined that an exception applies because the cost of certain domestic construction material is unreasonable, in accordance with section <a class="xref fm:ParaNumOnly" href="#FAR_25_604" title="25.604" aria-label="25.604. Link 322">25.604</a>, then the contracting officer shall apply evaluation factors to the offer incorporating the use of such foreign construction material as follows:</p> <p class=" ListL2" id="FAR_25_605__d1669e19"> <span class="ph autonumber">(1)</span> Use an evaluation factor of 25 percent, applied to the total offered price of the contract, if foreign manufactured construction material is incorporated in the offer based on an exception for unreasonable cost of comparable domestic construction material requested by the offeror.</p> <p class=" ListL2" id="FAR_25_605__d1669e24"> <span class="ph autonumber">(2)</span> In addition, use an evaluation factor of 20 percent applied to the cost of foreign unmanufactured construction material incorporated in the offer based on an exception for unreasonable cost of comparable domestic unmanufactured construction material requested by the offeror.</p> <p class=" ListL2" id="FAR_25_605__d1669e29"> <span class="ph autonumber">(3)</span> Total evaluated price = offered price + (.25 x offered price, if (a)(1) applies) + (.20 x cost of foreign unmanufactured construction material, if (a)(2) applies).</p> <p class=" ListL1" id="FAR_25_605__d1669e34"> <span class="ph autonumber">(b)</span> If the solicitation specifies award on the basis of factors in addition to cost or price, apply the evaluation factors as specified in paragraph (a) of this section and use the evaluated price in determining the offer that represents the best value to the Government</p> <p class=" ListL1" id="FAR_25_605__d1669e39"> <span class="ph autonumber">(c)</span> Unless paragraph (b) applies, if two or more offers are equal in price, the contracting officer must give preference to an offer that does not include foreign construction material excepted at the request of the offeror on the basis of unreasonable cost.</p> <p class=" ListL1" id="FAR_25_605__d1669e44"> <span class="ph autonumber">(d)</span> Offerors also may submit alternate offers based on use of equivalent domestic construction material to avoid possible rejection of the entire offer if the Government determines that an exception permitting use of a particular foreign construction material does not apply.</p> <p class=" ListL1" id="FAR_25_605__d1669e49"> <span class="ph autonumber">(e)</span> If the contracting officer awards a contract to an offeror that proposed foreign construction material not listed in the applicable clause in the solicitation (paragraph (b)(3) of <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_21" title="52.225-21" aria-label="52.225-21. Link 320">52.225-21</a>, or paragraph (b)(3) of <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_23" title="52.225-23" aria-label="52.225-23. Link 321">52.225-23</a>), the contracting officer must add the excepted materials to the list in the contract clause.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title63" id="FAR_25_606"> <h3 class="title topictitle3" id="ariaid-title63"> <span class="ph autonumber">25.606</span> Postaward determinations.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_606__d1670e10"> <span class="ph autonumber">(a)</span> If a contractor requests a determination regarding the inapplicability of section 1605 of the Recovery Act or the Buy American statute after contract award, the contractor must explain why it could not request the determination before contract award or why the need for such determination otherwise was not reasonably foreseeable. If the contracting officer concludes that the contractor should have made the request before contract award, the contracting officer may deny the request.</p> <p class=" ListL1" id="FAR_25_606__d1670e15"> <span class="ph autonumber">(b)</span> The contracting officer must base evaluation of any request for a determination regarding the inapplicability of section 1605 of the Recovery Act or the Buy American statute made after contract award on information required by paragraphs (c) and (d) of the applicable clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_21" title="52.225-21" aria-label="52.225-21. Link 320">52.225-21</a> or <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_23" title="52.225-23" aria-label="52.225-23. Link 321">52.225-23</a> and/or other readily available information.</p> <p class=" ListL1" id="FAR_25_606__d1670e26"> <span class="ph autonumber">(c)</span> If a determination, under <a class="xref fm:ParaNumOnly" href="#FAR_25_603" title="25.603" aria-label="25.603. Link 311">25.603</a>(a), is made after contract award that an exception to section 1605 of the Recovery Act or to the Buy American statute applies, the contracting officer must negotiate adequate consideration and modify the contract to allow use of the foreign construction material. When the basis for the exception is the unreasonable cost of a domestic construction material, adequate consideration is at least the differential established in <a class="xref fm:ParaNumOnly" href="#FAR_25_605" title="25.605" aria-label="25.605. Link 315">25.605</a>(a).</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title64" id="FAR_25_607"> <h3 class="title topictitle3" id="ariaid-title64"> <span class="ph autonumber">25.607</span> Noncompliance.</h3> <div class="body conbody"> <p class="p">The contracting officer must-</p> <p class=" ListL1" id="FAR_25_607__d1671e12"> <span class="ph autonumber">(a)</span> Review allegations of violations of section 1605 of the Recovery Act or Buy American statute;</p> <p class=" ListL1" id="FAR_25_607__d1671e17"> <span class="ph autonumber">(b)</span> Unless fraud is suspected, notify the contractor of the apparent unauthorized use of foreign construction material and request a reply, to include proposed corrective action; and</p> <p class=" ListL1" id="FAR_25_607__d1671e22"> <span class="ph autonumber">(c)</span> If the review reveals that a contractor or subcontractor has used foreign construction material without authorization, take appropriate action, including one or more of the following:</p> <p class=" ListL2" id="FAR_25_607__d1671e28"> <span class="ph autonumber">(1)</span> Process a determination concerning the inapplicability of section 1605 of the Recovery Act or the Buy American statute in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_606" title="25.606" aria-label="25.606. Link 329">25.606</a>.</p> <p class=" ListL2" id="FAR_25_607__d1671e36"> <span class="ph autonumber">(2)</span> Consider requiring the removal and replacement of the unauthorized foreign construction material.</p> <p class=" ListL2" id="FAR_25_607__d1671e41"> <span class="ph autonumber">(3)</span> If removal and replacement of foreign construction material incorporated in a building or work would be impracticable, cause undue delay, or otherwise be detrimental to the interests of the Government, the contracting officer may determine in writing that the foreign construction material need not be removed and replaced. A determination to retain foreign construction material does not constitute a determination that an exception to section 1605 of the Recovery Act or the Buy American statute applies, and this should be stated in the determination. Further, a determination to retain foreign construction material does not affect the Government&rsquo;s right to suspend or debar a contractor, subcontractor, or supplier for violation of section 1605 of the Recovery Act or the Buy American statute, or to exercise other contractual rights and remedies, such as reducing the contract price or terminating the contract for default.</p> <p class=" ListL2" id="FAR_25_607__d1671e46"> <span class="ph autonumber">(4)</span> If the noncompliance is sufficiently serious, consider exercising appropriate contractual remedies, such as terminating the contract for default. Also consider preparing and forwarding a report to the agency <span class="ph FAC 2025-03 January 17, 2025">suspending and debarring</span> official in accordance with subpart <a class="xref fm:ParaNumOnly" href="/far/part-9#FAR_Subpart_9_4" title="9.4" aria-label="9.4. Link 330">9.4</a>. If the noncompliance appears to be fraudulent, refer the matter to other appropriate agency officials, such as the agency&rsquo;s inspector general or the officer responsible for criminal investigation.</p> </div> </article> </article> <article class="topic nested1" aria-labelledby="ariaid-title65" id="FAR_Subpart_25_7"> <h2 class="title topictitle2 Subpart" id="ariaid-title65"> <span class="ph autonumber">Subpart 25.7</span> - Prohibited Sources</h2> <article class="topic nested2" aria-labelledby="ariaid-title66" id="FAR_25_700"> <h3 class="title topictitle3" id="ariaid-title66"> <span class="ph autonumber">25.700</span> Scope of subpart.</h3> <div class="body"> <p class="p">This subpart implements-</p> <p class=" ListL1" id="FAR_25_700__d1673e12"> <span class="ph autonumber">(a)</span> Economic sanctions administered by the Office of Foreign Assets Control (OFAC) in the Department of the Treasury prohibiting transactions involving certain countries, entities, and individuals;</p> <p class=" ListL1" id="FAR_25_700__d1673e17"> <span class="ph autonumber">(b)</span> The Sudan Accountability and Divestment Act of 2007 (Pub. L. 110-174) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title50-section1701&amp;num=0&amp;edition=prelim" target="_blank" title="50 U.S.C. 1701" aria-label="50 U.S.C. 1701. Link 331">50 U.S.C. 1701</a> note);</p> <p class=" ListL1" id="FAR_25_700__d1673e25"> <span class="ph autonumber">(c)</span> The Iran Sanctions Act of 1996 (Iran Sanctions Act) (Pub. L. 104-172; <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title50-section1701&amp;num=0&amp;edition=prelim" target="_blank" title="50 U.S.C. 1701" aria-label="50 U.S.C. 1701. Link 331">50 U.S.C. 1701</a> note), including amendments by the Iran Freedom Support Act (Pub. L. 109-293), section 102 of the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010 (Pub. L. 111-195), and Titles II and III of the Iran Threat Reduction and Syria Human Rights Act of 2012 (Pub. L. 112-158); and</p> <p class=" ListL1" id="FAR_25_700__d1673e30"> <span class="ph autonumber">(d)</span> Prohibition against contracting with entities that export sensitive technologies to Iran ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title22-section8515&amp;num=0&amp;edition=prelim" target="_blank" title="22 U.S.C. 8515" aria-label="22 U.S.C. 8515. Link 333">22 U.S.C. 8515</a>).</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title67" id="FAR_25_701"> <h3 class="title topictitle3" id="ariaid-title67"> <span class="ph autonumber">25.701</span> Restrictions administered by the Department of the Treasury on acquisitions of supplies or services from prohibited sources.