252.225-7000 Buy American--Balance of Payments Program Certificate.
252.225-7001 Buy American and Balance of Payments Program.
252.225-7002 Qualifying Country Sources as Subcontractors.
252.225-7003 Report of Intended Performance Outside the United States and
Canada—Submission with Offer.
252.225-7004 Report of Intended Performance Outside the United States and
Canada—Submission after Award.
252.225-7005 Identification of Expenditures in the United States.
252.225-7006 Acquisition of the American Flag.
252.225-7007 Prohibition on Acquisition of Certain Items from Communist
Chinese Military Companies.
252.225-7008 Restriction on Acquisition of Specialty
Metals.
252.225-7009 Restriction on Acquisition of Certain
Articles Containing Specialty
Metals.
252.225-7010 Commercial Derivative Military
Article—Specialty Metals
Compliance Certificate.
252.225-7011 Restriction on Acquisition of Supercomputers.
252.225-7012 Preference for Certain Domestic Commodities.
252.225-7013 Duty-Free Entry.
252.225-7014 Reserved.
252.225-7015 Restriction on Acquisition of Hand or
Measuring Tools.
252.225-7016 Restriction on Acquisition of Ball and Roller
Bearings.
252.225-7017 Photovoltaic Devices.
252.225-7018 Photovoltaic Devices—Certificate.
252.225-7019 Restriction on Acquisition of Anchor and
Mooring Chain.
252.225-7020 Trade Agreements Certificate.
252.225-7021 Trade Agreements.
252.225-7022 Reserved.
252.225-7023 Preference for Products or Services from Afghanistan.
252.225-7024 Requirement for Products or Services from Afghanistan.
252.225-7025 Restriction on Acquisition of Forgings.
252.225-7026 Acquisition Restricted to Products or Services from
Afghanistan.
252.225-7027 Restriction on Contingent Fees for Foreign
Military Sales.
252.225-7028 Exclusionary Policies and Practices of
Foreign Governments.
252.225-7029 Acquisition of Uniform Components for Afghan Military or Afghan National Police.
252.225-7030 Restriction on Acquisition of Carbon, Alloy,
and Armor Steel Plate.
252.225-7031 Secondary Arab Boycott of Israel.
252.225-7032 Waiver of United Kingdom Levies—Evaluation of Offers.
252.225-7033 Waiver of United Kingdom Levies.
252.225-7034 Reserved.
252.225-7035 Buy American--Free Trade Agreements--Balance of Payments
Program Certificate.
252.225-7036 Buy American—Free Trade Agreements--Balance of Payments
Program.
252.225-7037 Reserved.
252.225-7038 Reserved.
252.225-7039 Defense Contractors Performing Private Security Functions Outside the United States.
252.225-7040 Contractor Personnel Supporting U.S. Armed Forces
Deployed
Outside the United States.
252.225-7041 Correspondence in English.
252.225-7042 Authorization to Perform.
252.225-7043 Antiterrorism/Force Protection for Defense Contractors Outside the
United States.
252.225-7044 Balance of Payments Program--Construction Material.
252.225-7045 Balance of Payments Program--Construction Material Under Trade
Agreements.
252.225-7046 Exports by Approved Community Members in Response to the
Solicitation.
252.225-7047 Exports by Approved Community Members in Performance of the
Contract.
252.225-7048 Export-Controlled Items.
252.225-7049 Prohibition on Acquisition of Certain Foreign Commercial Satellite Services—Representations.
252.225-7050 Disclosure of Ownership or Control by the Government of a Country that is a State Sponsor of Terrorism.
252.225-7051 Prohibition on Acquisition of Certain Foreign Commercial Satellite Services.
252.225-7052 Restriction on the Acquisition of Certain Magnets, Tantalum, and Tungsten.
252.225-7053 Representation Regarding Prohibition on Use of Certain Energy Sourced from Inside the Russian Federation.
252.225-7054 Prohibition on Use of Certain Energy Sourced from Inside the Russian Federation.
252.225-7055 Representation Regarding Business Operations with the Maduro Regime.
252.225-7056 Prohibition Regarding Business Operations with the Maduro Regime.
252.225-7057 Preaward Disclosure of Employment of Individuals Who Work in the People’s Republic of China.
252.225-7058 Postaward Disclosure of Employment of Individuals Who Work in the People’s Republic of China.
252.225-7059 Prohibition on Certain Procurements from the Xinjiang Uyghur Autonomous Region–Representation.
252.225-7060 Prohibition on Certain Procurements from the Xinjiang Uyghur Autonomous Region.
252.225-7061 Restriction on the Acquisition of Personal Protective Equipment and Certain Other Items from Non-Allied Foreign Nations.
252.225-7062 Restriction on Acquisition of Large Medium-Speed Diesel Engines.
252.225-7063 Restriction on Acquisition of Components of T-AO 205 and T-ARC Class Vessels.
252.225-7064 Restriction on Acquisition of Certain Satellite Components.
252.225-7065 Restriction on Acquisition of Fuel for Overseas Contingency Operations.
252.225-7000 Buy American--Balance of Payments Program Certificate.
Basic. As prescribed in 225.1101(1) and (1)(i), use the following provision:
BUY AMERICAN—BALANCE OF PAYMENTS PROGRAM CERTIFICATE—BASIC (FEB 2024)
(a) Definitions. “Commercially available off-the-shelf (COTS) item,” “component,” “critical component,” “critical item,” “domestic end product,” “foreign end product,” “qualifying country,” “qualifying country end product,” and “United States,” as used in this provision, have the meanings given in the 252.225-7001, Buy American and Balance of Payments Program—Basic clause of this solicitation.
(b) Evaluation. The Government—
(1) Will evaluate offers in accordance with the
policies and procedures of Part 225 of the Defense Federal Acquisition
Regulation Supplement; and
(2) Will evaluate offers of qualifying country end products without regard to the
restrictions of the Buy American statute or the Balance of Payments Program.
(c) Certifications
and identification of country of origin.
(1) For all line items subject to the Buy American and Balance of Payments Program—Basic clause of this solicitation, the Offeror certifies that—
(i) Each end product, except those listed in paragraphs (c)(2) or (3) of this provision, is a domestic end product and that each domestic end product listed in paragraph (c)(4) of this provision contains a critical component or a critical item; and
(ii) For end products other than COTS items, components of unknown origin are considered to have been mined, produced, or manufactured outside the
(2) The Offeror certifies that the following end products are qualifying country end products:
Line Item Number |
Country of Origin |
|
|
|
|
|
|
(3) The following end products are other foreign end products,
including end products manufactured in the United States that do not qualify as domestic end products. For those foreign end products that do not consist wholly or predominantly of iron or steel or a combination of both, the Offeror shall also indicate whether these foreign end products exceed 55 percent domestic content, except for those that are COTS items. If the percentage of the domestic content is unknown, select “no”.
Line Item Number |
Country of Origin (If known) |
Exceeds 55% Domestic Content (yes/no) |
|
|
|
|
|
|
|
|
|
(4) The Offeror shall separately list the line item numbers of domestic end products that contain a critical component or a critical item (see Federal Acquisition Regulation 25.105).
Domestic end products containing a critical component or a critical item:
Line Item Number _________________________________________________
[List as necessary]
(End of
provision)
Alternate I. As prescribed in 225.1101(1) and (1)(ii), use the following provision, which adds “South Caucasus/Central and South Asian (SC/CASA) state” and “South Caucasus/Central and South Asian (SC/CASA) state end product” in paragraph (a), and replaces “qualifying country end products” in paragraphs (b)(2) and (c)(2) with “qualifying country end products or SC/CASA state end products”:
BUY AMERICAN—BALANCE OF PAYMENTS PROGRAM CERTIFICATE—ALTERNATE I (FEB 2024)
(a) Definitions. “Commercially available off-the-shelf (COTS) item,” “component,” “critical component,” “critical item,” “domestic end product,” “foreign end product,” “qualifying country,” “qualifying country end product,” “South Caucasus/Central and South Asian (SC/CASA) state,” “South Caucasus/Central and South Asian (SC/CASA) state end product,” and “United States,” as used in this provision, have the meanings given in the 252.225-7001, Buy American and Balance of Payments Program—Alternate I clause of this solicitation.
(b) Evaluation. The Government—
(1) Will evaluate offers in accordance with the policies and procedures of part 225 of the Defense Federal Acquisition Regulation Supplement; and
(2) Will evaluate offers of qualifying country end products or SC/CASA state end products without regard to the restrictions of the Buy American statute or the Balance of Payments Program.
(c) Certifications and identification of country of origin.
(1) For all line items subject to the Buy American and Balance of Payments Program—Alternate I clause of this solicitation, the Offeror certifies that—
(i) Each end product, except those listed in paragraphs (c)(2) or (3) of this provision, is a domestic end product and that each domestic end product listed in paragraph (c)(4) of this provision contains a critical component or a critical item; and
(ii) For end products other than COTS items, components of unknown origin are considered to have been mined, produced, or manufactured outside the United States or a qualifying country. For those end products that do not consist wholly or predominantly of iron or steel or a combination of both, the Offeror shall also indicate whether these foreign end products exceed 55 percent domestic content, except for those that are COTS items. If the percentage of the domestic content is unknown, select “no”.
(2) The Offeror certifies that the following end products are qualifying country end products or SC/CASA state end products:
Line Item Number |
Country of Origin |
|
|
|
|
|
|
(3) The following end products are other foreign end products, including end products manufactured in the United States that do not qualify as domestic end products. For those foreign end products that do not consist wholly or predominantly of iron or steel or a combination of both, the Offeror shall also indicate whether these foreign end products exceed 55 percent domestic content, except for those that are COTS items. If the percentage of the domestic content is unknown, select “no”.
Line Item Number |
Country of Origin (If known) |
Exceeds 55% Domestic Content (yes/no) |
|
|
|
|
|
|
|
|
|
(4) The Offeror shall separately list the line item numbers of domestic end products that contain a critical component or a critical item (see Federal Acquisition Regulation 25.105).
Domestic end products containing a critical component or a critical item:
Line Item Number ________________________________________
[List as necessary]
(End of
provision)
252.225-7001 Buy American and Balance of Payments Program.
Basic. As prescribed in 225.1101(2)(i) and (2)(ii), use the following clause:
BUY AMERICAN AND BALANCE OF PAYMENTS PROGRAM—BASIC
(FEB 2024)
(a) Definitions. As used in this clause—
“Commercially available off-the-shelf (COTS)
item”—
(1) Means any item of supply (including
construction material) that is—
(i) A commercial product (as defined in paragraph (1) of the definition of “commercial product” in section 2.101 of the Federal Acquisition Regulation (FAR));
(ii) Sold in substantial quantities in the
commercial marketplace; and
(iii) Offered to the Government, under a contract
or subcontract at any tier, without modification, in the same form in which it
is sold in the commercial marketplace; and
(2) Does not include bulk cargo, as defined in 46 U.S.C. 40102(4), such as agricultural products and petroleum products.
“Component” means an article, material, or
supply incorporated directly into an end product.
“Critical component” 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 FAR 25.105.
“Critical item” 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 FAR 25.105.
