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(Revised August 2, 2016)

 

 



 225.001 General.
 225.003 Definitions.
 225.070 Reporting of acquisition of end products manufactured outside the United States.


225.001  General.

For guidance on evaluating offers of foreign end products, see PGI 225.001 (DFARS/PGI view).

 

225.003  Definitions.

As used in this part--

 

      (1)  "Caribbean Basin country end product" includes petroleum or any product derived from petroleum.

 

      (2)  "Defense equipment" means any equipment, item of supply, component, or end product purchased by DoD.

 

      (3)  "Domestic concern" means--

 

              (i)  A concern incorporated in the United States (including a subsidiary that is incorporated in the United States, even if the parent corporation is a foreign concern); or

 

              (ii)  An unincorporated concern having its principal place of business in the United States.

 

      (4)  "Domestic end product" has the meaning given in the clauses at 252.225-7001, Buy American and Balance of Payments Program; and 252.225-7036, Buy American—Free Trade Agreements—Balance of Payments Program, instead of the meaning in FAR 25.003.

 

      (5)  "Eligible product" means, instead of the definition in FAR 25.003--

 

              (i)  A foreign end product that--

 

                    (A)  Is in a category listed in 225.401-70; and

 

                    (B)  Is not subject to discriminatory treatment, due to the applicability of a trade agreement to a particular acquisition;

 

              (ii)  A foreign construction material that is not subject to discriminatory treatment, due to the applicability of a trade agreement to a particular acquisition; or

 

              (iii)  A foreign service that is not subject to discriminatory treatment, due to the applicability of a trade agreement to a particular acquisition.

 

      (6)  "Foreign concern" means any concern other than a domestic concern.

 

      (7)  "Free Trade Agreement country" does not include Oman.

 

      (8)  "Nonqualifying country" means a country other than the United States or a qualifying country.

 

      (9)  “Nonqualifying country component” means a component mined, produced, or manufactured in a nonqualifying country.

 

      (10)  "Qualifying country" means a country with a reciprocal defense procurement memorandum of understanding or international agreement with the United States in which both countries agree to remove barriers to purchases of supplies produced in the other country or services performed by sources of the other country, and the memorandum or agreement complies, where applicable, with the requirements of section 36 of the Arms Export Control Act (22 U.S.C. 2776) and with 10 U.S.C. 2457. Accordingly, the following are qualifying countries:

 

              Australia

              Austria

              Belgium

              Canada

              Czech Republic

              Denmark

              Egypt

              Finland

              France

              Germany

              Greece

              Israel

              Italy

              Japan

              Luxembourg

              Netherlands

              Norway

              Poland

              Portugal

              Slovenia

              Spain

              Sweden

              Switzerland

              Turkey

              United Kingdom of Great Britain and Northern Ireland.

 

      (11)  "Qualifying country component" and "qualifying country end product" are defined in the clauses at 252.225-7001, Buy American and Balance of Payments Program; and 252.225-7036, Buy American–Free Trade Agreements–Balance of Payments Program. "Qualifying country end product" is also defined in the clause at 252.225-7021, Trade Agreements.

 

      (12)  "Qualifying country offer" means an offer of a qualifying country end product, including the price of transportation to destination.

 

      (13)  "Source," when restricted by words such as foreign, domestic, or qualifying country, means the actual manufacturer or producer of the end product or component. 

 

      (14)  “South Caucasus/Central and South Asian (SC/CASA) state” means Armenia, Azerbaijan, Georgia, Kazakhstan, Kyrgyzstan, Pakistan, Tajikistan, Turkmenistan, or Uzbekistan.

 

     (15)  “South Caucasus/Central and South Asian (SC/CASA) state construction material” means construction material that

 

              (i)  Is wholly the growth, product, or manufacture of an SC/CASA state; or

 

              (ii)  In the case of a construction material that consists in whole or in part of materials from another country, has been substantially transformed in an SC/CASA state into a new and different construction material distinct from the material from which it was transformed.

 

     (16)  “South Caucasus/Central and South Asian (SC/CASA) state end product” means an article that¾

 

              (i)  Is wholly the growth, product, or manufacture of an SC/CASA state; or

 

              (ii)  In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in an SC/CASA state 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 its supply, provided that the value of those incidental services does not exceed the value of the product itself.

 

225.070  Reporting of acquisition of end products manufactured outside the United States.

Follow the procedures at PGI 225.070 (DFARS/PGI view) for entering the data on the acquisition of end products manufactured outside the United States.

 


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