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_701__d1674e10"> <span class="ph autonumber">(a)</span> Except as authorized by OFAC, agencies and their contractors and subcontractors must not acquire any supplies or services if any proclamation, Executive order, or statute administered by OFAC, or if OFAC&rsquo;s implementing regulations at 31 CFR Chapter V, would prohibit such a transaction by a person subject to the jurisdiction of the United States.</p> <p class=" ListL1" id="FAR_25_701__d1674e15"> <span class="ph autonumber">(b)</span> Except as authorized by OFAC, most transactions involving Cuba, Iran, and Sudan are prohibited, as are most imports from Burma or North Korea into the United States or its outlying areas. In addition, lists of entities and individuals subject to economic sanctions are included in OFAC&rsquo;s List of Specially Designated Nationals and Blocked Persons at <a class="xref" href="https://ofac.treasury.gov/specially-designated-nationals-and-blocked-persons-list-sdn-human-readable-lists" target="_blank" title="https://ofac.treasury.gov/specially-designated-nationals-and-blocked-persons-list-sdn-human-readable-lists" aria-label="https://ofac.treasury.gov/specially-designated-nationals-and-blocked-persons-list-sdn-human-readable-lists. Link 334">https://ofac.treasury.gov/specially-designated-nationals-and-blocked-persons-list-sdn-human-readable-lists</a>. More information about these restrictions, as well as updates, is available in OFAC&rsquo;s regulations at 31 CFR Chapter V and/or on OFAC&rsquo;s website at <a class="xref" href="https://ofac.treasury.gov/" target="_blank" title="https://ofac.treasury.gov/" aria-label="https://ofac.treasury.gov/. Link 335">https://ofac.treasury.gov/</a>. </p> <p class=" ListL1" id="FAR_25_701__d1674e26"> <span class="ph autonumber">(c)</span> Refer questions concerning the restrictions in paragraphs (a) or (b) of this section to the-</p> <p class=" ListL1" id="FAR_25_701__d1674e30">Department of the Treasury Office of Foreign Assets Control Washington, DC 20220 (Telephone (202) 622-2490).</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title68" id="FAR_25_702"> <h3 class="title topictitle3" id="ariaid-title68"> <span class="ph autonumber">25.702</span> Prohibition on contracting with entities that conduct restricted business operations in Sudan.</h3> <article class="topic concept nested3" aria-labelledby="ariaid-title69" id="FAR_25_702_1"> <h4 class="title topictitle4" id="ariaid-title69"> <span class="ph autonumber">25.702-1</span> Definitions.</h4> <div class="body conbody"> <p class="p">As used in this section-</p> <p class="p"> <em class="ph i _25.702-1d1680e18 Term">Appropriate Congressional committees</em> means- </p><p class=" ListL2" id="FAR_25_702_1__d1676e18"> <span class="ph autonumber">(1)</span> The Committee on Banking, Housing, and Urban Affairs, The Committee on Foreign Relations, and the Select Committee on Intelligence of the Senate; and</p> <p class=" ListL2" id="FAR_25_702_1__d1676e23"> <span class="ph autonumber">(2)</span> The Committee on Financial Services, the Committee on Foreign Relations, and the Permanent Select Committee on Intelligence of the House of Representatives.</p> <p class="p" id="FAR_25_702_1__d1668e42"> <em class="ph i _25.702-1d1680e51 Term">Business operations</em> means engaging in commerce in any form, including by acquiring, developing, maintaining, owning, selling, possessing, leasing, or operating equipment, facilities, personnel, products, services, personal property, real property, or any other apparatus of business or commerce.</p> <p class="p" id="FAR_25_702_1__d1668e45"> <em class="ph i _25.702-1d1680e57 Term">Marginalized populations of Sudan</em> means- </p><p class=" ListL2" id="FAR_25_702_1__d1676e39"> <span class="ph autonumber">(1)</span> Adversely affected groups in regions authorized to receive assistance under section 8(c) of the Darfur Peace and Accountability Act (Pub. L. 109-344) ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title50-section1701&amp;num=0&amp;edition=prelim" target="_blank" title="50 U.S.C. 1701" aria-label="50 U.S.C. 1701. Link 331">50 U.S.C. 1701</a> note); and</p> <p class=" ListL2" id="FAR_25_702_1__d1676e47"> <span class="ph autonumber">(2)</span> Marginalized areas in Northern Sudan described in section 4(9) of such Act.</p> <p class="p" id="FAR_25_702_1__d1668e72"> <em class="ph i _25.702-1d1680e94 Term">Restricted business operations</em>- </p><p class=" ListL2" id="FAR_25_702_1__d1676e59"> <span class="ph autonumber">(1)</span> Means, except as provided in paragraph (2) of this definition, business operations in Sudan that include power production activities, mineral extraction activities, oil-related activities, or the production of military equipment, as those terms are defined in the Sudan Accountability and Divestment Act of 2007 (Pub. L. 110-174).</p> <p class=" ListL2" id="FAR_25_702_1__d1676e64"> <span class="ph autonumber">(2)</span> Does not include business operations that the person (as that term is defined in Section 2 of the Sudan Accountability and Divestment Act of 2007) conducting the business can demonstrate-</p> <p class=" ListL3" id="FAR_25_702_1__d1676e70"> <span class="ph autonumber">(i)</span> Are conducted under contract directly and exclusively with the regional government of southern Sudan;</p> <p class=" ListL3" id="FAR_25_702_1__d1676e75"> <span class="ph autonumber">(ii)</span> Are conducted pursuant to specific authorization from the Office of Foreign Assets Control in the Department of the Treasury, or are expressly exempted under Federal law from the requirement to be conducted under such authorization;</p> <p class=" ListL3" id="FAR_25_702_1__d1676e80"> <span class="ph autonumber">(iii)</span> Consist of providing goods or services to marginalized populations of Sudan;</p> <p class=" ListL3" id="FAR_25_702_1__d1676e85"> <span class="ph autonumber">(iv)</span> Consist of providing goods or services to an internationally recognized peacekeeping force or humanitarian organization;</p> <p class=" ListL3" id="FAR_25_702_1__d1676e90"> <span class="ph autonumber">(v)</span> Consist of providing goods or services that are used only to promote health or education; or</p> <p class=" ListL3" id="FAR_25_702_1__d1676e95"> <span class="ph autonumber">(vi)</span> Have been voluntarily suspended.</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title70" id="FAR_25_702_2"> <h4 class="title topictitle4" id="ariaid-title70"> <span class="ph autonumber">25.702-2</span> Certification.</h4> <div class="body conbody"> <p class="p">As required by the Sudan Accountability and Divestment Act of 2007 (Pub. L. 110-174), each offeror must certify that it does not conduct restricted business operations in Sudan.</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title71" id="FAR_25_702_3"> <h4 class="title topictitle4" id="ariaid-title71"> <span class="ph autonumber">25.702-3</span> Remedies.</h4> <div class="body conbody"> <p class="p" id="FAR_25_702_3__d1686e8">Upon the determination of a false certification under subsection <a class="xref fm:ParaNumOnly" href="#FAR_25_702_2" title="25.702-2" aria-label="25.702-2. Link 337">25.702-2</a>-</p> <p class=" ListL1" id="FAR_25_702_3__d1678e15"> <span class="ph autonumber">(a)</span> The contracting officer may terminate the contract;</p> <p class=" ListL1" id="FAR_25_702_3__d1678e20"> <span class="ph autonumber">(b)</span> The <span class="ph FAC 2025-03 January 17, 2025">suspending and debarring official</span> may suspend the contractor in accordance with the procedures in <span class="ph FAC 2025-03 January 17, 2025"> <a class="xref fm:Subpart" href="/far/part-9#FAR_Subpart_9_4" title="subpart&nbsp; 9.4" aria-label="subpart聽 9.4. Link 200">subpart&nbsp; 9.4</a>;</span> and</p> <p class=" ListL1" id="FAR_25_702_3__d1678e28"> <span class="ph autonumber">(c)</span> <span class="ph FAC 2025-03 January 17, 2025">The suspending and debarring</span> may debar the contractor for a period not to exceed 3 years in accordance with the procedures in <span class="ph FAC 2025-03 January 17, 2025"> <a class="xref fm:Subpart" href="/far/part-9#FAR_Subpart_9_4" title="subpart&nbsp; 9.4" aria-label="subpart聽 9.4. Link 200">subpart&nbsp; 9.4</a>.</span> </p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title72" id="FAR_25_702_4"> <h4 class="title topictitle4" id="ariaid-title72"> <span class="ph autonumber">25.702-4</span> Waiver.</h4> <div class="body conbody"> <p class=" ListL1" id="FAR_25_702_4__d1679e10"> <span class="ph autonumber">(a)</span> The President may waive the requirement of subsection <a class="xref fm:ParaNumOnly" href="#FAR_25_702_2" title="25.702-2" aria-label="25.702-2. Link 337">25.702-2</a> on a case-by-case basis if the President determines and certifies in writing to the appropriate congressional committees that it is in the national interest to do so.</p> <p class=" ListL1" id="FAR_25_702_4__d1679e18"> <span class="ph autonumber">(b)</span> An agency seeking waiver of the requirement shall submit the request to the Administrator of the Office of Federal Procurement Policy (OFPP), allowing sufficient time for review and approval. Upon receipt of the waiver request, OFPP shall consult with the President&rsquo;s National Security Council, Office of African Affairs, and the Department of State Sudan Office and Sanctions Office to assess foreign policy aspects of making a national interest recommendation.</p> <p class=" ListL1" id="FAR_25_702_4__d1679e23"> <span class="ph autonumber">(c)</span> Agencies may request a waiver on an individual or class basis; however, waivers are not indefinite and can be cancelled if warranted.</p> <p class=" ListL2" id="FAR_25_702_4__d1679e29"> <span class="ph autonumber">(1)</span> A class waiver may be requested only when the class of supplies is not available from any other source and it is in the national interest.</p> <p class=" ListL2" id="FAR_25_702_4__d1679e34"> <span class="ph autonumber">(2)</span> Prior to submitting the waiver request, the request must be reviewed and cleared by the agency head.