“Domestic end product” means—
(1) For an end product that does not consist wholly or predominantly of iron or steel or a combination of both—
(i) An unmanufactured end product mined or produced in the United States;
or
(ii) An end product manufactured in the
(A) The cost of its qualifying country components and its components that are 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 25.101(d), or award is made before January 1, 2030, for a foreign end product that exceeds 55 percent domestic content (see Defense Federal Acquisition Regulation Supplement 225.103(b)(ii)). The cost of components includes transportation costs to the place of incorporation into the end product and U.S. duty (whether or not a duty-free entry certificate is issued). Components of unknown origin are treated as foreign. Scrap generated, collected, and prepared for processing in the United States is considered domestic. A component is considered to have been mined, produced, or manufactured in the United States (regardless of its source in fact) if the end product in which it is incorporated is manufactured in the United States and the component is of a class or kind for which the Government has determined that—
(1) Sufficient and reasonably available
commercial quantities of a satisfactory quality are not mined, produced, or
manufactured in the
(2)
It is inconsistent with the public interest to apply the
restrictions of the Buy American statute; or
(B) The end product is a COTS item; or
(2) 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 iron and steel not produced in the United States or a qualifying country constitutes less than 5 percent of the cost of all the components used in the end product (produced in the United States or a qualifying country means that all manufacturing processes of the iron or steel must take place in the United States or a qualifying country, except metallurgical processes involving refinement of steel additives). The cost of iron and steel not produced in the United States or a qualifying country includes but is not limited to the cost of iron or steel mill products (such as bar, billet, slab, wire, plate, or sheet), castings, or forgings, not produced in the United States or a qualifying country, utilized in the manufacture of the end product and a good faith estimate of the cost of all iron or steel components not produced in the United States or a qualifying country, 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 explanation of cost of components in paragraph (1)(ii)(A) of this definition.
“End product” means those articles,
materials, and supplies to be acquired under this contract for public use.
“Foreign end product” means an end product
other than a domestic end product.
“Predominantly of iron or steel or a combination of both” 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.
“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
Estonia
Finland
France
Germany
Greece
Israel
Italy
Japan
Latvia
Lithuania
Luxembourg
Netherlands
Norway
Poland
Portugal
Slovenia
Spain
Sweden
Switzerland
Turkey
United Kingdom of Great Britain and Northern Ireland.
“Qualifying country component” means a
component mined, produced, or manufactured in a qualifying country.
“Qualifying country end product” means—
(1) An unmanufactured end product mined or
produced in a qualifying country; or
(2) An end product manufactured in a qualifying country if—
(i) The cost of the following types of components 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:
(A) Components mined, produced, or manufactured
in a qualifying country.
(B) Components mined, produced, or manufactured
in the
(C) Components of foreign origin of a class or kind for which the
Government has determined that sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the
United States. Components of unknown origin are treated as foreign; or
(ii) The end product is a COTS item.
“Steel” means an alloy that includes at least 50 percent iron, between 0.02 and 2 percent carbon, and may include other elements.
“
(b) This clause implements 41 U.S.C chapter 83, Buy American. In accordance with 41 U.S.C. 1907, the component test of the Buy American statute is waived for an end product that is a COTS item (see FAR 12.505(a)(1)). Unless otherwise specified, this clause applies to all line items in the contract.
(c) The Contractor shall deliver only domestic end products unless, in its offer, it specified delivery of other end products in the Buy American—Balance of Payments Program Certificate provision of the solicitation. If the Contractor certified in its offer that it will deliver a qualifying country end product, the Contractor shall deliver a qualifying country end product or, at the Contractor’s option, a domestic end product.
(d) The contract price does not include duty for
end products or components for which the Contractor will claim duty-free entry.
(End of
clause)
Alternate I. As prescribed in 225.1101(2)(i) and (2)(iii), use the following clause, which adds “South Caucasus/Central and South Asian (SC/CASA) state” and “South Caucasus/Central and South Asian (SC/CASA) state end product” to paragraph (a), and uses different paragraphs (b) and (c) than the basic clause:
BUY AMERICAN AND BALANCE OF PAYMENTS PROGRAM—ALTERNATE I
(FEB 2024)
(a) Definitions. As used in this clause—
“Commercially available off-the-shelf (COTS)
item”—
(1) Means any item of supply (including construction material) that is—
(i) A commercial product (as defined in paragraph (1) of the definition of “commercial product” in section 2.101 of the Federal Acquisition Regulation (FAR));
(ii) Sold in substantial quantities in the commercial marketplace; and
(iii) Offered to the Government, under a contract or subcontract at any tier, without modification, in the same form in which it is sold in the commercial marketplace; and
(2) Does not include bulk cargo, as defined in 46 U.S.C. 40102(4), such as agricultural products and petroleum products.
“Component” means an article, material, or supply incorporated directly into an end product.
“Critical component” 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 FAR 25.105.
“Critical item” 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 FAR 25.105.
“Domestic end product” means—
(1) For an end product that does not consist wholly or predominantly of iron or steel or a combination of both—
(i) An unmanufactured end product mined or produced in the United States; or
(ii) An end product manufactured in the United States if—
(A) The cost of its qualifying country components and its components that are 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 25.101(d)), or award is made before January 1, 2030, for a foreign end product that exceeds 55 percent domestic content (see Defense Federal Acquisition Regulation Supplement 225.103(b)(ii)). The cost of components includes transportation costs to the place of incorporation into the end product and U.S. duty (whether or not a duty-free entry certificate is issued). Components of unknown origin are treated as foreign. Scrap generated, collected, and prepared for processing in the United States is considered domestic. A component is considered to have been mined, produced, or manufactured in the United States (regardless of its source in fact) if the end product in which it is incorporated is manufactured in the United States and the component is of a class or kind for which the Government has determined that—
(1) Sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States; or
(2) It is inconsistent with the public interest to apply the restrictions of the Buy American statute; or
(B) The end product is a COTS item; or
(2) 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 iron and steel not produced in the United States or a qualifying country constitutes less than 5 percent of the cost of all the components used in the end product (produced in the United States or a qualifying country means that all manufacturing processes of the iron or steel must take place in the United States or a qualifying country, except metallurgical processes involving refinement of steel additives). The cost of iron and steel not produced in the United States or a qualifying country includes but is not limited to the cost of iron or steel mill products (such as bar, billet, slab, wire, plate, or sheet), castings, or forgings, not produced in the United States or a qualifying country, utilized in the manufacture of the end product and a good faith estimate of the cost of all iron or steel components not produced in the United States or a qualifying country, 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 explanation of cost of components in paragraph (1)(ii)(A) of this definition.
“End product” means those articles, materials, and supplies to be acquired under this contract for public use.
“Foreign end product” means an end product other than a domestic end product.
“Predominantly of iron or steel or a combination of both” 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.
“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
Estonia
Finland
France
Germany
Greece
Israel
Italy
Japan
Latvia
Lithuania
Luxembourg
Netherlands
Norway
Poland
Portugal
Slovenia
Spain
Sweden
Switzerland
Turkey
United Kingdom of Great Britain and Northern Ireland.
“Qualifying country component” means a component mined, produced, or manufactured in a qualifying country.
“Qualifying country end product” means—
(1) An unmanufactured end product mined or produced in a qualifying country; or
(2) An end product manufactured in a qualifying country if —
(i) The cost of the following types of components 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:
(A) Components mined, produced, or manufactured in a qualifying country.
(B) Components mined, produced, or manufactured in the United States.
(C) Components of foreign origin of a class or kind for which the Government has determined that sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States. Components of unknown origin are treated as foreign; or
(ii) The end product is a COTS item.
“South Caucasus/Central and South Asian (SC/CASA) state” means Armenia, Azerbaijan, Georgia, Kazakhstan, Kyrgyzstan, Pakistan, Tajikistan, Turkmenistan, or Uzbekistan.
“South Caucasus/Central and South Asian (SC/CASA) state end product” means an article that—
(1) Is wholly the growth, product, or manufacture of an SC/CASA state; or
(2) 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.
“Steel” means an alloy that includes at least 50 percent iron, between 0.02 and 2 percent carbon, and may include other elements.
“United States” means the 50 States, the District of Columbia, and outlying areas.
(b) This clause implements the Balance of Payments Program. Unless otherwise specified, this clause applies to all line items in the contract.
(c) The Contractor shall deliver only domestic end products unless, in its offer, it specified delivery of other end products in the Buy American Balance of Payments Program Certificate provision of the solicitation. If the Contractor certified in its offer that it will deliver a qualifying country end product or an SC/CASA state end product, the Contractor shall deliver a qualifying country end product, an SC/CASA state end product, or, at the Contractor’s option, a domestic end product.
(d) The contract price does not include duty for end products or components for which the Contractor will claim duty-free entry.
(End of
clause)
Alternate II. As prescribed in 225.1101(2)(i) and (2)(iv), use the following clause, which includes, in the definitions of “domestic end product” at paragraph (1)(ii)(A) and “qualifying country end product” at paragraph (2)(i), the domestic content threshold that will apply to the entire contract period of performance.
BUY AMERICAN AND BALANCE OF PAYMENTS PROGRAM—ALTERNATE II (FEB 2024)
(a) Definitions. As used in this clause—
“Commercially available off-the-shelf (COTS) item”—
(1) Means any item of supply (including construction material) that is—
(i) A commercial product (as defined in paragraph (1) of the definition of “commercial product” in section 2.101 of the Federal Acquisition Regulation (FAR));
(ii) Sold in substantial quantities in the commercial marketplace; and
(iii) Offered to the Government, under a contract or subcontract at any tier, without modification, in the same form in which it is sold in the commercial marketplace; and
(2) Does not include bulk cargo, as defined in 46 U.S.C. 40102(4), such as agricultural products and petroleum products.
“Component” means an article, material, or supply incorporated directly into an end product.
“Critical component” 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 FAR 25.105.
“Critical item” 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 FAR 25.105.
"Domestic end product” means—
(1) For an end product that does not consist wholly or predominantly of iron or steel or a combination of both—
(i) An unmanufactured end product mined or produced in the United States; or
(ii) An end product manufactured in the United States if—
(A) The cost of its qualifying country components and its components that are mined, produced, or manufactured in the United States exceeds, for the entire period of performance for a contract awarded in: calendar year 2023, 60 percent of the cost of all its components; calendar years 2024 through 2028, 65 percent of the cost of all its components; or calendar year 2029 or later, 75 percent of the cost of all its components. The cost of components includes transportation costs to the place of incorporation into the end product and U.S. duty (whether or not a duty-free entry certificate is issued). Components of unknown origin are treated as foreign. Scrap generated, collected, and prepared for processing in the United States is considered domestic. A component is considered to have been mined, produced, or manufactured in the United States (regardless of its source in fact) if the end product in which it is incorporated is manufactured in the United States and the component is of a class or kind for which the Government has determined that—
(1) Sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States; or
(2) It is inconsistent with the public interest to apply the restrictions of the Buy American statute; or
(B) The end product is a COTS item; or
(2) 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 iron and steel not produced in the United States or a qualifying country constitutes less than 5 percent of the cost of all the components used in the end product (produced in the United States or a qualifying country means that all manufacturing processes of the iron or steel must take place in the United States or a qualifying country, except metallurgical processes involving refinement of steel additives). The cost of iron and steel not produced in the United States or a qualifying country includes but is not limited to the cost of iron or steel mill products (such as bar, billet, slab, wire, plate, or sheet), castings, or forgings, not produced in the United States or a qualifying country, utilized in the manufacture of the end product and a good faith estimate of the cost of all iron or steel components not produced in the United States or a qualifying country, 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 explanation of cost of components in paragraph (1)(ii)(A) of this definition.
“End product” means those articles, materials, and supplies to be acquired under this contract for public use.
“Foreign end product” means an end product other than a domestic end product.
“Predominantly of iron or steel or a combination of both” 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.
“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
Estonia
Finland
France
Germany
Greece
Israel
Italy
Japan
Latvia
Lithuania
Luxembourg
Netherlands
Norway
Poland
Portugal
Slovenia
Spain
Sweden
Switzerland
Turkey
United Kingdom of Great Britain and Northern Ireland.
"Qualifying country component” means a component mined, produced, or manufactured in a qualifying country.
“Qualifying country end product” means—
(1) An unmanufactured end product mined or produced in a qualifying country; or
(2) An end product manufactured in a qualifying country if—
(i) The cost of the following types of components exceeds, for the entire period of performance for a contract awarded in calendar year 2023, 60 percent of the cost of all its components; calendar years 2024 through 2028, 65 percent of the cost of all its components; or calendar year 2029 or later, 75 percent of the cost of all its components:
(A) Components mined, produced, or manufactured in a qualifying country.