</p> <p class=" ListL2" id="FAR_25_702_4__d1679e39"> <span class="ph autonumber">(3)</span> All waiver requests must include the following information:</p> <p class=" ListL3" id="FAR_25_702_4__d1679e45"> <span class="ph autonumber">(i)</span> Agency name, complete mailing address, and point of contact name, telephone number, and email address;</p> <p class=" ListL3" id="FAR_25_702_4__d1679e50"> <span class="ph autonumber">(ii)</span> Offeror&rsquo;s name, complete mailing address, and point of contact name, telephone number, and email address;</p> <p class=" ListL3" id="FAR_25_702_4__d1679e55"> <span class="ph autonumber">(iii)</span> Description/nature of product or service;</p> <p class=" ListL3" id="FAR_25_702_4__d1679e60"> <span class="ph autonumber">(iv)</span> The total cost and length of the contract;</p> <p class=" ListL3" id="FAR_25_702_4__d1679e65"> <span class="ph autonumber">(v)</span> Justification, with market research demonstrating that no other offeror can provide the product or service and stating why the product or service must be procured from this offeror, as well as why it is in the national interest for the President to waive the prohibition on contracting with this offeror that conducts restricted business operations in Sudan, including consideration of foreign policy aspects identified in consultation(s) pursuant to <a class="xref fm:ParaNumOnly" href="#FAR_25_702_4" title="25.702-4" aria-label="25.702-4. Link 341">25.702-4</a>(b);</p> <p class=" ListL3" id="FAR_25_702_4__d1679e73"> <span class="ph autonumber">(vi)</span> Documentation regarding the offeror&rsquo;s past performance and integrity (see the Contractor Performance Assessment Reporting System (CPARS) including the Federal Awardee Performance Information and Integrity System at <a class="xref" href="https://www.cpars.gov" target="_blank" title="https://www.cpars.gov" aria-label="https://www.cpars.gov. Link 342">https://www.cpars.gov</a> and any other relevant information);</p> <p class=" ListL3" id="FAR_25_702_4__d1679e81"> <span class="ph autonumber">(vii)</span> Information regarding the offeror&rsquo;s relationship or connection with other firms that conduct prohibited business operations in Sudan; and</p> <p class=" ListL3" id="FAR_25_702_4__d1679e86"> <span class="ph autonumber">(viii)</span> Any humanitarian efforts engaged in by the offeror, the human rights impact of doing business with the offeror for which the waiver is requested, and the extent of the offeror&rsquo;s business operations in Sudan.</p> <p class=" ListL1" id="FAR_25_702_4__d1679e91"> <span class="ph autonumber">(d)</span> The consultation in <a class="xref fm:ParaNumOnly" href="#FAR_25_702_4" title="25.702-4" aria-label="25.702-4. Link 341">25.702-4</a>(b) and the information in <a class="xref fm:ParaNumOnly" href="#FAR_25_702_4" title="25.702-4" aria-label="25.702-4. Link 341">25.702-4</a>(c)(3) will be considered in determining whether to recommend that the President waive the requirement of subsection <a class="xref fm:ParaNumOnly" href="#FAR_25_702_2" title="25.702-2" aria-label="25.702-2. Link 337">25.702-2</a>. In accordance with section 6(c) of the Sudan Accountability and Divestment Act of 2007, OFPP will semiannually submit a report to Congress, on April 15 th and October 15 th, on the waivers granted.</p> </div> </article> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title73" id="FAR_25_703"> <h3 class="title topictitle3" id="ariaid-title73"> <span class="ph autonumber">25.703</span> Prohibition on contracting with entities that engage in certain activities or transactions relating to Iran.</h3> <article class="topic concept nested3" aria-labelledby="ariaid-title74" id="FAR_25_703_1"> <h4 class="title topictitle4" id="ariaid-title74"> <span class="ph autonumber">25.703-1</span> Definitions.</h4> <div class="body conbody"> <p class="p">As used in this section-</p> <p class="p"> <em class="ph i _25.703-1d1685e18 Term">Person</em>- </p><p class=" ListL2" id="FAR_25_703_1__d1681e18"> <span class="ph autonumber">(1)</span> Means-</p> <p class=" ListL3" id="FAR_25_703_1__d1681e24"> <span class="ph autonumber">(i)</span> A natural person;</p> <p class=" ListL3" id="FAR_25_703_1__d1681e29"> <span class="ph autonumber">(ii)</span> A corporation, business association, partnership, society, trust, financial institution, insurer, underwriter, guarantor, and any other business organization, any other nongovernmental entity, organization, or group, and any governmental entity operating as a business enterprise; and</p> <p class=" ListL3" id="FAR_25_703_1__d1681e34"> <span class="ph autonumber">(iii)</span> Any successor to any entity described in paragraph (1)(ii) of this definition; and</p> <p class=" ListL2" id="FAR_25_703_1__d1681e39"> <span class="ph autonumber">(2)</span> Does not include a government or governmental entity that is not operating as a business enterprise.</p> <p class=" ListL2" id="FAR_25_703_1__d1681e43"> <em class="ph i _25.703-1d1685e77 Term">Sensitive technology</em>- </p><p class=" ListL3" id="FAR_25_703_1__d1681e49"> <span class="ph autonumber">(1)</span> Means hardware, software, telecommunications equipment, or any other technology that is to be used specifically-</p> <p class=" ListL4" id="FAR_25_703_1__d1681e55"> <span class="ph autonumber">(i)</span> To restrict the free flow of unbiased information in Iran; or</p> <p class=" ListL4" id="FAR_25_703_1__d1681e60"> <span class="ph autonumber">(ii)</span> To disrupt, monitor, or otherwise restrict speech of the people of Iran; and</p> <p class=" ListL3" id="FAR_25_703_1__d1681e65"> <span class="ph autonumber">(2)</span> Does not include information or informational materials the export of which the President does not have the authority to regulate or prohibit pursuant to section 203(b)(3) of the International Emergency Economic Powers Act ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title50-section1702(b)(3)&amp;num=0&amp;edition=prelim" target="_blank" title="50 U.S.C. 1702(b)(3)" aria-label="50 U.S.C. 1702(b)(3). Link 346">50 U.S.C. 1702(b)(3)</a>).</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title75" id="FAR_25_703_2"> <h4 class="title topictitle4" id="ariaid-title75"> <span class="ph autonumber">25.703-2</span> Iran Sanctions Act.</h4> <div class="body conbody"> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_703_2__d1682e10"> <span class="ph autonumber">(a)</span> <em class="ph i">Certification</em>.</p> <p class="RuninChild ListL2" id="FAR_25_703_2__d1682e18"> <span class="ph autonumber">(1)</span> <em class="ph i">Certification relating to activities described in section 5 of the Iran Sanctions Act.</em> As required by section 6(b)(1)(A) of the Iran Sanctions Act ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=(title:50%20section:1701%20edition:prelim)%20OR%20(granuleid:USC-prelim-title50-section1701)&amp;f=treesort&amp;edition=prelim&amp;num=0&amp;jumpTo=true" target="_blank" title="50 U.S.C. 1701" aria-label="50 U.S.C. 1701. Link 347">50 U.S.C. 1701</a> note), unless an exception applies in accordance with paragraph (c) of this subsection, or a waiver is granted in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_703_4" title="25.703-4" aria-label="25.703-4. Link 348">25.703-4</a>, each offeror must certify that the offeror, and any person owned or controlled by the offeror, does not engage in any activity for which sanctions may be imposed under section 5 of the Iran Sanctions Act. Such activities, which are described in detail in section 5 of the Iran Sanctions Act, relate to the energy sector of Iran and development by Iran of weapons of mass destruction or other military capabilities.</p> <p class=" ListL2" id="FAR_25_703_2__d1682e31"> <span class="ph autonumber">(2)</span> <em class="ph i">Certification relating to transactions with Iran's Revolutionary Guard Corps.</em> As required by section 6(b)(1)(B) of the Iran Sanctions Act ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=(title:50%20section:1701%20edition:prelim)%20OR%20(granuleid:USC-prelim-title50-section1701)&amp;f=treesort&amp;edition=prelim&amp;num=0&amp;jumpTo=true" target="_blank" title="50 U.S.C. 1701" aria-label="50 U.S.C. 1701. Link 347">50 U.S.C. 1701</a> note), unless an exception applies in accordance with paragraph (c) of this subsection, or a waiver is granted in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_703_4" title="25.703-4" aria-label="25.703-4. Link 348">25.703-4</a>, each offeror must certify that the offeror, and any person owned or controlled by the offeror, does not knowingly engage in any significant transaction (<em class="ph i">i.e.</em>, a transaction that exceeds $10,000, with Iran's Revolutionary Guard Corps or any of its officials, agents, or affiliates, the property and interests in property of which are blocked pursuant to the International Emergency Economic Powers Act ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=(title:50%20section:1701%20edition:prelim)%20OR%20(granuleid:USC-prelim-title50-section1701)&amp;f=treesort&amp;edition=prelim&amp;num=0&amp;jumpTo=true" target="_blank" title="50 U.S.C. 1701" aria-label="50 U.S.C. 1701. Link 347">50 U.S.C. 1701</a> <em class="ph i">et seq</em>.)(see OFAC&rsquo;s Specially Designated Nationals and Blocked Persons List at <a class="xref" href="https://www.treasury.gov/resource-center/sanctions/SDN-List/Pages/default.aspx" target="_blank" title="https://www.treasury.gov/resource-center/sanctions/SDN-List/Pages/default.aspx" aria-label="https://www.treasury.gov/resource-center/sanctions/SDN-List/Pages/default.aspx. Link 352">https://www.treasury.gov/resource-center/sanctions/SDN-List/Pages/default.aspx</a>).</p> <p class=" ListL1" id="FAR_25_703_2__d1682e56"> <span class="ph autonumber">(b)</span> <em class="ph i">Remedies</em>. Upon the determination of a false certification under paragraph (a) of this section, the agency shall take one or more of the following actions:</p> <p class=" ListL2" id="FAR_25_703_2__d1682e64"> <span class="ph autonumber">(1)</span> The contracting officer terminates the contract in accordance with procedures in part <a class="xref fm:ParaNumOnly" href="/far/part-49#FAR_Part_49" title="49" aria-label="49. Link 353">49</a>, or for commercial products and <span class="ph FAC 2025-03 January 17, 2025">commercial services,</span> see <a class="xref fm:ParaNumOnly" href="/far/part-12#FAR_12_403" title="12.403" aria-label="12.403. Link 354">12.403</a>.</p> <p class=" ListL2" id="FAR_25_703_2__d1682e75"> <span class="ph autonumber">(2)</span> The <span class="ph FAC 2025-03 January 17, 2025">suspending and debarring official</span> suspends the contractor in accordance with the procedures in subpart <a class="xref fm:ParaNumOnly" href="/far/part-9#FAR_Subpart_9_4" title="9.4" aria-label="9.4. Link 330">9.4</a>.</p> <p class=" ListL2" id="FAR_25_703_2__d1682e83"> <span class="ph autonumber">(3)</span> <span class="ph FAC 2025-03 January 17, 2025">The suspending and debarring official</span> debars the contractor for a period of at least two years in accordance with the procedures in subpart <a class="xref fm:ParaNumOnly" href="/far/part-9#FAR_Subpart_9_4" title="9.4" aria-label="9.4. Link 330">9.4</a>.</p> <p class=" ListL1" id="FAR_25_703_2__d1682e91"> <span class="ph autonumber">(c)</span> <em class="ph i">Exception for trade agreements</em>. The certification requirements of paragraph (a) of this subsection do not apply if the acquisition is subject to trade agreements and the offeror certifies that all the offered products are designated country end products or designated country construction material (see subpart <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_4" title="25.4" aria-label="25.4. Link 108">25.4</a>).</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title76" id="FAR_25_703_3"> <h4 class="title topictitle4" id="ariaid-title76"> <span class="ph autonumber">25.703-3</span> Prohibition on contracting with entities that export sensitive technology to Iran.</h4> <div class="body conbody"> <p class=" ListL1" id="FAR_25_703_3__d1683e10"> <span class="ph autonumber">(a)</span> The head of an executive agency may not enter into or extend a contract for the procurement of goods or services with a person that exports certain sensitive technology to Iran, as determined by the President, and has an active exclusion in the System for Award Management at <a class="xref" href="http://www.sam.gov" target="_blank" title="http://www.sam.gov" aria-label="http://www.sam.gov. Link 358">http://www.sam.gov</a> ( <a class="xref" href="http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title22-section8515&amp;num=0&amp;edition=prelim" target="_blank" title="22 U.S.C. 8515" aria-label="22 U.S.C. 8515. Link 333">22 U.S.C. 8515</a>).</p> <p class=" ListL1" id="FAR_25_703_3__d1683e21"> <span class="ph autonumber">(b)</span> Each offeror must represent that it does not export any sensitive technology to the government of Iran or any entities or individuals owned or controlled by, or acting on behalf or at the direction of, the government of Iran.</p> <p class=" ListL1" id="FAR_25_703_3__d1683e26"> <span class="ph autonumber">(c)</span> <em class="ph i">Exception for trade agreements</em>. The representation requirement of paragraph (b) of this subsection does not apply if the acquisition is subject to trade agreements and the offeror certifies that all the offered products are designated country end products or designated country construction material (see subpart <a class="xref fm:ParaNumOnly" href="#FAR_Subpart_25_4" title="25.4" aria-label="25.4. Link 108">25.4</a>).</p> </div> </article> <article class="topic concept nested3" aria-labelledby="ariaid-title77" id="FAR_25_703_4"> <h4 class="title topictitle4" id="ariaid-title77"> <span class="ph autonumber">25.703-4</span> Waiver.</h4> <div class="body conbody"> <p class=" ListL1" id="FAR_25_703_4__d1684e10"> <span class="ph autonumber">(a)</span> An agency or contractor seeking a waiver of the requirements of <a class="xref fm:ParaNumOnly" href="#FAR_25_703_2" title="25.703-2" aria-label="25.703-2. Link 361">25.703-2</a> or <a class="xref fm:ParaNumOnly" href="#FAR_25_703_3" title="25.703-3" aria-label="25.703-3. Link 362">25.703-3</a>, consistent with section 6(b)(5) of the Iran Sanctions Act or <a class="xref" href="https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title22-section8551&amp;num=0&amp;edition=prelim" target="_blank" title="22&nbsp;U.S.C.&nbsp;8551" aria-label="22聽U.S.C.聽8551. Link 363">22&nbsp;U.S.C.&nbsp;8551</a>(b), respectively, and the Presidential Memorandum of September 23, 2010 (75 FR 67025), shall submit the request to the Office of Federal Procurement Policy, allowing sufficient time for review and approval.</p> <p class=" ListL1" id="FAR_25_703_4__d1684e24"> <span class="ph autonumber">(b)</span> Agencies may request a waiver on an individual or class basis; however, waivers are not indefinite and can be cancelled, if warranted.</p> <p class=" ListL2" id="FAR_25_703_4__d1684e30"> <span class="ph autonumber">(1)</span> A class waiver may be requested only when the class of supplies or equipment is not available from any other source and it is in the national interest.</p> <p class=" ListL2" id="FAR_25_703_4__d1684e35"> <span class="ph autonumber">(2)</span> Prior to submitting the waiver request, the request must be reviewed and cleared by the agency head.</p> <p class=" ListL1" id="FAR_25_703_4__d1684e40"> <span class="ph autonumber">(c)</span> In general, all waiver requests should include the following information:</p> <p class=" ListL2" id="FAR_25_703_4__d1684e46"> <span class="ph autonumber">(1)</span> Agency name, complete mailing address, and point of contact name, telephone number, and e-mail address.</p> <p class=" ListL2" id="FAR_25_703_4__d1684e51"> <span class="ph autonumber">(2)</span> Offeror&rsquo;s name, complete mailing address, and point of contact name, telephone number, and e-mail address.</p> <p class=" ListL2" id="FAR_25_703_4__d1684e56"> <span class="ph autonumber">(3)</span> Description/nature of product or service.</p> <p class=" ListL2" id="FAR_25_703_4__d1684e61"> <span class="ph autonumber">(4)</span> The total cost and length of the contract.</p> <p class=" ListL2" id="FAR_25_703_4__d1684e66"> <span class="ph autonumber">(5)</span> Justification, with market research demonstrating that no other offeror can provide the product or service and stating why the product or service must be procured from this offeror.</p> <p class=" ListL3" id="FAR_25_703_4__d1684e72"> <span class="ph autonumber">(i)</span> If the offeror exports sensitive technology to the government of Iran or any entities or individuals owned or controlled by, or acting on behalf or at the direction of, the government of Iran, provide rationale why it is in the national interest for the President to waive the prohibition on contracting with this offeror, as required by <a class="xref" href="https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title22-section8551&amp;num=0&amp;edition=prelim" target="_blank" title="22&nbsp;U.S.C.&nbsp;8551" aria-label="22聽U.S.C.聽8551. Link 363">22&nbsp;U.S.C.&nbsp;8551</a>(b).</p> <p class=" ListL3" id="FAR_25_703_4__d1684e80"> <span class="ph autonumber">(ii)</span> If the offeror conducts activities for which sanctions may be imposed under section 5 of the Iran Sanctions Act or engages in any transaction that exceeds the threshold at <a class="xref fm:ParaNumOnly" href="#FAR_25_703_2" title="25.703-2" aria-label="25.703-2. Link 361">25.703-2</a>(a)(2) with Iran&rsquo;s Revolutionary Guard Corps or any of its officials, agents, or affiliates, the property and interests in property of which are blocked pursuant to the International Emergency Economic Powers Act, provide rationale why it is essential to the national security interests of the United States for the President to waive the prohibition on contracting with this offeror, as required by section 6(b)(5) of the Iran Sanctions Act.</p> <p class=" ListL2" id="FAR_25_703_4__d1684e88"> <span class="ph autonumber">(6)</span> Documentation regarding the offeror&rsquo;s past performance and integrity (see the Contractor Performance Assessment Reporting System (CPARS) and the Federal Awardee Performance Information and Integrity System at <a class="xref" href="https://www.cpars.gov" target="_blank" title="https://www.cpars.gov" aria-label="https://www.cpars.gov. Link 342">https://www.cpars.gov</a>, and any other relevant information).</p> <p class=" ListL2" id="FAR_25_703_4__d1684e96"> <span class="ph autonumber">(7)</span> Information regarding the offeror&rsquo;s relationship or connection with other firms that-</p> <p class=" ListL3" id="FAR_25_703_4__d1684e102"> <span class="ph autonumber">(i)</span> Export sensitive technology to the government of Iran or any entities or individuals owned or controlled by, or acting on behalf or at the direction of, the government of Iran;</p> <p class=" ListL3" id="FAR_25_703_4__d1684e107"> <span class="ph autonumber">(ii)</span> Conduct activities for which sanctions may be imposed under section 5 of the Iran Sanctions Act; or</p> <p class=" ListL3" id="FAR_25_703_4__d1684e112"> <span class="ph autonumber">(iii)</span> Conduct any transaction that exceeds the threshold at <a class="xref fm:ParaNumOnly" href="#FAR_25_703_2" title="25.703-2" aria-label="25.703-2. Link 361">25.703-2</a>(a)(2) with Iran&rsquo;s Revolutionary Guard Corps or any of its officials, agents, or affiliates, the property and interests in property of which are blocked pursuant to the International Emergency Economic Powers Act.</p> <p class=" ListL2" id="FAR_25_703_4__d1684e120"> <span class="ph autonumber">(8)</span> Describe-</p> <p class=" ListL3" id="FAR_25_703_4__d1684e126"> <span class="ph autonumber">(i)</span> The sensitive technology and the entity or individual to which it was exported (i.e., the government of Iran or an entity or individual owned or controlled by, or acting on behalf or at the direction of, the government of Iran);</p> <p class=" ListL3" id="FAR_25_703_4__d1684e131"> <span class="ph autonumber">(ii)</span> The activities in which the offeror is engaged for which sanctions may be imposed under section 5 of the Iran Sanctions Act; or</p> <p class=" ListL3" id="FAR_25_703_4__d1684e136"> <span class="ph autonumber">(iii)</span> The transactions that exceed the threshold at <a class="xref fm:ParaNumOnly" href="#FAR_25_703_2" title="25.703-2" aria-label="25.703-2. Link 361">25.703-2</a>(a)(2) with Iran&rsquo;s Revolutionary Guard Corps or any of its officials, agents, or affiliates, the property and interests in property of which are blocked pursuant to the International Emergency Economic Powers Act.</p> </div> </article> </article> </article> <article class="topic nested1" aria-labelledby="ariaid-title78" id="FAR_Subpart_25_8"> <h2 class="title topictitle2 Subpart" id="ariaid-title78"> <span class="ph autonumber">Subpart 25.8</span> - Other International Agreements and Coordination</h2> <article class="topic concept nested2" aria-labelledby="ariaid-title79" id="FAR_25_801"> <h3 class="title topictitle3" id="ariaid-title79"> <span class="ph autonumber">25.801</span> General.</h3> <div class="body conbody"> <p class="p">Treaties and agreements between the United States and foreign governments affect the evaluation of offers from foreign entities and the performance of contracts in foreign countries.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title80" id="FAR_25_802"> <h3 class="title topictitle3" id="ariaid-title80"> <span class="ph autonumber">25.802</span> Procedures.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_802__d1687e10"> <span class="ph autonumber">(a)</span> When placing contracts with contractors located outside the United States, for performance outside the United States, contracting officers must-</p> <p class=" ListL2" id="FAR_25_802__d1687e16"> <span class="ph autonumber">(1)</span> Determine the existence and applicability of any international agreements and ensure compliance with these agreements; and</p> <p class=" ListL2" id="FAR_25_802__d1687e21"> <span class="ph autonumber">(2)</span> Conduct the necessary advance acquisition planning and coordination between the appropriate U.S. executive agencies and foreign interests as required by these agreements.</p> <p class=" ListL1" id="FAR_25_802__d1687e26"> <span class="ph autonumber">(b)</span> The Department of State publishes many international agreements in the "United States Treaties and Other International Agreements" series. Copies of this publication normally are available in overseas legal offices and U.S. diplomatic missions.</p> <p class=" ListL1" id="FAR_25_802__d1687e31"> <span class="ph autonumber">(c)</span> Contracting officers must award all contracts with Taiwanese firms or organizations through the American Institute of Taiwan (AIT). AIT is under contract to the Department of State.