(B) Components mined, produced, or manufactured in the United States.
(C) Components of foreign origin of a class or kind for which the Government has determined that sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States. Components of unknown origin are treated as foreign; or
(ii) The end product is a COTS item.
“Steel” means an alloy that includes at least 50 percent iron, between 0.02 and 2 percent carbon, and may include other elements.
“United States” means the 50 States, the District of Columbia, and outlying areas.
(b) This clause implements 41 U.S.C. chapter 83, Buy American. In accordance with 41 U.S.C. 1907, the component test of the Buy American statute is waived for an end product that is a COTS item (see FAR 12.505(a)(1)). Unless otherwise specified, this clause applies to all line items in the contract.
(c) The Contractor shall deliver only domestic end products unless, in its offer, it specified delivery of other end products in the Buy American—Balance of Payments Program Certificate provision of the solicitation. If the Contractor certified in its offer that it will deliver a qualifying country end product, the Contractor shall deliver a qualifying country end product or, at the Contractor’s option, a domestic end product.
(d) The contract price does not include duty for end products or components for which the Contractor will claim duty-free entry.
(End of
clause)
Alternate III. As prescribed in 225.1101(2)(i) and (2)(v), use the following clause, which includes, in the definitions of “domestic end product” at paragraph (1)(ii)(A) and “qualifying country end product” at paragraph (2)(i), the domestic content threshold that will apply to the entire contract period of performance; adds “South Caucasus/Central and South Asian (SC/CASA) state” and “South Caucasus/Central and South Asian (SC/CASA) state end product” to paragraph (a); and uses different paragraphs (b) and (c) than the basic clause:
BUY AMERICAN AND BALANCE OF PAYMENTS PROGRAM—ALTERNATE III (FEB 2024)
(a) Definitions. As used in this clause—
“Commercially available off-the-shelf (COTS) item”—
(1) Means any item of supply (including construction material) that is—
(i) A commercial product (as defined in paragraph (1) of the definition of “commercial product” in section 2.101 of the Federal Acquisition Regulation (FAR));
(ii) Sold in substantial quantities in the commercial marketplace; and
(iii) Offered to the Government, under a contract or subcontract at any tier, without modification, in the same form in which it is sold in the commercial marketplace; and
(2) Does not include bulk cargo, as defined in 46 U.S.C. 40102(4), such as agricultural products and petroleum products.
“Component” means an article, material, or supply incorporated directly into an end product.
“Critical component” 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 FAR 25.105.
“Critical item” 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 FAR 25.105.
“Domestic end product” means—
(1) For an end product that does not consist wholly or predominantly of iron or steel or a combination of both—
(i) An unmanufactured end product mined or produced in the United States; or
(ii) An end product manufactured in the United States if—
(A) The cost of its qualifying country components and its components that are mined, produced, or manufactured in the United States exceeds, for the entire period of performance for a contract awarded in: calendar year 2023, 60 percent of the cost of all its components; calendar years 2024 through 2028, 65 percent of the cost of all its components; or calendar year 2029 or later, 75 percent of the cost of all its components. The cost of components includes transportation costs to the place of incorporation into the end product and U.S. duty (whether or not a duty-free entry certificate is issued). Components of unknown origin are treated as foreign. Scrap generated, collected, and prepared for processing in the United States is considered domestic. A component is considered to have been mined, produced, or manufactured in the United States (regardless of its source in fact) if the end product in which it is incorporated is manufactured in the United States and the component is of a class or kind for which the Government has determined that—
(1) Sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States; or
(2) It is inconsistent with the public interest to apply the restrictions of the Buy American statute; or
(B) The end product is a COTS item; or
(2) 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 iron and steel not produced in the United States or a qualifying country constitutes less than 5 percent of the cost of all the components used in the end product (produced in the United States or a qualifying country means that all manufacturing processes of the iron or steel must take place in the United States or a qualifying country, except metallurgical processes involving refinement of steel additives). The cost of iron and steel not produced in the United States or a qualifying country includes but is not limited to the cost of iron or steel mill products (such as bar, billet, slab, wire, plate, or sheet), castings, or forgings, not produced in the United States or a qualifying country, utilized in the manufacture of the end product and a good faith estimate of the cost of all iron or steel components not produced in the United States or a qualifying country, 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 explanation of cost of components in paragraph (1)(ii)(A) of this definition.
“End product” means those articles, materials, and supplies to be acquired under this contract for public use.
“Foreign end product” means an end product other than a domestic end product.
“Predominantly of iron or steel or a combination of both” 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.
“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
Estonia
Finland
France
Germany
Greece
Israel
Italy
Japan
Latvia
Lithuania
Luxembourg
Netherlands
Norway
Poland
Portugal
Slovenia
Spain
Sweden
Switzerland
Turkey
United Kingdom of Great Britain and Northern Ireland.
“Qualifying country component” means a component mined, produced, or manufactured in a qualifying country.
"Qualifying country end product” means—
(1) An unmanufactured end product mined or produced in a qualifying country; or
(2) An end product manufactured in a qualifying country if—
(i) The cost of the following types of components exceeds, for the entire period of performance for a contract awarded in: calendar year 2023, 60 percent of the cost of all its components; calendar years 2024 through 2028, 65 percent of the cost of all its components; or calendar year 2029 or later, 75 percent of the cost of all its components:
(A) Components mined, produced, or manufactured in a qualifying country.
(B) Components mined, produced, or manufactured in the United States.
(C) Components of foreign origin of a class or kind for which the Government has determined that sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States. Components of unknown origin are treated as foreign; or
(ii) The end product is a COTS item.
“South Caucasus/Central and South Asian (SC/CASA) state” means Armenia, Azerbaijan, Georgia, Kazakhstan, Kyrgyzstan, Pakistan, Tajikistan, Turkmenistan, or Uzbekistan.
“South Caucasus/Central and South Asian (SC/CASA) state end product” means an article that—
(1) Is wholly the growth, product, or manufacture of an SC/CASA state; or
(2) 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.
“Steel” means an alloy that includes at least 50 percent iron, between 0.02 and 2 percent carbon, and may include other elements.
“United States” means the 50 States, the District of Columbia, and outlying areas.
(b) This clause implements the Balance of Payments Program. Unless otherwise specified, this clause applies to all line items in the contract.
(c) The Contractor shall deliver only domestic end products unless, in its offer, it specified delivery of other end products in the Buy American—Balance of Payments Program Certificate provision of the solicitation. If the Contractor certified in its offer that it will deliver a qualifying country end product or an SC/CASA state end product, the Contractor shall deliver a qualifying country end product, an SC/CASA state end product, or, at the Contractor's option, a domestic end product.
(d) The contract price does not include duty for end products or components for which the Contractor will claim duty-free entry.
(End of
clause)
252.225-7002 Qualifying Country Sources as Subcontractors.
As prescribed in 225.1101(3), use the
following clause:
QUALIFYING COUNTRY SOURCES AS SUBCONTRACTORS (MAR 2022)
(a) Definition. “Qualifying country,” as used in this clause, 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
Estonia
Finland
France
Germany
Greece
Israel
Italy
Japan
Latvia
Lithuania
Luxembourg
Netherlands
Norway
Poland
Portugal
Slovenia
Spain
Sweden
Switzerland
Turkey
United Kingdom of Great Britain and Northern Ireland.
(b) Subject to the restrictions in section
225.872 of the Defense FAR Supplement, the Contractor shall not preclude
qualifying country sources or
(End of
clause)
252.225-7003
Report of Intended Performance Outside the
As prescribed
in 225.7204(a), use the following provision:
REPORT OF INTENDED PERFORMANCE OUTSIDE THE
UNITED STATES AND
(a) Definition. “
(b)
The offeror shall submit, with its offer, a report of intended performance
outside the
(1) The offer exceeds $15 million in value; and
(2) The offeror is aware that the offeror or a
first-tier subcontractor intends to perform any part of the contract outside
the
(i) Exceeds $750,000 in value; and
(ii) Could be performed inside the
(c)
Information to be reported includes that for—
(1) Subcontracts;
(2) Purchases; and
(3) Intracompany transfers when transfers
originate in a foreign location.
(d)
The offeror shall submit the report using—
(1) DD Form 2139, Report of Contract Performance
Outside the
(2) A computer-generated report that contains all
information required by DD Form 2139.
(e)
The offeror may obtain a copy of DD Form 2139 from the Contracting
Officer or via the
Internet at http://www.dtic.mil/whs/directives/infomgt/forms/formsprogram.htm.
(End of provision)
252.225-7004 Report of Intended Performance Outside the
As prescribed in 225.7204(b), use the
following clause:
REPORT OF
INTENDED PERFORMANCE OUTSIDE THE UNITED STATES AND
(a) Definition. As used in this clause—
“United States” means the 50 States, the District of Columbia, and outlying areas.
(b) Reporting
requirement. The Contractor shall
submit a report in accordance with this clause, if the Contractor or a
first-tier subcontractor will perform any part of this contract outside the
(1) Exceeds the threshold specified in Defense Acquisition Regulation Supplement 225.7201(a); and
(2) Could be performed inside the
(c) Submission
of reports. The Contractor—
(1) Shall submit a report as soon as practical
after the information is known;
(2) To the maximum extent practicable, shall
submit a report regarding a first-tier subcontractor at least 30 days before
award of the subcontract;
(3) Need not resubmit information submitted with
its offer, unless the information changes;
(4) Shall submit all reports to the Contracting
Officer; and
(5) Shall submit a copy of each report to: Principal Director, Defense Pricing, Contracting, and Acquisition Policy (Contract Policy), OUSD(A&S) DPCAP/CP, Washington, DC 20301-3060.
(d) Report
format. The Contractor—
(1) Shall submit reports using—
(i) DD Form 2139, Report of Contract Performance
Outside the
(ii) A computer-generated report that contains all
information required by DD Form 2139; and
(2)
May obtain copies of DD Form 2139 from the Contracting Officer or via
the Internet at https://www.esd.whs.mil/Directives/forms/.
(End of
clause)
252.225-7005 Identification of Expenditures in the
As prescribed in 225.1103(1), use the
following clause:
IDENTIFICATION
OF EXPENDITURES IN THE UNITED STATES (JUN 2005)
(a) Definition. “
(b) This clause applies only if the Contractor
is--
(1) A concern incorporated in the United States
(including a subsidiary that is incorporated in the United States, even if the
parent corporation is not incorporated in the United States); or
(2) An unincorporated concern having its
principal place of business in the
(c) On each invoice, voucher, or other request
for payment under this contract, the Contractor shall identify that part of the
requested payment that represents estimated expenditures in the
(1) May be expressed either as dollar amounts or
as percentages of the total amount of the request for payment;
(2) Should be based on reasonable estimates; and
(3) Shall state the full amount of the payment
requested, subdivided into the following categories:
(i)
(ii)
(iii) Transportation on
(iv) Expenditures not identified under paragraphs
(c)(3)(i) through (iii) of this clause.
(d) Nothing in this clause requires the
establishment or maintenance of detailed accounting records or gives the U.S.
Government any right to audit the Contractor's books or records.
(End of
clause)
252.225-7006 Acquisition of the American Flag.
As prescribed in 225.7002-3(c), insert the following clause:
ACQUISITION OF THE AMERICAN FLAG (DEC 2022)
(a) Definition. “United States,” as used in this clause, means the 50 States, the District of Columbia, and outlying areas.
(b) If the Contractor is required to deliver under this contract one or more American flags (Product or Service Code 8345), such flag(s), including the materials and components thereof, shall be manufactured in the United States, consistent with the requirements at 10 U.S.C. 4862 (commonly known as the “Berry Amendment”).