</p> </div> </article> </article> <article class="topic nested1" aria-labelledby="ariaid-title81" id="FAR_Subpart_25_9"> <h2 class="title topictitle2 Subpart" id="ariaid-title81"> <span class="ph autonumber">Subpart 25.9</span> - Customs and Duties</h2> <article class="topic nested2" aria-labelledby="ariaid-title82" id="FAR_25_900"> <h3 class="title topictitle3" id="ariaid-title82"> <span class="ph autonumber">25.900</span> Scope of subpart.</h3> <div class="body"> <p class="p">This subpart provides policies and procedures for exempting from import duties certain supplies purchased under Government contracts.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title83" id="FAR_25_901"> <h3 class="title topictitle3" id="ariaid-title83"> <span class="ph autonumber">25.901</span> Policy.</h3> <div class="body conbody"> <p class="p">United States laws impose duties on foreign supplies imported into the customs territory of the United States. Certain exemptions from these duties are available to Government agencies. Agencies must use these exemptions when the anticipated savings to appropriated funds will outweigh the administrative costs associated with processing required documentation.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title84" id="FAR_25_902"> <h3 class="title topictitle3" id="ariaid-title84"> <span class="ph autonumber">25.902</span> Procedures.</h3> <div class="body conbody"> <p class="p" id="FAR_25_902__d1691e8">For regulations governing importations and duties, see the Customs Regulations issued by the U.S. Customs Service, Department of the Treasury (19 CFR Chapter 1). Except as provided elsewhere in the Customs Regulations (see <span class="ph CFR">19 CFR 10.100</span>), all shipments of imported supplies purchased under Government contracts are subject to the usual Customs entry and examination requirements. Unless the agency obtains an exemption (see <a class="xref fm:ParaNumOnly" href="#FAR_25_903" title="25.903" aria-label="25.903. Link 369">25.903</a>), those shipments are also subject to duty.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title85" id="FAR_25_903"> <h3 class="title topictitle3" id="ariaid-title85"> <span class="ph autonumber">25.903</span> Exempted supplies.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_903__d1692e10"> <span class="ph autonumber">(a)</span> Subchapters VIII and X of Chapter 98 of the Harmonized Tariff Schedule of the United States (19 U.S.C.&nbsp;1202) list supplies for which exemptions from duty may be obtained when imported into the customs territory of the United States under a Government contract. For certain of these supplies, the contracting agency must certify to the Commissioner of Customs that they are for the purpose stated in the Harmonized Tariff Schedule (see <span class="ph CFR">19 CFR 10.102-104</span>, 10.114, and 10.121 and <span class="ph CFR">15 CFR Part 301</span> for requirements and formats).</p> <p class=" ListL1" id="FAR_25_903__d1692e24"> <span class="ph autonumber">(b)</span> Supplies (excluding equipment) for Government-operated vessels or aircraft may be withdrawn from any customs-bonded warehouse, from continuous customs custody elsewhere than in a bonded warehouse, or from a foreign-trade zone, free of duty and internal revenue tax as provided in 19 U.S.C.&nbsp;1309 and 1317. The contracting activity must cite this authority on the appropriate customs form when making purchases (see <span class="ph CFR">19 CFR 10.59</span> - 10.65).</p> </div> </article> </article> <article class="topic nested1" aria-labelledby="ariaid-title86" id="FAR_Subpart_25_10"> <h2 class="title topictitle2 Subpart" id="ariaid-title86"> <span class="ph autonumber">Subpart 25.10</span> - Additional Foreign Acquisition Regulations</h2> <article class="topic concept nested2" aria-labelledby="ariaid-title87" id="FAR_25_1001"> <h3 class="title topictitle3" id="ariaid-title87"> <span class="ph autonumber">25.1001</span> Waiver of right to examination of records.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_1001__d1694e10"> <span class="ph autonumber">(a)</span> <em class="ph i">Policy</em>. The clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_215_2" title="52.215-2" aria-label="52.215-2. Link 370">52.215-2</a>, Audit and Records-Negotiation, prescribed at <a class="xref fm:ParaNumOnly" href="/far/part-15#FAR_15_209" title="15.209" aria-label="15.209. Link 371">15.209</a>(b), and paragraph (d) of the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_212_5" title="52.212-5" aria-label="52.212-5. Link 372">52.212-5</a>, Contract Terms and Conditions Required to Implement Statutes or Executive Orders-Commercial Products and Commercial Services, prescribed at <a class="xref fm:ParaNumOnly" href="/far/part-12#FAR_12_301" title="12.301" aria-label="12.301. Link 373">12.301</a>(b)(4), implement <a class="xref" href="https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section3841&amp;num=0&amp;edition=prelim" target="_blank" title="10 U.S.C. 3841" aria-label="10 U.S.C. 3841. Link 374">10 U.S.C. 3841</a> and 41 U.S.C.&nbsp;4706. The basic clauses authorize examination of records by the Comptroller General.</p> <p class=" ListL2" id="FAR_25_1001__d1694e37"> <span class="ph autonumber">(1)</span> Insert the appropriate basic clause, whenever possible, in negotiated contracts with foreign contractors.</p> <p class=" ListL2" id="FAR_25_1001__d1694e42"> <span class="ph autonumber">(2)</span> The contracting officer may use <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_215_2" title="52.215-2" aria-label="52.215-2. Link 370">52.215-2</a> with its Alternate III or <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_212_5" title="52.212-5" aria-label="52.212-5. Link 372">52.212-5</a> with its Alternate I after-</p> <p class=" ListL3" id="FAR_25_1001__d1694e54"> <span class="ph autonumber">(i)</span> Exhausting all reasonable efforts to include the basic clause;</p> <p class=" ListL3" id="FAR_25_1001__d1694e59"> <span class="ph autonumber">(ii)</span> Considering factors such as alternate sources of supply, additional cost, and time of delivery; and</p> <p class=" ListL3" id="FAR_25_1001__d1694e64"> <span class="ph autonumber">(iii)</span> The head of the agency has executed a determination and findings in accordance with paragraph (b) of this section, with the concurrence of the Comptroller General. However, concurrence of the Comptroller General is not required if the contractor is a foreign government or agency thereof or is precluded by the laws of the country involved from making its records available for examination.</p> <p class=" ListL1" id="FAR_25_1001__d1694e69"> <span class="ph autonumber">(b)</span> <em class="ph i">Determination and findings</em>. The determination and findings must-</p> <p class=" ListL2" id="FAR_25_1001__d1694e77"> <span class="ph autonumber">(1)</span> Identify the contract and its purpose, and identify if the contract is with a foreign contractor or with a foreign government or an agency of a foreign government;</p> <p class=" ListL2" id="FAR_25_1001__d1694e82"> <span class="ph autonumber">(2)</span> Describe the efforts to include the basic clause;</p> <p class=" ListL2" id="FAR_25_1001__d1694e87"> <span class="ph autonumber">(3)</span> State the reasons for the contractor&rsquo;s refusal to include the basic clause;</p> <p class=" ListL2" id="FAR_25_1001__d1694e92"> <span class="ph autonumber">(4)</span> Describe the price and availability of the supplies or services from the United States and other sources; and</p> <p class=" ListL2" id="FAR_25_1001__d1694e97"> <span class="ph autonumber">(5)</span> Determine that it will best serve the interest of the United States to use the appropriate alternate clause in paragraph (a)(2) of this section.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title88" id="FAR_25_1002"> <h3 class="title topictitle3" id="ariaid-title88"> <span class="ph autonumber">25.1002</span> Use of foreign currency.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_1002__d1695e10"> <span class="ph autonumber">(a)</span> Unless an international agreement or the WTO GPA (see <a class="xref fm:ParaNumOnly" href="#FAR_25_408" title="25.408" aria-label="25.408. Link 239">25.408</a>(a)(4)) requires a specific currency, contracting officers must determine whether solicitations for contracts to be entered into and performed outside the United States will require submission of offers in U.S. currency or a specified foreign currency. In unusual circumstances, the contracting officer may permit submission of offers in other than a specified currency.</p> <p class=" ListL1" id="FAR_25_1002__d1695e18"> <span class="ph autonumber">(b)</span> To ensure a fair evaluation of offers, solicitations generally should require all offers to be priced in the same currency. However, if the solicitation permits submission of offers in other than a specified currency, the contracting officer must convert the offered prices to U.S. currency for evaluation purposes. The contracting officer must use the current market exchange rate from a commonly used source in effect as follows:</p> <p class=" ListL2" id="FAR_25_1002__d1695e24"> <span class="ph autonumber">(1)</span> For acquisitions conducted using sealed bidding procedures, on the date of bid opening.</p> <p class=" ListL2" id="FAR_25_1002__d1695e29"> <span class="ph autonumber">(2)</span> For acquisitions conducted using negotiation procedures-</p> <p class=" ListL3" id="FAR_25_1002__d1695e35"> <span class="ph autonumber">(i)</span> On the date specified for receipt of offers, if award is based on initial offers; otherwise</p> <p class=" ListL3" id="FAR_25_1002__d1695e40"> <span class="ph autonumber">(ii)</span> On the date specified for receipt of final proposal revisions.</p> <p class=" ListL1" id="FAR_25_1002__d1695e45"> <span class="ph autonumber">(c)</span> If a contract is priced in foreign currency, the agency must ensure that adequate funds are available to cover currency fluctuations to avoid a violation of the Anti-Deficiency Act (31 U.S.C.&nbsp;1341, 1342, 1511-1519).</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title89" id="FAR_25_1003"> <h3 class="title topictitle3" id="ariaid-title89"> <span class="ph autonumber">25.1003</span> Tax on certain foreign procurements.</h3> <div class="body conbody"> <p class="p">See <a class="xref fm:ParaNumOnly" href="/far/part-29#FAR_29_204" title="29.204" aria-label="29.204. Link 378">29.204</a> for the imposition of the tax on certain foreign procurements pursuant to the James Zadroga 9/11 Health and Compensation Act of 2010 ( <a class="xref" href="https://www.govinfo.gov/content/pkg/PLAW-111publ347/html/PLAW-111publ347.htm" target="_blank" title="Pub. L. 111-347" aria-label="Pub. L. 111-347. Link 379">Pub. L. 111-347</a>), <a class="xref" href="https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title26-section5000&amp;num=0&amp;edition=prelim" target="_blank" title="26 U.S.C. 5000" aria-label="26 U.S.C. 5000. Link 380">26 U.S.C. 5000</a> C, and its implementing regulations at 26 CFR 1.5000C-1 through 1.5000C-7.