(c) This clause does not apply to the acquisition of any end items or components related to flying or displaying the flag (e.g., flagpoles and accessories).
(End of
clause)
252.225-7007 Prohibition on Acquisition of Certain Items from Communist
Chinese Military Companies.
As prescribed in 225.1103(4), use the
following clause:
PROHIBITION ON ACQUISITION OF CERTAIN ITEMS FROM COMMUNIST
CHINESE MILITARY COMPANIES (DEC 2018)
(a) Definitions. As used in this clause—
“600 series of the Commerce Control List” means the series of 5-character export control classification numbers (ECCNs) of the Commerce Control List of the Export Administration Regulations in 15 CFR part 774, supplement No. 1. that have a “6” as the third character. The 600 series constitutes the munitions and munitions-related ECCNs within the larger Commerce Control List. (See definition of “600 series” in 15 CFR 772.)
Communist Chinese military company” means any entity, regardless of
geographic location that is—
(1) A part of the commercial or defense industrial base of the People’s Republic
of China including a subsidiary or affiliate of such entity; or
(2) Owned or controlled by, or affiliated with,
an element of the Government or armed forces of the People’s Republic of
“Item” means—
(1) A USML defense article, as defined at 22 CFR 120.6;
(2) A USML defense service, as defined at 22 CFR 120.9; or
(3) A 600 series item, as defined at 15 CFR 772.1.
“United States Munitions List” means the munitions list of the International Traffic
in Arms Regulation in 22 CFR part 121.
(b) Any items covered by the United States Munitions List or the 600 series of the
Commerce Control List that are delivered under this contract may not be acquired,
directly or indirectly, from a Communist Chinese military company.
(c) The Contractor shall insert the substance of this clause, including this paragraph (c), in all subcontracts for items covered by the United States Munitions List
or the 600 series of the Commerce Control List.
(End of
clause)
252.225-7008 Restriction on Acquisition of Specialty
Metals.
As prescribed in 225.7003-5(a)(1), use the
following clause:
RESTRICTION ON ACQUISITION OF SPECIALTY
METALS (MAR 2013)
(a) Definitions. As used in this clause—
“Alloy” means a metal consisting of a mixture of a basic metallic element and
one or more metallic, or non-metallic, alloying elements.
(i) For alloys named by a single metallic element
(e.g., titanium alloy), it means that the alloy contains 50 percent or more of
the named metal (by mass).
(ii) If two metals are specified in the name (e.g,
nickel-iron alloy), those metals are the two predominant elements in the alloy,
and together they constitute 50 percent or more of the alloy (by mass).
“Produce” means—
(i) Atomization;
(ii) Sputtering; or
(iii) Final consolidation of non-melt derived metal powders.
“Specialty metal” means—
(i) Steel—
(A) With a maximum alloy content exceeding one or
more of the following limits: manganese,
1.65 percent; silicon, 0.60 percent; or copper, 0.60 percent; or
(B) Containing more than 0.25 percent of any of
the following elements: aluminum,
chromium, cobalt, molybdenum, nickel, niobium (columbium), titanium, tungsten,
or vanadium;
(ii) Metal alloys consisting of—
(A) Nickel or iron-nickel alloys that contain a
total of alloying metals other than nickel and iron in excess of 10 percent; or
(B) Cobalt alloys that contain a total of
alloying metals other than cobalt and iron in excess of 10 percent;
(iii) Titanium and titanium alloys; or
(iv) Zirconium and zirconium alloys.
“Steel” means an iron alloy that includes
between .02 and 2 percent carbon and may include other elements.
(b) Any specialty metal delivered under this
contract shall be melted or produced in the
(End of clause)
252.225-7009 Restriction on Acquisition of Certain
Articles Containing Specialty Metals.
As prescribed in 225.7003-5(a)(2), use the
following clause:
RESTRICTION ON ACQUISITION OF CERTAIN
ARTICLES CONTAINING SPECIALTY METALS
(JAN 2023)
(a) Definitions. As used in this clause—
“Alloy” means a metal consisting of a mixture
of a basic metallic element and one or more metallic, or non-metallic, alloying
elements.
(i) For alloys named by a single metallic element
(e.g., titanium alloy), it means that the alloy contains 50 percent or more of
the named metal (by mass).
(ii) If two metals are specified in the name (e.g,
nickel-iron alloy), those metals are the two predominant elements in the alloy,
and together they constitute 50 percent or more of the alloy (by mass).
“Assembly” means an item forming a portion of
a system or subsystem that—
(i) Can be provisioned and replaced as an entity;
and
(ii) Incorporates multiple, replaceable parts.
“Commercial derivative military article”
means an item acquired by the Department of Defense that is or will be produced
using the same production facilities, a common supply chain, and the same or
similar production processes that are used for the production of articles
predominantly used by the general public or by nongovernmental entities for
purposes other than governmental purposes.
“Commercially available off-the-shelf item”—
(i) Means any item of supply that is—
(A) A commercial product (as defined in paragraph (1) of the definition of “commercial product” in section 2.101 of the Federal Acquisition Regulation);
(B) Sold in substantial quantities in the
commercial marketplace; and
(C) Offered to the Government, under this
contract or a subcontract at any tier, without modification, in the same form
in which it is sold in the commercial marketplace; and
(ii) Does not include bulk cargo, as defined in 46 U.S.C. 40102(4), such as
agricultural products and petroleum products.
“Component” means any item supplied to the
Government as part of an end item or of another component.
“Electronic component” means an item that
operates by controlling the flow of electrons or other electrically charged
particles in circuits, using interconnections of electrical devices such as
resistors, inductors, capacitors, diodes, switches, transistors, or integrated
circuits. The term does not include
structural or mechanical parts of an assembly containing an electronic
component, and does not include any high performance magnets that may be used
in the electronic component.
“End item” means the final production product
when assembled or completed and ready for delivery under a line item of this
contract.
“High performance magnet” means a permanent
magnet that obtains a majority of its magnetic properties from rare earth
metals (such as samarium).
“Produce” means—
(i) Atomization;
(ii) Sputtering; or
(iii) Final consolidation of non-melt derived metal powders.
“Qualifying country” means any country listed in the definition of
“Qualifying country” at 225.003of the Defense Federal Acquisition Regulation Supplement (DFARS).
“Specialty metal” means—
(i) Steel—
(A) With a maximum alloy content exceeding one or
more of the following limits: manganese,
1.65 percent; silicon, 0.60 percent; or copper, 0.60 percent; or
(B) Containing more than 0.25 percent of any of
the following elements: aluminum,
chromium, cobalt, molybdenum, nickel, niobium (columbium), titanium, tungsten,
or vanadium;
(ii) Metal alloys consisting of—
(A) Nickel or iron-nickel alloys that contain a
total of alloying metals other than nickel and iron in excess of 10 percent; or
(B) Cobalt alloys that contain a total of
alloying metals other than cobalt and iron in excess of 10 percent;
(iii) Titanium and titanium alloys; or
(iv) Zirconium and zirconium alloys.
“Steel” means an iron alloy that includes
between .02 and 2 percent carbon and may include other elements.
“Subsystem” means a functional grouping of
items that combine to perform a major function within an end item, such as
electrical power, attitude control, and propulsion.
(b) Restriction.
Except as provided in paragraph (c)
of this clause, any specialty metals incorporated in items delivered under this
contract shall be melted or produced in the
(c) Exceptions. The restriction in paragraph (b) of this
clause does not apply to—
(1) Electronic components.
(2)(i) Commercially available off-the-shelf (COTS)
items, other than—
(A) Specialty metal mill products, such as bar,
billet, slab, wire, plate, or sheet, that have not been incorporated into COTS end items, subsystems,
assemblies, or components;
(B) Forgings or castings of specialty metals,
unless the forgings or castings are incorporated into COTS end items,
subsystems, or assemblies;
(C) Commercially available high performance
magnets that contain specialty metal, unless such high performance magnets are
incorporated into COTS end items or subsystems; and
(D) COTS fasteners, unless—
(1)
The fasteners are incorporated into COTS end items, subsystems,
assemblies, or components; or
(2)
The fasteners qualify for the commercial product exception in
paragraph (c)(3) of this clause.
(ii) A COTS item is considered to be “without
modification” if it is not modified prior to contractual acceptance by the next
higher tier in the supply chain.
(A) Specialty metals in a COTS item that was
accepted without modification by the next higher tier are excepted from the
restriction in paragraph (b) of this clause, and remain excepted, even if a
piece of the COTS item subsequently is removed (e.g., the end is removed from a
COTS screw or an extra hole is drilled in a COTS bracket).
(B) Specialty metals that were not contained in a
COTS item upon acceptance, but are added to the COTS item after acceptance, are
subject to the restriction in paragraph (b) of this clause (e.g., a special
reinforced handle made of specialty metal is added to a COTS item).
(C) If two or more COTS items are combined in
such a way that the resultant item is not a COTS item, only the specialty
metals involved in joining the COTS items together are subject to the
restriction in paragraph (b) of this clause (e.g., a COTS aircraft is outfitted
with a COTS engine that is not the COTS engine normally provided with the
aircraft).
(D) For COTS items that are normally sold in the
commercial marketplace with various options, items that include such options
are also COTS items. However, if a COTS
item is offered to the Government with an option that is not normally offered
in the commercial marketplace, that option is subject to the restriction in
paragraph (b) of this clause (e.g. - An aircraft is normally sold to the public
with an option for installation kits.
The Department of Defense requests a military-unique kit. The aircraft is still a COTS item, but the
military-unique kit is not a COTS item and must comply with the restriction in
paragraph (b) of this clause unless another exception applies).
(3) Fasteners that are commercial products, if the manufacturer of the fasteners certifies it will purchase, during the relevant calendar year, an amount of domestically melted or produced specialty metal, in the required form, for use in the production of fasteners for sale to the Department of Defense and other customers, that is not less than 50 percent of the total amount of the specialty metal that it will purchase to carry out the production of such fasteners for all customers.
(4) Items manufactured in a qualifying
country.
(5) Specialty metals for which the Government has
determined in accordance with DFARS 225.7003-3 that specialty metal melted or
produced in the
(i) A satisfactory quality;
(ii) A sufficient quantity; and
(iii) The required form. In accordance with 10 U.S.C. 4863(m)(4), the term “required form” in this clause refers to the form of the mill product, such as bar, billet, wire, slab, plate, or sheet, in the grade appropriate for the production of a finished end item to be delivered to the Government under this contract; or a finished component assembled into an end item to be delivered to the Government under this contract.
(6) End items containing a minimal amount of
otherwise noncompliant specialty metals (i.e., specialty metals not melted or
produced in the United States, an outlying area, or a qualifying country, that
are not covered by one of the other exceptions in this paragraph (c)), if the
total weight of such noncompliant metals does not exceed 2 percent of the total
weight of all specialty metals in the end item, as estimated in good faith by
the Contractor. This exception does not
apply to high performance magnets containing specialty metals.
(d) Compliance for commercial derivative military articles.
(1) As an alternative to the compliance required
in paragraph (b) of this clause, the Contractor may purchase an amount of
domestically melted or produced specialty metals in the required form, for use
during the period of contract performance in the production of the commercial
derivative military article and the related commercial article, if—
(i) The Contracting Officer has notified the
Contractor of the items to be delivered under this contract that have been
determined by the Government to meet the definition of “commercial derivative
military article”; and
(ii) For each item that has been determined by the
Government to meet the definition of “commercial derivative military article,”
the Contractor has certified, as specified in the provision of the solicitation
entitled “Commercial Derivative Military Article—Specialty Metals Compliance
Certificate” (DFARS 252.225-7010), that the Contractor and its subcontractor(s)
will enter into a contractual agreement or agreements to purchase an amount of
domestically melted or produced specialty metal in the required form, for use
during the period of contract performance in the production of each commercial
derivative military article and the related commercial article, that is not
less than the Contractor’s good faith estimate of the greater of—
(A) An amount equivalent to 120 percent of the
amount of specialty metal that is required to carry out the production of the
commercial derivative military article (including the work performed under each
subcontract); or
(B) An amount equivalent to 50 percent of the
amount of specialty metal that will be purchased by the Contractor and its
subcontractors for use during such period in the production of the commercial
derivative military article and the related commercial article.
(2) For the purposes of this alternative, the amount
of specialty metal that is required to carry out production of the commercial
derivative military article includes specialty metal contained in any item,
including COTS items.
(e) Subcontracts.
(1) The Contractor shall exclude and reserve paragraph (d) and this paragraph (e)(1) when flowing down this clause to subcontracts.
(2) The Contractor shall insert paragraphs (a) through (c) and this paragraph (e)(2) of this clause in subcontracts, including subcontracts for commercial products, that are for items containing specialty metals to ensure compliance of the end products that the Contractor will deliver to the Government. When inserting this clause in subcontracts, the Contractor shall—
(i) Modify paragraph (c)(6) of this clause only as necessary to facilitate management of the minimal content exception at the prime contract level. The minimal content exception does not apply to specialty metals contained in high-performance magnets; and
(ii) Not further alter the clause other than to identify the appropriate parties.
(End of clause)
252.225-7010 Commercial Derivative Military
Article—Specialty Metals Compliance Certificate.
As prescribed in 225.7003-5(b), use the
following provision:
COMMERCIAL DERIVATIVE MILITARY
ARTICLE—SPECIALTY METALS COMPLIANCE CERTIFICATE (JUL 2009)
(a) Definitions. “Commercial derivative military article,”
“commercially available off-the-shelf item,” “produce,” “required form,” and
“specialty metal,” as used in this provision, have the meanings given in the
clause of this solicitation entitled “Restriction on Acquisition of Certain
Articles Containing Specialty Metals” (DFARS 252.225-7009).
(b) The offeror shall list in this paragraph any
commercial derivative military articles it intends to deliver under any
contract resulting from this solicitation using the alternative compliance for
commercial derivative military articles, as specified in paragraph (d) of the
clause of this solicitation entitled “Restriction on Acquisition of Certain
Articles Containing Specialty Metals” (DFARS 252.225-7009). The offeror’s designation of an item as a
“commercial derivative military article” will be subject to Government review
and approval.
____________________________________________________________
____________________________________________________________.
(c) If the offeror has listed any commercial
derivative military articles in paragraph (b) of this provision, the offeror
certifies that, if awarded a contract as a result of this solicitation, and if
the Government approves the designation of the listed item(s) as commercial derivative
military articles, the offeror and its subcontractor(s) will demonstrate that
individually or collectively they have entered into a contractual agreement or
agreements to purchase an amount of domestically melted or produced specialty
metal in the required form, for use during the period of contract performance
in the production of each commercial derivative military article and the
related commercial article, that is not less than the Contractor’s good faith
estimate of the greater of—
(1) An amount equivalent to 120 percent of the
amount of specialty metal that is required to carry out the production of the
commercial derivative military article (including the work performed under each
subcontract); or
(2) An amount equivalent to 50 percent of the
amount of specialty metal that will be purchased by the Contractor and its
subcontractors for use during such period in the production of the commercial
derivative military article and the related commercial article.
(d) For the purposes of this provision, the
amount of specialty metal that is required to carry out the production of the
commercial derivative military article includes specialty metal contained in
any item, including commercially available off-the-shelf items, incorporated
into such commercial derivative military articles.
(End of provision)
252.225-7011 Restriction on Acquisition of Supercomputers.
As prescribed in 225.7012-3, use the
following clause:
RESTRICTION
ON ACQUISITION OF SUPERCOMPUTERS (JUN 2005)
Supercomputers delivered under this contract
shall be manufactured in the
(End of
clause)
252.225-7012 Preference for Certain Domestic Commodities.
As prescribed in 225.7002-3(a), use the
following clause:
PREFERENCE FOR CERTAIN DOMESTIC COMMODITIES (APR 2022)
(a) Definitions. As used in this clause—
“Component” means any item supplied to the Government as part of an end
product or of another component.
“End product” means supplies delivered under
a line item of this contract.
"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:
United
Kingdom of Great Britain and Northern Ireland.
“Structural component of a tent”—
(1) Means a component that contributes to the form and stability of the tent (e.g., poles, frames, flooring, guy ropes, pegs); and
(2) Does not include equipment such as heating, cooling, or lighting.
“
“U.S.-flag vessel” means a vessel of the
(b) The Contractor shall deliver under this
contract only such of the following items, either as end products or
components, that have been grown, reprocessed, reused, or produced in the
(1) Food.
(2) Clothing and the materials and components thereof,
other than sensors, electronics, or other items added to, and not normally
associated with, clothing and the materials components thereof. Clothing includes items such as outerwear,
headwear, underwear, nightwear. footwear, hosiery, handwear, belts, badges, and
insignia.
(3)(i) Tents and structural components of tents;
(ii) Tarpaulins; or
(iii) Covers.
(4) Cotton and other natural fiber products.
(5) Woven silk or woven silk blends.
(6) Spun silk yarn for cartridge cloth.
(7) Synthetic fabric, and coated synthetic
fabric, including all textile fibers and yarns that are for use in such
fabrics.
(8) Canvas products.
(9) Wool (whether in the form of fiber or yarn or
contained in fabrics, materials, or manufactured articles).
(10) Any item of individual equipment (Federal
Supply Class 8465) manufactured from or containing fibers, yarns, fabrics, or
materials listed in this paragraph (b).
(c) This clause does not apply—
(1) To items listed in section 25.104(a) of the Federal Acquisition Regulation, or
other items for which the Government has determined that a satisfactory quality and sufficient quantity cannot be acquired as and when needed at U.S. market prices;
(2) To incidental amounts of cotton, other
natural fibers, or wool incorporated in an end product, for which the estimated
value of the cotton, other natural fibers, or wool—
(i) Is not more than 10 percent of the total
price of the end product; and
(ii) Does not exceed the threshold at Defense Federal Acquisition Regulation Supplement 225.7002-2(a);
(3) To waste and byproducts of cotton or wool
fiber for use in the production of propellants and explosives;
(4) To foods, other than fish, shellfish, or
seafood, that have been manufactured or processed in the
(5) To chemical warfare protective clothing
produced in a qualifying country; or
(6) To fibers and yarns that are for use in
synthetic fabric or coated synthetic fabric (but does apply to the synthetic or
coated synthetic fabric itself), if—
(i) The fabric is to be used as a component of an
end product that is not a textile product.
Examples of textile products, made in whole or in part of fabric,
include¾
(A) Draperies, floor coverings, furnishings, and bedding
(Federal Supply Group 72, Household and Commercial Furnishings and Appliances);
(B) Items made in whole or in part of fabric in
Federal Supply Group 83,
Textile/leather/furs/apparel/findings/tents/flags, or Federal Supply
Group 84, Clothing, Individual Equipment
and Insignia;
(C) Upholstered seats (whether for household,
office, or other use); and
(D) Parachutes (Federal Supply Class 1670); or
(ii) The fibers and yarns are para-aramid fibers and continuous filament para-aramid yarns manufactured in a qualifying country.
(d)(1) Fish, shellfish, and seafood delivered under
this contract, or contained in foods delivered under this contract—
(i) Shall be taken from the sea by U.S.-flag
vessels; or
(ii) If not taken from the sea, shall be obtained
from fishing within the
(2) Any processing or manufacturing of the fish,
shellfish, or seafood shall be performed on a U.S.-flag vessel or in the
(End of
clause)
252.225-7013
Duty-Free Entry.
As
prescribed in 225.1101(4), use the following clause:
DUTY-FREE ENTRY (NOV 2023)
(a)
Definitions. As used in this clause—
“Component,” means any item supplied to the Government as part of an end
product or of another component.
“Customs territory of the United States” means the 50 States, the District of
Columbia, and Puerto Rico.
“Eligible product” means—
(1) “Designated country end product,” as defined in the Trade Agreements (either basic or alternate) clause of this contract;
(2) “Free Trade Agreement country end product,” other than a “Bahraini end product,” a “Moroccan end product,” a Panamanian end product,” or a “Peruvian end product,” as defined in the Buy American—Free Trade Agreements—Balance of Payments Program (either basic or alternate II) clause of this contract, basic or its Alternate II; or
(3) “Free Trade Agreement country end product” other than a “Bahraini end product,” “Korean end product,” “Moroccan end product,” “Panamanian end product,” or “Peruvian end product,” as defined in of the Buy American—Free Trade Agreements—Balance of Payments Program (either alternate IV or alternate V) clause of this contract.
“Qualifying country” and “qualifying country end product” have the meanings given in the Trade Agreements clause, the Buy American and Balance of Payments Program clause, or the Buy American—Free Trade Agreements—Balance of Payments
Program clause of this contract, basic or alternate.
(b)
Except as provided in paragraph (i) of this clause, or unless supplies
were imported into the customs territory of the
(1) End items that are eligible products or
qualifying country end products;
(2) Components (including, without limitation,
raw materials and intermediate assemblies) produced or made in qualifying
countries, that are to be incorporated in U.S.- made end products to be
delivered under this contract; or
(3) Other supplies for which the Contractor estimates that duty will exceed $300 per shipment into the customs territory of the
(c)
The Contractor shall—
(1) Claim duty-free entry only for supplies that
the Contractor intends to deliver to the Government under this contract, either
as end items or components of end items; and
(2) Pay duty on supplies, or any portion thereof,
that are diverted to nongovernmental use, other than—
(i) Scrap or salvage; or
(ii) Competitive sale made, directed, or
authorized by the Contracting Officer.
(d)
Except as the Contractor may otherwise agree, the Government will
execute duty-free entry certificates and will afford such assistance as
appropriate to obtain the duty-free entry of supplies—
(1) For which no duty is included in the contract
price in accordance with paragraph (b) of this clause; and
(2) For which shipping documents bear the notation
specified in paragraph (e) of this clause.
(e)
For foreign supplies for which the Government will issue duty-free entry
certificates in accordance with this clause, shipping documents submitted to
Customs shall—
(1) Consign the shipments to the appropriate—
(i) Military department in care of the
Contractor, including the Contractor's delivery address; or
(ii) Military installation; and
(2) Include the following information:
(i) Prime contract number and, if applicable,
delivery order number.
(ii) Number of the subcontract for foreign
supplies, if applicable.
(iii) Identification of the carrier.
(iv)(A) For direct shipments to a U.S. military
installation, the notation: “UNITED
STATES GOVERNMENT, DEPARTMENT OF DEFENSE Duty-Free Entry to be claimed pursuant
to Section XXII, Chapter 98, Subchapter VIII, Item 9808.00.30 of the Harmonized
Tariff Schedule of the United States.
Upon arrival of shipment at the appropriate port of entry, District Director of Customs, please release shipment
under 19 CFR Part 142 and notify Commander, Defense Contract Management Agency
(DCMA), St. Louis, MO, ATTN: Duty Free Entry Team, 1222 Spruce Street, Room 9.300, St. Louis, MO 63103-2812, for execution of Customs Form 7501, 7501A, or 7506 and any required duty-free entry certificates.”
(B) If the shipment will be consigned to other
than a military installation, e.g., a domestic contractor's plant, the shipping
document notation shall be altered to include the name and address of the
contractor, agent, or broker who will notify Commander, DCMA New York, for
execution of the duty-free entry certificate.
(If the shipment will be consigned to a contractor’s plant and no
duty-free entry certificate is required due to a trade agreement, the
Contractor shall claim duty-free entry under the applicable trade agreement and
shall comply with the U.S. Customs Service requirements. No notification to Commander, DCMA New York,
is required.)