</p> </div> </article> </article> <article class="topic nested1" aria-labelledby="ariaid-title90" id="FAR_Subpart_25_11"> <h2 class="title topictitle2 Subpart" id="ariaid-title90"> <span class="ph autonumber">Subpart 25.11</span> - Solicitation Provisions and Contract Clauses</h2> <article class="topic concept nested2" aria-labelledby="ariaid-title91" id="FAR_25_1101"> <h3 class="title topictitle3" id="ariaid-title91"> <span class="ph autonumber">25.1101</span> Acquisition of supplies.</h3> <div class="body conbody"> <p class="p">The following provisions and clauses apply to the acquisition of supplies and the acquisition of services involving the furnishing of supplies.</p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_1101__d1698e12"> <span class="ph autonumber">(a)</span> </p> <p class="RuninChild ListL2" id="FAR_25_1101__d1698e17"> <span class="ph autonumber">(1)</span> </p> <p class=" ListL3" id="FAR_25_1101__d1698e26"> <span class="ph autonumber">(i)</span> Insert the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_1" title="52.225-1" aria-label="52.225-1. Link 138">52.225-1</a>, Buy American-Supplies, in solicitations and contracts with a value exceeding the micro-purchase threshold but not exceeding $50,000; and in solicitations and contracts with a value exceeding $50,000, if none of the clauses prescribed in paragraphs (b) and (c) of this section apply, except if-</p> <p class=" ListL4" id="FAR_25_1101__d1699e31"> <span class="ph autonumber">(A)</span> The solicitation is restricted to domestic end products in accordance with <a class="xref fm:Subpart" href="/far/part-6#FAR_Subpart_6_3" title="subpart&nbsp; 6.3" aria-label="subpart聽 6.3. Link 382">subpart&nbsp; 6.3</a>;</p> <p class=" ListL4" id="FAR_25_1101__d1699e39"> <span class="ph autonumber">(B)</span> The acquisition is for supplies for use within the United States and an exception to the Buy American statute applies (e.g., nonavailability, public interest, or information technology that is a commercial product); or</p> <p class=" ListL4" id="FAR_25_1101__d1699e44"> <span class="ph autonumber">(C)</span> The acquisition is for supplies for use outside the United States.</p> <p class=" ListL3" id="FAR_25_1101__d1699e49"> <span class="ph autonumber">(ii)</span> The contracting officer shall use the clause with its Alternate I to reflect the domestic content threshold that will apply to the entire period of performance, when the senior procurement executive allows for application of an alternate domestic content test for the contract in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_101" title="25.101" aria-label="25.101. Link 101">25.101</a>(d). For contracts that the contracting officer estimates will be awarded in calendar year 2022 or 2023, the contracting officer shall insert &ldquo;60&rdquo; in paragraph (1)(ii)(A) of the definition of &ldquo;domestic end product.&rdquo; For contracts that the contracting officer estimates will be awarded in calendar year 2024, 2025, 2026, 2027, or 2028, the contracting officer shall insert &ldquo;65&rdquo;. For contracts that the contracting officer estimates will be awarded after calendar year 2028 the contracting officer shall insert &ldquo;75&rdquo;. </p> <p class=" ListL2" id="FAR_25_1101__d1698e44"> <span class="ph autonumber">(2)</span> Insert the provision at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_2" title="52.225-2" aria-label="52.225-2. Link 384">52.225-2</a>, Buy American Certificate, in solicitations containing the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_1" title="52.225-1" aria-label="52.225-1. Link 138">52.225-1</a>.</p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_1101__d1698e55"> <span class="ph autonumber">(b)</span> </p> <p class="RuninChild ListL2" id="FAR_25_1101__d1698e60"> <span class="ph autonumber">(1)</span> </p> <p class=" ListL3" id="FAR_25_1101__d1698e65"> <span class="ph autonumber">(i)</span> Insert the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_3" title="52.225-3" aria-label="52.225-3. Link 386">52.225-3</a>, Buy American-Free Trade Agreements-Israeli Trade Act, in solicitations and contracts if-</p> <p class=" ListL4" id="FAR_25_1101__d1698e74"> <span class="ph autonumber">(A)</span> The acquisition is for supplies, or for services involving the furnishing of supplies, for use within the United States, and the acquisition value is $50,000; or more, but is less than $174,000; </p> <p class=" ListL4" id="FAR_25_1101__d1698e79"> <span class="ph autonumber">(B)</span> The acquisition is not for information technology that is a commercial product, using fiscal year 2004 or subsequent fiscal year funds; and</p> <p class=" ListL4" id="FAR_25_1101__d1698e84"> <span class="ph autonumber">(C)</span> No exception in <a class="xref fm:ParaNumOnly" href="#FAR_25_401" title="25.401" aria-label="25.401. Link 243">25.401</a> applies. For acquisitions of agencies not subject to the Israeli Trade Act (see <a class="xref fm:ParaNumOnly" href="#FAR_25_406" title="25.406" aria-label="25.406. Link 388">25.406</a>), see agency regulations.</p> <p class=" ListL3" id="FAR_25_1101__d1698e100"> <span class="ph autonumber">(ii)</span> If the acquisition value is $50,000 or more but is less than $100,000, use the clause with its Alternate II. </p> <p class=" ListL3" id="FAR_25_1101__d1698e105"> <span class="ph autonumber">(iii)</span> If the acquisition value is $100,000 or more but is less than $102,280, use the clause with its Alternate III.</p> <p class=" ListL3" id="FAR_25_1101__d1699e157"> <span class="ph autonumber">(iv)</span> The contracting officer shall use the clause with its Alternate IV to reflect the domestic content threshold that will apply to the entire period of performance, when the senior procurement executive allows for application of an alternate domestic content test for the contract in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_102" title="25.102" aria-label="25.102. Link 389">25.102</a>(d). For contracts that the contracting officer estimates will be awarded in calendar year 2022 or 2023, the contracting officer shall insert &ldquo;60&rdquo; in paragraph (1)(ii)(A) of the definition of &ldquo;domestic end product.&rdquo; For contracts that the contracting officer estimates will be awarded in calendar year 2024, 2025, 2026, 2027, or 2028, the contracting officer shall insert &ldquo;65&rdquo;. For contracts that the contracting officer estimates will be awarded after calendar year 2028 the contracting officer shall insert &ldquo;75&rdquo;. </p> <p class="p"></p><p class="Runin RuninRestart ListL2" id="FAR_25_1101__d1698e110"> <span class="ph autonumber">(2)</span> </p> <p class="RuninChild ListL3" id="FAR_25_1101__d1698e115"> <span class="ph autonumber">(i)</span> Insert the provision at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_4" title="52.225-4" aria-label="52.225-4. Link 390">52.225-4</a>, Buy American-Free Trade Agreements-Israeli Trade Act Certificate, in solicitations containing the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_3" title="52.225-3" aria-label="52.225-3. Link 386">52.225-3</a>.</p> <p class=" ListL3" id="FAR_25_1101__d1698e131"> <span class="ph autonumber">(ii)</span> If the acquisition value is $50,000 or more but is less than $100,000, use the provision with its Alternate II. </p> <p class=" ListL3" id="FAR_25_1101__d1698e136"> <span class="ph autonumber">(iii)</span> If the acquisition value is $100,000 or more, but is less than $102,280, use the provision with its Alternate III.</p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_1101__d1698e141"> <span class="ph autonumber">(c)</span> </p> <p class="RuninChild ListL2" id="FAR_25_1101__d1698e146"> <span class="ph autonumber">(1)</span> Insert the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_5" title="52.225-5" aria-label="52.225-5. Link 392">52.225-5</a>, Trade Agreements, in solicitations and contracts valued at $174,000 or more, if the acquisition is covered by the WTO GPA (see <a class="xref fm:Subpart" href="#FAR_Subpart_25_4" title="subpart&nbsp; 25.4" aria-label="subpart聽 25.4. Link 97">subpart&nbsp; 25.4</a>) and the agency has determined that the restrictions of the Buy American statute are not applicable to U.S.-made end products. If the agency has not made such a determination, the contracting officer must follow agency procedures.</p> <p class=" ListL2" id="FAR_25_1101__d1698e157"> <span class="ph autonumber">(2)</span> Insert the provision at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_6" title="52.225-6" aria-label="52.225-6. Link 394">52.225-6</a>, Trade Agreements Certificate, in solicitations containing the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_5" title="52.225-5" aria-label="52.225-5. Link 392">52.225-5</a>.</p> <p class=" ListL1" id="FAR_25_1101__d1698e168"> <span class="ph autonumber">(d)</span> Insert the provision at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_7" title="52.225-7" aria-label="52.225-7. Link 396">52.225-7</a>, Waiver of Buy American Statute for Civil Aircraft and Related Articles, in solicitations for civil aircraft and related articles (see <a class="xref fm:ParaNumOnly" href="#FAR_25_407" title="25.407" aria-label="25.407. Link 397">25.407</a>), if the acquisition value is less than $174,000. </p> <p class=" ListL1" id="FAR_25_1101__d1698e179"> <span class="ph autonumber">(e)</span> Insert the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_8" title="52.225-8" aria-label="52.225-8. Link 398">52.225-8</a>, Duty-Free Entry, in solicitations and contracts for supplies that may be imported into the United States and for which duty-free entry may be obtained in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_903" title="25.903" aria-label="25.903. Link 369">25.903</a>(a), if the value of the acquisition-</p> <p class=" ListL2" id="FAR_25_1101__d1698e191"> <span class="ph autonumber">(1)</span> Exceeds the simplified acquisition threshold; or</p> <p class=" ListL2" id="FAR_25_1101__d1698e196"> <span class="ph autonumber">(2)</span> Does not exceed the simplified acquisition threshold, but the savings from waiving the duty is anticipated to be more than the administrative cost of waiving the duty. When used for acquisitions that do not exceed the simplified acquisition threshold, the contracting officer may modify paragraphs (c)(1) and (j)(2) of the clause to reduce the dollar figure.</p> <p class=" ListL1" id="FAR_25_1101__d1698e201"> <span class="ph autonumber">(f)</span> Insert the provision at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_18" title="52.225-18" aria-label="52.225-18. Link 100">52.225-18</a>, Place of Manufacture, in solicitations that are predominantly for the acquisition of manufactured end products (<em class="ph i">i.e.</em>, the estimated value of the manufactured end products exceeds the estimated value of other items to be acquired as a result of the solicitation).