(v) Gross weight in pounds (if freight is based
on space tonnage, state cubic feet in addition to gross shipping weight).
(vi) Estimated value in U.S. dollars.
(vii) Activity address number of the contract
administration office administering the prime contract, e.g., for DCMA Dayton,
S3605A.
(f)
Preparation of customs forms.
(1)(i) Except for shipments consigned to a military
installation, the Contractor shall—
(A) Prepare any customs forms required for the
entry of foreign supplies into the customs territory of the
(B) Submit the completed customs forms to the
District Director of Customs, with a copy to
(ii) Shipments consigned directly to a military installation
will be released in accordance with sections 10.101 and 10.102 of the U.S.
Customs regulations.
(2) For shipments containing both supplies that
are to be accorded duty-free entry and supplies that are not, the Contractor
shall identify on the customs forms those items that are eligible for duty-free
entry.
(g)
The Contractor shall—
(1) Prepare (if the Contractor is a foreign
supplier), or shall instruct the foreign supplier to prepare, a sufficient
number of copies of the bill of lading (or other shipping document) so that at
least two of the copies accompanying the shipment will be available for use by
the District Director of Customs at the port of entry;
(2) Consign the shipment as specified in
paragraph (e) of this clause; and
(3) Mark on the exterior of all packages--
(i) “UNITED STATES GOVERNMENT, DEPARTMENT OF
DEFENSE”; and
(ii) The activity address number of the contract
administration office administering the prime contract.
(h)
The Contractor shall notify the Administrative Contracting Officer (ACO)
in writing of any purchase of eligible products or qualifying country supplies
to be accorded duty-free entry, that are to be imported into the customs
territory of the United States for delivery to the Government or for
incorporation in end items to be delivered to the Government. The Contractor shall furnish the notice to
the ACO immediately upon award to the supplier and shall include in the notice—
(1) The Contractor’s name, address, and
Commercial and Government Entity (CAGE) code;
(2) Prime contract number and, if applicable,
delivery order number;
(3) Total dollar value of the prime contract or
delivery order;
(4) Date of the last scheduled delivery under the
prime contract or delivery order;
(5) Foreign supplier's name and address;
(6) Number of the subcontract for foreign
supplies;
(7) Total dollar value of the subcontract for
foreign supplies;
(8) Date of the last scheduled delivery under the
subcontract for foreign supplies;
(9) List of items purchased;
(10) An agreement that the Contractor will pay
duty on supplies, or any portion thereof, that are diverted to nongovernmental
use other than—
(i) Scrap or salvage; or
(ii) Competitive sale made, directed, or
authorized by the Contracting Officer;
(11) Country of origin; and
(12) Scheduled delivery date(s).
(i)
This clause does not apply to purchases of eligible products or
qualifying country supplies in connection with this contract if—
(1) The supplies are identical in nature to
supplies purchased by the Contractor or any subcontractor in connection with
its commercial business; and
(2) It is not economical or feasible to account
for such supplies so as to ensure that the amount of the supplies for which
duty-free entry is claimed does not exceed the amount purchased in connection
with this contract.
(j)
The Contractor shall—
(1) Insert the substance of this clause,
including this paragraph (j), in all subcontracts for—
(i) Qualifying country components; or
(ii) Nonqualifying country components for which
the Contractor estimates that duty will exceed $200 per unit;
(2) Require subcontractors to include the number
of this contract on all shipping documents submitted to Customs for supplies
for which duty-free entry is claimed pursuant to this clause; and
(3) Include in applicable subcontracts—
(i) The name and address of the ACO for this
contract;
(ii) The name, address, and activity address
number of the contract administration office specified in this contract; and
(iii) The information required by paragraphs
(h)(1), (2), and (3) of this clause.
(End of clause)
252.225-7014
Reserved.
252.225-7015 Restriction on Acquisition of Hand or
Measuring Tools.
As
prescribed in 225.7002-3(b), use the following clause:
RESTRICTION
ON ACQUISITION OF HAND OR MEASURING TOOLS (JUN 2005)
Hand or measuring tools delivered under this
contract shall be produced in the
(End of
clause)
252.225-7016 Restriction on Acquisition of Ball and Roller
Bearings.
As prescribed in 225.7009-5, use the
following clause:
RESTRICTION
ON ACQUISITION OF BALL AND ROLLER BEARINGS (JAN 2023)
(a) Definitions. As used in this clause¾
(1) “Bearing components” means the bearing
element, retainer, inner race, or outer race.
(2) “Component,” other than a bearing component, means any item supplied to the Government as part of an end product or of another component.
(3) “End product” means supplies delivered under
a line item of this contract.
(b) Except as provided in paragraph (c) of this clause—
(1) Each ball and roller bearing delivered under this contract shall be manufactured in the United States, its outlying areas, or Canada; and
(2) For each ball or roller bearing, the cost of the bearing components manufactured in the United States, its outlying areas, or Canada shall exceed 50
percent of the total cost of the bearing components of that ball or roller bearing.
(c) The restriction in paragraph (b) of this
clause does not apply to ball or roller bearings that are acquired as—
(1) Commercial components of an other than commercial end product; or
(2) Commercial or other than commercial components of a commercial component of an other than commercial end product.
(d) The restriction in paragraph (b) of this
clause may be waived upon request from the Contractor in accordance with
subsection 225.7009-4 of the Defense Federal Acquisition Regulation
Supplement.
(e) If this contract includes DFARS clause 252.225-7009, Restriction on Acquisition of Certain Articles Containing Specialty Metals, all bearings that contain specialty metals, as defined in that clause, must meet the requirements of that clause.
(f) Subcontracts. The Contractor shall insert the substance of this clause, including *this paragraph (f), in all subcontracts, except those for—
(1) Commercial products; or
(2) Items that do not contain ball or roller
bearings.
(End of
clause)
252.225-7017 Photovoltaic Devices.
As prescribed in 225.7017-4(a), use the following clause:
PHOTOVOLTAIC DEVICES (MAR 2024)
(a) Definitions. As used in this clause—
“Bahraini photovoltaic device” means a photovoltaic device that—
(1) Is wholly manufactured in Bahrain; or
(2) In the case of a photovoltaic device that consists in whole or in part of materials from another country, has been substantially transformed in Bahrain 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, provided that the photovoltaic device is not subsequently substantially transformed outside of Bahrain.
“Caribbean Basin country photovoltaic device” means a photovoltaic device that—
(1) Is wholly manufactured in a Caribbean Basin country; or
(2) In the case of a photovoltaic device 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, provided that the photovoltaic device is not subsequently substantially transformed outside of a Caribbean Basin country.
“Designated country” means—
(1) 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 the United Kingdom);
(2) A Free Trade Agreement country (Australia, Bahrain, Chile, Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Korea (Republic of), Mexico, Morocco, Nicaragua, Panama, Peru, or Singapore);
(3) 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
(4) 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).
“Designated country photovoltaic device” means a WTO GPA country photovoltaic device, a Free Trade Agreement country photovoltaic device, a least developed country photovoltaic device, or a Caribbean Basin country photovoltaic device.
““Domestic photovoltaic device” means a photovoltaic device that is manufactured in the United States.
“Foreign photovoltaic device” means a photovoltaic device other than a domestic photovoltaic device.
“Free Trade Agreement country” means Australia, Bahrain, Chile, Colombia, Costa
Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Korea (Republic of),
Mexico, Morocco, Nicaragua, Panama, Peru, or Singapore.
“Free Trade Agreement country photovoltaic device” means a photovoltaic device
that—
(1) Is wholly manufactured in a Free Trade Agreement country; or
(2) In the case of a photovoltaic device that consists in whole or in part of materials from another country, has been substantially transformed in a Free Trade Agreement 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, provided that the photovoltaic device is not subsequently substantially transformed outside of a Free Trade Agreement country.
“Korean photovoltaic device” means a photovoltaic device that—
(1) Is wholly manufactured in Korea (Republic of); or
(2) In the case of a photovoltaic device that consists in whole or in part of materials from another country, has been substantially transformed in Korea (Republic of) 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, provided that the photovoltaic device is not subsequently substantially transformed outside of Korea (Republic of).
“Least developed country photovoltaic device” means a photovoltaic device that—
(1) Is wholly manufactured in a least developed country; or
(2) In the case of a photovoltaic device 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, provided that the photovoltaic device is not subsequently substantially transformed outside of a least developed country.
“Moroccan photovoltaic device” means a photovoltaic device that—
(1) Is wholly manufactured in Morocco; or
(2) In the case of a photovoltaic device that consists in whole or in part of materials from another country, has been substantially transformed in Morocco 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, provided that the photovoltaic device is not subsequently substantially transformed outside of Morocco.
“Panamanian photovoltaic device” means a photovoltaic device that—
(1) Is wholly manufactured in Panama; or
(2) In the case of a photovoltaic device that consists in whole or in part of materials from another country, has been substantially transformed in Panama 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, provided that the photovoltaic device is not subsequently substantially transformed outside of Panama.
“Peruvian photovoltaic device” means a photovoltaic device that—
(1) Is wholly manufactured in Peru; or
(2) In the case of a photovoltaic device that consists in whole or in part of materials from another country, has been substantially transformed in Peru 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, provided that the photovoltaic device is not subsequently substantially transformed outside of Peru.
“Photovoltaic device” means a device that converts light directly into electricity through a solid-state, semiconductor process.
“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
Estonia
Finland
France
Germany
Greece
Israel
Italy
Japan
Latvia
Lithuania
Luxembourg
Netherlands
Norway
Poland
Portugal
Slovenia
Spain
Sweden
Switzerland
Turkey
United Kingdom of Great Britain and Northern Ireland.
“Qualifying country photovoltaic device” means a photovoltaic device manufactured in a qualifying country.
“United States” means the 50 States, the District of Columbia, and outlying areas.
“U.S.-made photovoltaic device” means a photovoltaic device that—
(1) Is manufactured in the United States; or
(2) 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, provided that the photovoltaic device is not
subsequently substantially transformed outside of the United States.
“WTO GPA country photovoltaic device” means a photovoltaic device that—
(1) Is wholly manufactured in a WTO GPA country; or
(2) In the case of a photovoltaic device 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, provided that the photovoltaic device is not subsequently substantially transformed outside of a WTO GPA country.
(b) This clause implements section 846 of the National Defense Authorization Act for Fiscal Year 2011 (Pub. L. 111-383).
(c) Restriction. If the Contractor specified in its offer in the Photovoltaic Devices—Certificate provision of the solicitation that the estimated value of the photovoltaic devices to be utilized in performance of this contract would be—
(1) More than the micro-purchase threshold but less than $100,000, then the Contractor shall utilize only domestic photovoltaic devices unless, in its offer, it
specified utilization of qualifying country or other foreign photovoltaic devices in
paragraph (d)(2) of the Photovoltaic Devices—Certificate provision of the solicitation.
(2) $100,000 or more but less than $102,280, then the Contractor shall utilize under this contract only domestic photovoltaic devices unless, in its offer, it specified utilization of Free Trade Agreement country photovoltaic devices (other than Bahraini, Korean, Moroccan, Panamanian, or Peruvian photovoltaic devices), qualifying country photovoltaic devices, or other foreign photovoltaic devices in paragraph (d)(4) of the Photovoltaic Devices—Certificate provision of the solicitation. If the Contractor certified in its offer that it will utilize a Free Trade Agreement country photovoltaic device (other than a Bahraini, Korean, Moroccan, Panamanian, or Peruvian photovoltaic device) or a qualifying country photovoltaic device, then the Contractor shall utilize a Free Trade Agreement country photovoltaic device (other than a Bahraini, Korean, Moroccan, Panamanian, or Peruvian photovoltaic device) or a qualifying country photovoltaic device; or, at the Contractor’s option, a domestic photovoltaic device;
(3) $100,000 or more but less than $174,000, then the Contractor shall utilize under this contract only domestic photovoltaic devices, unless, in its offer it specified utilization of Free Trade Agreement country photovoltaic devices (other than Bahraini, Moroccan, Panamanian, or Peruvian photovoltaic devices), qualifying country photovoltaic devices, or other foreign photovoltaic devices in paragraph (d)(5) of the Photovoltaic Devices—Certificate provision of the solicitation. If the Contractor certified in its offer that it will utilize a Free Trade Agreement country photovoltaic device (other than a Bahraini, Moroccan, Panamanian, or Peruvian photovoltaic device) or a qualifying country photovoltaic device, then the Contractor shall utilize a Free Trade Agreement country photovoltaic device (other than a Bahraini, Moroccan, Panamanian, or Peruvian photovoltaic device) or a qualifying country photovoltaic device; or, at the Contractor’s option, a domestic photovoltaic device; or
(4) $174,000 or more, then the Contractor shall utilize under this contract only U.S.-made, designated country, or qualifying country photovoltaic devices.
(End of
clause)
252.225-7018
Photovoltaic Devices—Certificate.
As prescribed in 225.7017-4(b), use the following provision:
PHOTOVOLTAIC DEVICES—CERTIFICATE (MAR 2024)
(a) Definitions. “Bahraini photovoltaic device,” “Caribbean Basin photovoltaic device,” “designated country,” “designated country photovoltaic device,” “domestic photovoltaic device,” “foreign photovoltaic device,” “Free Trade Agreement country,” “Free Trade Agreement photovoltaic device,” “Korean photovoltaic device,” “least developed country photovoltaic device,” “Moroccan photovoltaic device,” “Panamanian photovoltaic device,” “Peruvian photovoltaic device,” “photovoltaic device,” “qualifying country,” “qualifying country photovoltaic device,” “United States,” “U.S.-made photovoltaic device,” and “WTO GPA country photovoltaic device” have the meanings given in the Photovoltaic Devices clause of this solicitation.
(b) Restrictions. The following restrictions apply, depending on the estimated
aggregate value of photovoltaic devices to be utilized under a resultant contract:
(1) If more than the micro-purchase threshold but less than $174,000, then the Government will not accept an offer specifying the use of other foreign photovoltaic devices in paragraph (d)(2)(ii), (d)(3)(ii), (d)(4)(ii), or (d)(5)(ii) of this provision, unless the Offeror documents to the satisfaction of the Contracting Officer that the price of the foreign photovoltaic device plus 50 percent is less than the price of a comparable domestic photovoltaic device.
(2) If $174,000 or more, then the Government will consider only offers that utilize photovoltaic devices that are U.S.-made, qualifying country, or designated country photovoltaic devices.
(c) Country in which a designated country photovoltaic device was wholly manufactured or was substantially transformed. If the estimated value of the photovoltaic devices to be utilized under a resultant contract exceeds $102,280, the Offeror’s certification that such photovoltaic device (e.g., solar panel) is a designated country photovoltaic device shall be consistent with country of origin determinations by the U.S. Customs and Border Protection with regard to importation of the same or similar photovoltaic devices into the United States. If the Offeror is uncertain as to what the country of origin would be determined to be by the U.S. Customs and Border Protection, the Offeror shall request a determination from U.S. Customs and Border Protection. (See https://www.cbp.gov/trade/rulings.)
(d) Certification and identification of country of origin.
[The Offeror shall check the block and fill in the blank for one of the following paragraphs, based on the estimated value and the country of origin of photovoltaic devices to be utilized in performance of the contract:]
___ (1) No photovoltaic devices will be utilized in performance of the contract, or such photovoltaic devices have an estimated value that does not exceed the micro-purchase threshold.
(2) If more than the micro-purchase threshold but less than $100,000—
___ (i) The Offeror certifies that each photovoltaic device to be utilized in performance of the contract is a domestic photovoltaic device;
___ (ii) The Offeror certifies that each photovoltaic device to be utilized in performance of the contract is a Canadian photovoltaic device or a qualifying country photovoltaic device [Offeror to specify country of origin____________]; or
___ (iii) The foreign (other than Canadian or qualifying country) photovoltaic
devices to be utilized in performance of the contract are the product of ___________________.[Offeror to specify country of origin, if known, and provide documentation that the cost of a domestic photovoltaic device would be unreasonable in comparison to the cost of the proposed foreign photovoltaic device, i.e. that the price of the foreign photovoltaic device plus 50 percent is less than the price of a comparable domestic photovoltaic device.]
(3) If less than $100,000—
___ (i) The Offeror certifies that each photovoltaic device to be utilized in
performance of the contract is a domestic photovoltaic device;
___ (ii) The Offeror certifies that each photovoltaic device to be utilized in
performance of the contract is a qualifying country
photovoltaic device [Offeror to specify country of origin____________________________]; or
___ (iii) The foreign photovoltaic
devices to be utilized in performance of the contract are the product of ___________________.[Offeror to specify country of origin, if known, and provide documentation that the cost of a domestic photovoltaic device would be unreasonable in
comparison to the cost of the proposed foreign photovoltaic device, i.e. that the price of the foreign photovoltaic device plus 50 percent is less than the price of a comparable domestic photovoltaic device.]
(4) If $100,000 or more but less than $102,280—
___ (i) The Offeror certifies that each photovoltaic device to be utilized in
performance of the contract is a domestic photovoltaic device;
___ (ii) The Offeror certifies that each photovoltaic device to be utilized in performance of the contract is a Free Trade Agreement country photovoltaic device (other than a Bahraini, Korean, Moroccan, Panamanian, or Peruvian photovoltaic device) or a qualifying country photovoltaic device
[Offeror to specify country of origin_________]; or
___ (iii) The offered foreign photovoltaic devices (other than those from
countries listed in paragraph (d)(4)(ii) of this provision) are the product of
___________________.[Offeror to specify country of origin, if known, and provide documentation that the cost of a domestic photovoltaic device would be unreasonable in
comparison to the cost of the proposed foreign photovoltaic device, i.e. that the price of the foreign photovoltaic device plus 50 percent is less than the price of a comparable domestic photovoltaic device.]
(5) If $100,000 or more but less than $174,000—
___ (i) The Offeror certifies that each photovoltaic device to be utilized in
performance of the contract is a domestic photovoltaic device;
___ (ii) The Offeror certifies that each photovoltaic device to be utilized in performance of the contract is a Free Trade Agreement country photovoltaic device (other than a Bahraini, Moroccan, Panamanian, or Peruvian photovoltaic device) or a qualifying country photovoltaic device [Offeror to specify country of origin_________]; or
___ (iii) The offered foreign photovoltaic devices (other than those from
countries listed in paragraph (d)(5)(ii) of this provision) are the product of
___________________. [Offeror to specify country of origin, if known, and provide documentation that the cost of a domestic photovoltaic device would be unreasonable in
comparison to the cost of the proposed foreign photovoltaic device, i.e. that the price of the foreign photovoltaic device plus 50 percent is less than the price of a comparable domestic photovoltaic device.]
(6) If $174,000 or more, the Offeror certifies that each photovoltaic device to be used in performance of the contract is—
___ (i) A U.S.-made photovoltaic device; or
___ (ii) A designated country photovoltaic device or a qualifying country photovoltaic device. [Offeror to specify country of origin_________________.]
(End of provision)
252.225-7019 Restriction on Acquisition of Anchor and
Mooring Chain.
As prescribed in 225.7004-7(a), use the following
clause:
RESTRICTION ON ACQUISITION OF ANCHOR AND MOORING CHAIN
(MAY 2024)
(a) Definition. As used in this clause—
“Component” means an article, material, or supply incorporated directly into an end product.
(b) Welded shipboard anchor and mooring chain delivered under this contract—
(1) Shall be manufactured in the United States or
its outlying areas, including cutting, heat treating, quality control, testing,
and welding (both forging and shot blasting process); and
(2) The cost of the components manufactured in
the
(c) The Contractor may request a waiver of this
restriction if adequate domestic supplies meeting the requirements in paragraph
(a) of this clause are not available to meet the contract delivery schedule.
(d) The Contractor shall insert the substance of this clause, including this paragraph (d), in all subcontracts for items containing welded shipboard anchor and mooring chain.
(End of clause)
252.225-7020 Trade Agreements Certificate.
Basic. As prescribed in 225.1101(5) and (5)(i), use the following provision:
TRADE AGREEMENTS CERTIFICATE—BASIC (NOV 2014)
(a) Definitions. “Designated country end product,” “nondesignated country end
product,” “qualifying country end product,” and “U.S.-made end product” as used in this provision have the meanings given in the Trade Agreements—Basic clause of this solicitation.
(b) Evaluation. The Government—
(1) Will evaluate offers in accordance with the
policies and procedures of Part 225 of the Defense Federal Acquisition
Regulation Supplement; and
(2) Will consider only offers of end products
that are U.S.-made, qualifying country, or designated country end products
unless—
(i) There are no offers of such end products;
(ii) The offers of such end products are
insufficient to fulfill the Government’s requirements; or
(iii) A national interest waiver has been granted.
(c) Certification
and identification of country of origin.
(1) For all line items subject to the Trade Agreements—Basic clause of this
solicitation, the offeror certifies that each end product to be delivered under this contract, except those listed in paragraph (c)(2) of this provision, is a U.S.-made, qualifying country, or designated country end product.
(2) The following supplies are other
nondesignated country end products:
(Line
Item Number) |
|
(Country
of Origin) |
(End of
provision)
Alternate I. As prescribed in 225.1101(5) and (5)(ii), use the following provision, which uses different paragraphs (a), (b)(2), and (c) than the basic provision:
TRADE AGREEMENTS CERTIFICATE—ALTERNATE I (NOV 2014)
(a) Definitions. Designated country end product,” “nondesignated country end product,” “qualifying country end product,” “South Caucasus/Central and South Asian (SC/CASA) state,” “South Caucasus/Central and South Asian (SC/CASA) state end product,” and “U.S.-made end product,” as used in this provision, have the meanings given in the Trade Agreements—Alternate I clause of this solicitation.
(b) Evaluation. The Government—
(1) Will evaluate offers in accordance with the policies and procedures of part 225 of the Defense Federal Acquisition Regulation Supplement; and
(2) Will consider only offers of end products that are U.S.-made, qualifying
country, SC/CASA state, or designated country end products unless—
(i) There are no offers of such end products;
(ii) The offers of such end products are insufficient to fulfill the Government’s requirements; or
(iii) A national interest waiver has been granted.
(c) Certification and identification of country of origin.
(1) For all line items subject to the Trade Agreement—Alternate I clause
of this solicitation, the offeror certifies that each end product to be delivered under this contract, except those listed in paragraph (c)(2)(ii) of this provision, is a U.S.-made, qualifying country, SC/CASA state, or designated country end product.
(2)(i) The following supplies are SC/CASA state end products:
(Line
Item Number) |
|
(Country
of Origin) |
(ii) The following are other nondesignated country end products:
(Line
Item Number) |
|
(Country
of Origin) |
(End of provision)
252.225-7021 Trade Agreements.
Basic. As prescribed in 225.1101(6) and (6)(i), use the following clause:
TRADE AGREEMENTS—BASIC (FEB 2024)
(a) Definitions. As used in this clause—
“
(1) Means an article that—
(i) Is wholly the growth, product, or manufacture
of a
(ii) 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.