</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title92" id="FAR_25_1102"> <h3 class="title topictitle3" id="ariaid-title92"> <span class="ph autonumber">25.1102</span> Acquisition of construction.</h3> <div class="body conbody"> <p class="p">When using funds other than those appropriated under the American Recovery and Reinvestment Act of 2009 (Pub. L. 111-5) (Recovery Act), follow the prescriptions in paragraphs (a) through (d) of this section. Otherwise, follow the prescription in paragraph (e).</p> <p class=" ListL1" id="FAR_25_1102__d1699e12"> <span class="ph autonumber">(a)</span> Insert the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_9" title="52.225-9" aria-label="52.225-9. Link 186">52.225-9</a>, Buy American-Construction Materials, in solicitations and contracts for construction that is performed in the United States valued at less than $6,708,000. </p> <p class=" ListL2" id="FAR_25_1102__d1699e21"> <span class="ph autonumber">(1)</span> List in paragraph (b)(2) of the clause all foreign construction material excepted from the requirements of the Buy American statute.</p> <p class=" ListL2" id="FAR_25_1102__d1699e26"> <span class="ph autonumber">(2)</span> If the head of the agency determines that a higher percentage is appropriate, substitute the higher evaluation percentage in paragraph (b)(3)(i) of the clause.</p> <p class=" ListL2" id="FAR_25_1102__d1700e31"> <span class="ph autonumber">(3)</span> The contracting officer shall use the clause with its Alternate I to reflect the domestic content threshold that will apply to the entire period of performance, when the senior procurement executive allows for application of an alternate domestic content test for the contract in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_201" title="25.201" aria-label="25.201. Link 102">25.201</a>(c). For contracts that the contracting officer estimates will be awarded in calendar year 2022 or 2023, the contracting officer shall insert &ldquo;60&rdquo; in paragraph (1)(ii)(A) of the definition of &ldquo;domestic construction material.&rdquo; For contracts that the contracting officer estimates will be awarded in calendar year 2024, 2025, 2026, 2027, or 2028, the contracting officer shall insert &ldquo;65&rdquo;. For contracts that the contracting officer estimates will be awarded after calendar year 2028 the contracting officer shall insert &ldquo;75&rdquo;. </p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_1102__d1699e31"> <span class="ph autonumber">(b)</span> </p> <p class="RuninChild ListL2" id="FAR_25_1102__d1699e36"> <span class="ph autonumber">(1)</span> Insert the provision at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_10" title="52.225-10" aria-label="52.225-10. Link 184">52.225-10</a>, Notice of Buy American Requirement-Construction Materials, in solicitations containing the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_9" title="52.225-9" aria-label="52.225-9. Link 186">52.225-9</a>.</p> <p class=" ListL2" id="FAR_25_1102__d1699e47"> <span class="ph autonumber">(2)</span> If insufficient time is available to process a determination regarding the inapplicability of the Buy American statute before receipt of offers, use the provision with its Alternate I.</p> <p class=" ListL1" id="FAR_25_1102__d1699e52"> <span class="ph autonumber">(c)</span> Insert the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_11" title="52.225-11" aria-label="52.225-11. Link 187">52.225-11</a>, Buy American-Construction Materials under Trade Agreements, in solicitations and contracts for construction that is performed in the United States valued at $6,708,000 or more.</p> <p class=" ListL2" id="FAR_25_1102__d1699e61"> <span class="ph autonumber">(1)</span> List in paragraph (b)(3) of the clause all foreign construction material excepted from the requirements of the Buy American statute, other than designated country construction material.</p> <p class=" ListL2" id="FAR_25_1102__d1699e66"> <span class="ph autonumber">(2)</span> If the head of the agency determines that a higher percentage is appropriate, substitute the higher evaluation percentage in paragraph (b)(4)(i) of the clause.</p> <p class=" ListL2" id="FAR_25_1102__d1699e71"> <span class="ph autonumber">(3)</span> For acquisitions valued at $6,708,000 or more, but less than $13,296,489, use the clause with its Alternate I. List in paragraph (b)(3) of the clause all foreign construction material excepted from the requirements of the Buy American statute, unless the excepted foreign construction material is from a designated country other than Bahrain, Mexico, and Oman.</p> <p class=" ListL2" id="FAR_25_1102__d1700e113"> <span class="ph autonumber">(4)</span> The contracting officer shall use the clause with its Alternate II to reflect the domestic content threshold that will apply to the entire period of performance, when the senior procurement executive allows for application of an alternate domestic content test for the contract in accordance with <a class="xref fm:ParaNumOnly" href="#FAR_25_201" title="25.201" aria-label="25.201. Link 102">25.201</a>(c). For contracts that the contracting officer estimates will be awarded in calendar year 2022 or 2023, the contracting officer shall insert &ldquo;60&rdquo; in paragraph (1)(ii)(A) of the definition of &ldquo;domestic construction material.&rdquo; For contracts that the contracting officer estimates will be awarded in calendar year 2024, 2025, 2026, 2027, or 2028, the contracting officer shall insert &ldquo;65&rdquo;. For contracts that the contracting officer estimates will be awarded after calendar year 2028 the contracting officer shall insert &ldquo;75&rdquo;. </p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_1102__d1699e76"> <span class="ph autonumber">(d)</span> </p> <p class="RuninChild ListL2" id="FAR_25_1102__d1699e81"> <span class="ph autonumber">(1)</span> Insert the provision at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_12" title="52.225-12" aria-label="52.225-12. Link 185">52.225-12</a>, Notice of Buy American Requirement-Construction Materials under Trade Agreements, in solicitations containing the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_11" title="52.225-11" aria-label="52.225-11. Link 187">52.225-11</a>.</p> <p class=" ListL2" id="FAR_25_1102__d1699e92"> <span class="ph autonumber">(2)</span> If insufficient time is available to process a determination regarding the inapplicability of the Buy American statute before receipt of offers, use the provision with its Alternate I.</p> <p class=" ListL2" id="FAR_25_1102__d1699e97"> <span class="ph autonumber">(3)</span> For acquisitions valued at $6,708,000 or more, but less than $13,296,489, use the provision with its Alternate II.</p> <p class="p"></p><p class="Runin RuninRestart ListL1" id="FAR_25_1102__d1699e102"> <span class="ph autonumber">(e)</span> </p> <p class="RuninChild ListL2" id="FAR_25_1102__d1699e107"> <span class="ph autonumber">(1)</span> When using funds appropriated under the Recovery Act for construction, use provisions and clauses <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_21" title="52.225-21" aria-label="52.225-21. Link 320">52.225-21</a>, <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_22" title="52.225-22" aria-label="52.225-22. Link 318">52.225-22</a>, <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_23" title="52.225-23" aria-label="52.225-23. Link 321">52.225-23</a>, or <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_24" title="52.225-24" aria-label="52.225-24. Link 319">52.225-24</a> (with appropriate Alternates) in lieu of the provisions and clauses <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_9" title="52.225-9" aria-label="52.225-9. Link 186">52.225-9</a>, <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_10" title="52.225-10" aria-label="52.225-10. Link 184">52.225-10</a>, <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_11" title="52.225-11" aria-label="52.225-11. Link 187">52.225-11</a>, or <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_12" title="52.225-12" aria-label="52.225-12. Link 185">52.225-12</a> (with appropriate Alternates), respectively, that would be applicable as prescribed in paragraphs (a) through (d) of this section if Recovery Act funds were not used.</p> <p class=" ListL2" id="FAR_25_1102__d1699e137"> <span class="ph autonumber">(2)</span> If these Recovery Act provisions and clauses are only applicable to a project consisting of certain line items in the contract, identify in the schedule the line items to which the provisions and clauses apply.</p> <p class=" ListL2" id="FAR_25_1102__d1699e142"> <span class="ph autonumber">(3)</span> When using clause <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_23" title="52.225-23" aria-label="52.225-23. Link 321">52.225-23</a>, list foreign construction material in paragraph (b)(3) of the clause as follows:</p> <p class=" ListL3" id="FAR_25_1102__d1699e151"> <span class="ph autonumber">(i)</span> <em class="ph i">Basic clause</em>. List all foreign construction materials excepted from the Buy American statute or section 1605 of the Recovery Act, other than manufactured construction material from a Recovery Act designated country or unmanufactured construction material from a designated country.</p> <p class=" ListL3" id="FAR_25_1102__d1699e158"> <span class="ph autonumber">(ii)</span> <em class="ph i">Alternate I</em>. List in paragraph (b)(3) of the clause all foreign construction material excepted from the Buy American statute or section 1605 of the Recovery Act, other than-</p> <p class=" ListL4" id="FAR_25_1102__d1699e166"> <span class="ph autonumber">(A)</span> Manufactured construction material from a Recovery Act designated country other than Bahrain, Mexico, or Oman; or</p> <p class=" ListL4" id="FAR_25_1102__d1699e171"> <span class="ph autonumber">(B)</span> Unmanufactured construction material from a designated country other than Bahrain, Mexico, or Oman.</p> </div> </article> <article class="topic concept nested2" aria-labelledby="ariaid-title93" id="FAR_25_1103"> <h3 class="title topictitle3" id="ariaid-title93"> <span class="ph autonumber">25.1103</span> Other provisions and clauses.</h3> <div class="body conbody"> <p class=" ListL1" id="FAR_25_1103__d1700e10"> <span class="ph autonumber">(a)</span> <em class="ph i">Restrictions on certain foreign purchases</em>. Insert the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_13" title="52.225-13" aria-label="52.225-13. Link 418">52.225-13</a>, Restrictions on Certain Foreign Purchases, in solicitations and contracts, unless an exception applies.</p> <p class=" ListL1" id="FAR_25_1103__d1700e20"> <span class="ph autonumber">(b)</span> <em class="ph i">Translations</em>. Insert the clause at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_14" title="52.225-14" aria-label="52.225-14. Link 419">52.225-14</a>, Inconsistency Between English Version and Translation of Contract, in solicitations and contracts if anticipating translation into another language.</p> <p class=" ListL1" id="FAR_25_1103__d1700e30"> <span class="ph autonumber">(c)</span> <em class="ph i">Foreign currency offers</em>. Insert the provision at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_17" title="52.225-17" aria-label="52.225-17. Link 420">52.225-17</a>, Evaluation of Foreign Currency Offers, in solicitations that permit the use of other than a specified currency. Insert in the provision the source of the rate to be used in the evaluation of offers.</p> <p class=" ListL1" id="FAR_25_1103__d1700e40"> <span class="ph autonumber">(d)</span> The contracting officer shall include in each solicitation for the acquisition of other than commercial products or commercial services the provision at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_20" title="52.225-20" aria-label="52.225-20. Link 421">52.225-20</a>, Prohibition on Conducting Restricted Business Operations in Sudan&mdash;Certification. </p> <p class=" ListL1" id="FAR_25_1103__d1700e48"> <span class="ph autonumber">(e)</span> The contracting officer shall include in all solicitations the provision at <a class="xref fm:ParaNumOnly" href="/far/part-52#FAR_52_225_25" title="52.225-25" aria-label="52.225-25. Link 422">52.225-25</a>, Prohibition on Contracting with Entities Engaging in Certain Activities or Transactions Relating to Iran-Representation and Certifications.</p> </div> </article> </article> </article> </article> </div> <div class="nextprev"><a href="/far/24.302" class="docprevious docprevround" title="Previous" aria-label="Previous">芦 Previous</a><a href="/far/25.000" class="docnext docnextround" title="Next" aria-label="Next">Next 禄</a></div> </div> <div id="block-favoriteslinksblock" class="block block-agov-favorites block-agov-favorites-links-block"> <div id="favorites-container"><div id="favorites-header"><h4 id="favorites-heading">Favorite</h4><h4 id="favorites-close-bookmarks">X</h4></div> <div id="favorites-menu-container"></div> </div> </div> <div id="block-messagemodalblock" class="block block-agov-favorites block-agov-message-modal-block"> <div class="messages-overlay"><div id="messages-container"><div id="messages-header"></div> <div 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</li> </ul> </div> </nav> <section class="usa-identifier__section usa-identifier__section--usagov" aria-label="U.S. government information and services,"> <div class="usa-identifier__container"> <div class="usa-identifier__usagov-description"> Looking for U.S. government information and services? </div> <a href="https://www.usa.gov/" class="usa-link">Visit USA.gov</a> </div> </section> </div> </div> <div id="acquisition-insights" class="part" data-regulation="far_dita"> <div class="acquisition-insight acquisition-insight-0" data-key="0" data-type="subtitle" data-subtopic="25.504-1, 52.225-10, 52.225-11, 52.225-12, 52.225-1, 52.225-21, 52.225-22, 52.225-7" data-subpart="25.1, 25.6" ><article data-history-node-id="57452" about="/content/buy-american-act"> <div> <div class="field-section padding-y-1"> <div> <div class="paragraph paragraph--type--insights-section paragraph--view-mode--default"> <div class="field-type padding-y-1"><div about="/acquisition-insights-type/buy-american-act"> <div class="field-svg-icon padding-y-1"> <img width="40" height="40" alt="Buy American Act" src="/sites/default/files/2023-05/buy_american_icon.svg" /> </div> </div> </div> <div class="field-title padding-y-1">Buy American Statute Resources</div> <div class="field-subsection padding-y-1"> <div> <div class="paragraph paragraph--type--insights-subsection paragraph--view-mode--default"> <div class="field-not-linked-title padding-y-1">Federal Civilian Agencies</div> <div class="field-body padding-y-1"><p><a href="https://www.fai.gov/tools/Buy-American-and-Trade-Agreements-Decision-Tools">Buy American and Trade Agreements Decision Tools for Supplies</a></p></div> <div class="clearfix"></div> <div class="field-accordion-title padding-y-1"> <a href="javascript:void()" aria-label="Learn More">Learn More</a></div> <div class="field-items-count padding-y-1">2</div> <div class="field-accordion-body padding-y-1"><p><a href="https://www.fai.gov/sites/default/files/BA_TAA_DecisionTool_ClauseProvisionSelection/story.html">Clause and Provision Selection Tool</a></p> <p><a href="https://www.fai.gov/tools/Buy-American-and-Trade-Agreements-Decision-Tools">Evaluating Foreign Offers Tool</a></p></div> </div> </div> <div> <div class="paragraph paragraph--type--insights-subsection paragraph--view-mode--default"> <div class="field-not-linked-title padding-y-1">Department of Defense (DoD) Agencies</div> <div class="field-body padding-y-1"><p><a href="https://media.dau.edu/media/t/1_vvyrixha">Buy American and Balance of Payments Program Course</a></p></div> <div class="clearfix"></div> <div class="field-accordion-title padding-y-1"> <a href="javascript:void()" aria-label="Learn More">Learn More</a></div> <div class="field-items-count padding-y-1">2</div> <div class="field-accordion-body padding-y-1"><p><a href="https://icatalog.dau.edu/onlinecatalog/courses.aspx?crs=CON%200270">CON 0270 Buy American and Balance of Payments Program</a></p> <p><a href="https://www.dau.edu/tools/t/DoD-Decision-Tool-for-Buy-American">DoD Decision Tool for Buy American</a></p></div> </div> </div> </div> </div> </div> </div> <div class="node_view"></div> </div> </article> </div> <div class="acquisition-insight acquisition-insight-1" data-key="1" data-type="subtitle" data-subtopic="25.103, 25.202, 25.502, 25.1101" data-subpart="" ><article data-history-node-id="60311" about="/content/acquisition-insight-2022-01-fardita"> <div> <div class="field-section padding-y-1"> <div> <div class="paragraph paragraph--type--insights-section paragraph--view-mode--default"> <div class="field-type padding-y-1"><div about="/acquisition-insights-type/caac-letter"> <div class="field-svg-icon padding-y-1"> <img width="40" height="40" alt="CAAC Letter" src="/sites/default/files/2023-05/caac_letter_icon.svg" /> </div> </div> </div> <div class="field-title padding-y-1">CAAC Letter 2022-01</div> <div class="field-caac-letter padding-y-1"> <div> <div class="paragraph--type--insights-section"> <div class="paragraph--type--insights-subsection"> <div class="field-linked-title padding-y-1"> <a href="https://www.acquisition.gov/sites/default/files/caac/CAAC-Letter-2022-01-Made-in-America-Nonavailability-Waivers-under-EO-14005-11.16.21.pdf" target="_blank" aria-label="2022-01"> <span class="title">CAAC Letter 2022-01</span> </a> </div> <div class="field-subtitle padding-y-1"> Nov 16, 2021 </div> <div class="field-body padding-y-1"><p> <a href="https://www.acquisition.gov/sites/default/files/caac/CAAC-Letter-2022-01-Made-in-America-Nonavailability-Waivers-under-EO-14005-11.16.21.pdf" target="_blank" aria-label="2022-01"> Class Deviation From the Federal Acquisition Regulation (FAR) Regarding Requirements for Nonavailability Determinations Under the Buy American Statute </a> </p> </div> <div class="clearfix"></div> <div class="field-accordion-title padding-y-1"> <a href="javascript:void()" aria-label="Related Agency Class Deviations">Related Agency Class Deviations</a> </div> <div class="field-items-count padding-y-1">8</div> <div class="field-accordion-body padding-y-1" style="display: none;"> <p><a href="https://www.acquisition.gov/sites/default/files/caac/deviation/Department_of_Commerce_PM_2022-02_FAR_Class_Deviation_MIAO.pdf" target="_blank">Department of Commerce (DOC)</a></p> <p><a href="https://www.acquisition.gov/sites/default/files/caac/deviation/DOI-AAAP-0180_v01.pdf" target="_blank">Department of Interior (DOI)</a></p> <p><a href="https://www.acquisition.gov/sites/default/files/caac/deviation/DOJ_FAR_Class_Deviation-EO_14005_Implementation_MIA.pdf" target="_blank">Department of Justice (DOJ)</a></p> <p><a href="https://www.acquisition.gov/sites/default/files/caac/deviation/HHS_Class_Deviation_2022-01_Made_in_America.pdf" target="_blank">Department of the Health and Human Services (HHS)</a></p> <p><a href="https://www.acquisition.gov/sites/default/files/caac/deviation/VA_CAAC_2022-01_deviation-far-20211201.pdf" target="_blank">Department of Veterans Affairs (VA)</a></p> <p><a href="https://www.acquisition.gov/sites/default/files/caac/deviation/CD-2022-01.pdf" target="_blank">General Services Administration (GSA)</a></p> <p><a href="https://www.acquisition.gov/sites/default/files/caac/deviation/NSF_MIA_FAR_Deviation_Memo_01.13.2022.pdf" target="_blank">National Science Foundation (NSF)</a></p> <p><a href="https://www.acquisition.gov/sites/default/files/caac/deviation/OPM_FAR_Deviation_22-02.pdf" target="_blank">Office of Personnel Management (OPM)</a></p> </div> </div> </div> </div> </div> </div> </div> </div> <div class="node_view"></div> </div> </article> </div> <div class="acquisition-insight acquisition-insight-2" data-key="2" data-type="subtitle" data-subtopic="25.103, 25.202, 25.502, 25.1101" data-subpart="" ><article data-history-node-id="60357" about="/content/acquisition-insight-2022-01-supplement-1-fardita"> <div> <div class="field-section padding-y-1"> <div> <div class="paragraph paragraph--type--insights-section paragraph--view-mode--default"> <div class="field-type padding-y-1"><div about="/acquisition-insights-type/caac-letter"> <div class="field-svg-icon padding-y-1"> <img width="40" height="40" alt="CAAC Letter" src="/sites/default/files/2023-05/caac_letter_icon.svg" /> </div> </div> </div> <div class="field-title padding-y-1">CAAC Letter 2022-01 Supplement 1</div> <div class="field-caac-letter padding-y-1"> <div> <div class="paragraph--type--insights-section"> <div class="paragraph--type--insights-subsection"> <div class="field-linked-title padding-y-1"> <a href="https://www.acquisition.gov/sites/default/files/caac/CAAC_Letter_2022-01_Supplement_1.pdf" target="_blank" aria-label="2022-01 Supplement 1"> <span class="title">CAAC Letter 2022-01 Supplement 1</span> </a> </div> <div class="field-subtitle padding-y-1"> Feb 1, 2023 </div> <div class="field-body padding-y-1"><p> <a href="https://www.acquisition.gov/sites/default/files/caac/CAAC_Letter_2022-01_Supplement_1.pdf" target="_blank" aria-label="2022-01 Supplement 1"> Supplement to the Class Deviation From the Federal Acquisition Regulation (FAR) Regarding Requirements for Nonavailability Determinations Under the Buy American Statute </a> </p> </div> <div class="clearfix"></div> <div class="field-accordion-title padding-y-1"> <a href="javascript:void()" aria-label="Related Agency Class Deviations">Related Agency Class Deviations</a> </div> <div class="field-items-count padding-y-1">1</div> <div class="field-accordion-body padding-y-1" style="display: none;"> <p><a href="https://www.acquisition.gov/sites/default/files/caac/deviation/Department_of_Commerce_PM_2022-02_FAR_Class_Deviation_MIAO_Supplement.pdf" target="_blank">Department of Commerce (DOC)</a></p> </div> </div> </div> </div> </div> </div> </div> </div> <div class="node_view"></div> 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