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; and
(2) Excludes products, other than petroleum and
any product derived from petroleum, that are not granted duty-free treatment
under the Caribbean Basin Economic Recovery Act (19 U.S.C. 2703(b)). These exclusions presently consist of—
(i) Textiles, apparel articles, footwear,
handbags, luggage, flat goods, work gloves, leather wearing apparel, and
handloomed, handmade, or folklore articles that are not granted duty-free
status in the Harmonized Tariff Schedule of the United States (HTSUS);
(ii) Tuna, prepared or preserved in any manner in
airtight containers; and
(iii) 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 HTSUS
column 2 rates of duty (HTSUS General Note 3(b)) apply.
“Commercially available off-the-shelf (COTS) item”—
(1) Means any item of supply (including construction material) that is—
(i) A commercial product (as defined in paragraph (1) of the definition of “commercial product” in section 2.101 of the Federal Acquisition Regulation);
(ii) Sold in substantial quantities in the commercial marketplace; and
(iii) Offered to the Government, under a contract or subcontract at any tier, without modification, in the same form in which it is sold in the commercial marketplace; and
(2) Does not include bulk cargo, as defined in 46 U.S.C. 40102(4), such as
agricultural products and petroleum products.
“Component” means an article, material, or
supply incorporated directly into an end product.
“Designated country” means—
(1) 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 the United Kingdom);
(2) A Free Trade Agreement country (Australia, Bahrain, Chile,
Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Korea (Republic of), Mexico, Morocco, Nicaragua, Panama, Peru, or Singapore);
(3)
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
(4) 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).
“Designated country end product” means a WTO
GPA country end product, a Free Trade Agreement country end product, a least
developed country end product, or a
“End product” means those articles, materials, and supplies to be
acquired under this contract for public use.
“Free Trade Agreement country end product”
means an article that—
(1) Is wholly the growth, product, or manufacture
of a Free Trade Agreement country; or
(2) In the case of an article that consists in
whole or in part of materials from another country, has been substantially
transformed in a Free Trade Agreement 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 its supply, provided
that the value of those incidental services does not exceed the value of the
product itself.
“Least developed country end product” means
an article that—
(1) Is wholly the growth, product, or manufacture
of a least developed country; or
(2) 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 its supply, provided
that the value of those incidental services does not exceed the value of the
product itself.
“Nondesignated country end product” means any
end product that is not a U.S.-made end product or a designated country end
product.
“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
Estonia
Finland
France
Germany
Greece
Israel
Italy
Japan
Latvia
Lithuania
Luxembourg
Netherlands
Norway
Poland
Portugal
Slovenia
Spain
Sweden
Switzerland
Turkey
United Kingdom of Great Britain and Northern Ireland.
“Qualifying country end product” means—
(1) An unmanufactured end product mined or
produced in a qualifying country; or
(2) An end product manufactured in a qualifying country if—
(i) The cost of the following types of components 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:
(A) Components mined, produced, or manufactured
in a qualifying country.
(B) Components mined, produced, or manufactured
in the
(C) Components of foreign origin of a class or
kind for which the Government has determined that sufficient and reasonably
available commercial quantities of a satisfactory quality are not mined,
produced, or manufactured in the
(ii) The end product is a COTS item.
“
“U.S.-made end product” means an article that—
(1) Is mined, produced, or manufactured in the
(2) Is substantially transformed in the
“WTO GPA country end product” means an
article that—
(1) Is wholly the growth, product, or manufacture
of a WTO GPA country; or
(2) 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 its supply, provided that the value of
those incidental services does not exceed the value of the product itself.
(b) Unless otherwise specified, this clause
applies to all items in the Schedule.
(c) The Contractor shall deliver under this
contract only U.S.-made, qualifying country, or designated country end products
unless—
(1) In its offer, the Contractor specified
delivery of other nondesignated country end products in the Trade Agreements
Certificate provision of the solicitation; and
(2)(i) Offers of U.S.-made, qualifying country, or
designated country end products from responsive, responsible offerors are
either not received or are insufficient to fill the Government’s requirements;
or
(ii) A national interest waiver has been granted.
(d) The contract price does not include duty for
end products or components for which the Contractor will claim duty-free entry.
(e) The HTSUS is available at http://www.usitc.gov/tata/hts/bychapter/index.htm. The following sections of the HTSUS provide information regarding duty-free status of articles specified in the definition of “Caribbean Basic country end product” within paragraph (a) of his clause:
(1) General Note 3(c), Products Eligible for
Special Tariff Treatment.
(2) General Note 17, Products of Countries
Designated as Beneficiary Countries Under the
(3) Section XXII, Chapter 98, Subchapter II,
Articles Exported and Returned, Advanced or Improved Abroad,
(4) Section XXII, Chapter 98, Subchapter XX,
Goods Eligible for Special Tariff Benefits Under the United States—Caribbean
Basin Trade Partnership Act.
(End of
clause)
Alternate I.
Reserved.
Alternate II.
As prescribed in 225.1101(6) and (6)(ii), use the following clause, which adds “South Caucasus/Central and South Asian (SC/CASA) state” and “South
Caucasus/Central and South Asian (SC/CASA) state end product” to paragraph (a); (ii) uses a different paragraph (c) than the basic clause; (iii) adds a new paragraph (d); and (iv) includes paragraphs (e) and (f) which are the same paragraphs (d) and (e) of the basic clause:
TRADE AGREEMENTS—ALTERNATE II (FEB 2024)
(a) Definitions. As used in this clause—
“
(1) Means an article that—
(i) Is wholly the growth, product, or manufacture of a Caribbean Basin country; 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 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. 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; and
(2) Excludes products, other than petroleum and any product derived from petroleum, that are not granted duty-free treatment under the Caribbean Basin Economic Recovery Act (19 U.S.C. 2703(b)). These exclusions presently consist of—
(i) Textiles, apparel articles, footwear, handbags, luggage, flat goods, work gloves, leather wearing apparel, and handloomed, handmade, or folklore articles that are not granted duty-free status in the Harmonized Tariff Schedule of the United States (HTSUS);
(ii) Tuna, prepared or preserved in any manner in airtight containers; and
(iii) 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 HTSUS column 2 rates of duty (HTSUS General Note 3(b)) apply.
“Commercially available off-the-shelf (COTS) item”—
(1) Means any item of supply (including construction material) that is—
(i) A commercial product (as defined in paragraph (1) of the definition of “commercial product” in section 2.101 of the Federal Acquisition Regulation);
(ii) Sold in substantial quantities in the commercial marketplace; and
(iii) Offered to the Government, under a contract or subcontract at any tier, without modification, in the same form in which it is sold in the commercial marketplace; and
(2) Does not include bulk cargo, as defined in 46 U.S.C. 40102(4), such as agricultural products and petroleum products.
“Component” means an article, material, or supply incorporated directly into an end product.
“Designated country” means—
(1) 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 the United Kingdom);
(2) A Free Trade Agreement country (Australia, Bahrain, Chile, Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Korea (Republic of), Mexico, Morocco, Nicaragua, Peru, or Singapore);
(3) A least developed country (Afghanistan, Angola, Bangladesh, Benin, Bhutan, Burkina Faso, Burundi, Cambodia, Central African Republic, Chad, Comoros, Democratic Republic of Congo, Djibouti, East Timor, Equatorial Guinea, Eritrea, Ethiopia, Gambia, Guinea, Guinea-Bissau, Haiti, Kiribati, Laos, Lesotho, Liberia, Madagascar, Malawi, Maldives, Mali, Mauritania, Mozambique, Nepal, Niger, Rwanda, Samoa, Sao Tome and Principe, Senegal, Sierra Leone, Solomon Islands, Somalia, Tanzania, Togo, Tuvalu, Uganda, Vanuatu, Yemen, or Zambia); or
(4) 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).
“Designated country end product” means a WTO GPA country end product, a Free Trade Agreement country end product, a least developed country end product, or a Caribbean Basin country end product.
“End product” means those articles, materials, and supplies to be acquired under this contract for public use.
“Free Trade Agreement country end product” means an article that—
(1) Is wholly the growth, product, or manufacture of a Free Trade Agreement country; or
(2) In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in a Free Trade Agreement 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 its supply, provided that the value of those incidental services does not exceed the value of the product itself.
“Least developed country end product” means an article that—
(1) Is wholly the growth, product, or manufacture of a least developed country; or
(2) 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 its supply, provided that the value of those incidental services does not exceed the value of the product itself.
“Nondesignated country end product” means any end product that is not a U.S.-made end product or a designated country end product.
“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
Estonia
Finland
France
Germany
Greece
Israel
Italy
Japan
Latvia
Lithuania
Luxembourg
Netherlands
Norway
Poland
Portugal
Slovenia
Spain
Sweden
Switzerland
Turkey
United Kingdom of Great Britain and Northern Ireland.
“Qualifying country end product” means—
(1) An unmanufactured end product mined or produced in a qualifying country; or
(2) An end product manufactured in a qualifying country if—
(i) The cost of the following types of components 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:
(A) Components mined, produced, or manufactured in a qualifying country.
(B) Components mined, produced, or manufactured in the United States.
(C) Components of foreign origin of a class or kind for which the Government has determined that sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States; or
(ii) The end product is a COTS item.
“South Caucasus/Central and South Asian (SC/CASA) state” means Armenia, Azerbaijan, Georgia, Kazakhstan, Kyrgyzstan, Pakistan, Tajikistan, Turkmenistan, or Uzbekistan.
“South Caucasus/Central and South Asian (SC/CASA) state end product” means an article that—
(1) Is wholly the growth, product, or manufacture of an SC/CASA state; or
(2) 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.
“United States” means the 50 States, the District of Columbia, and outlying areas.
“U.S.-made end product” means an article that—
(1) Is mined, produced, or manufactured in the United States; or
(2) 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.
“WTO GPA country end product” means an article that—
(1) Is wholly the growth, product, or manufacture of a WTO GPA country; or
(2) 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 its supply, provided that the value of those incidental services does not exceed the value of the product itself.
(b)
Unless otherwise specified, this clause applies to all items in the Schedule.
(c)
The Contractor shall deliver under this contract only U.S.-made, qualifying country, SC/CASA state, or designated country end products unless—
(1) In its offer, the Contractor specified delivery of other nondesignated country end products in the Trade Agreements Certificate provision of the solicitation; and
(2)(i) Offers of U.S.-made, qualifying country, SC/CASA state, or designated country end products from responsive, responsible offerors are either not received or are insufficient to fill the Government’s requirements; or
(ii) A national interest waiver has been granted.
(d)
If the Contractor is from an SC/CASA state, the Contractor shall inform its government of its participation in this acquisition and that it generally will not have such opportunity in the future unless its government provides reciprocal procurement opportunities to U.S. products and services and suppliers of such products and services.
(e)
The contract price does not include duty for end products or components for which the Contractor will claim duty-free entry.
(f)
The HTSUS is available at http://www.usitc.gov/tata/hts/bychapter/index.htm. The following sections of the HTSUS provide information regarding duty-free status of articles specified in the definition of “Caribbean Basin country end product” within paragraph (a) of this clause:
(1) General Note 3(c), Products Eligible for Special Tariff Treatment.
(2) General Note 17, Products of Countries Designated as Beneficiary Countries Under the United States—Caribbean Basin Trade Partnership Act of 2000.
(3) Section XXII, Chapter 98, Subchapter II, Articles Exported and Returned, Advanced or Improved Abroad, U.S. Note 7(b).
(4) Section XXII, Chapter 98, Subchapter XX, Goods Eligible for Special Tariff Benefits Under the United States—Caribbean Basin Trade Partnership Act.
(End of clause)
Alternate III.
As prescribed in 225.1101(6) and (6)(iii), use the following clause, which includes, in the definition of “qualifying country end product” at paragraph (2)(i), the domestic content threshold that will apply to the entire contract period of performance.
TRADE AGREEMENTS—ALTERNATE III (FEB 2024)
(a) Definitions. As used in this clause—
“
(1) Means an article that—
(i) Is wholly the growth, product, or manufacture of a Caribbean Basin country; 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 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. 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; and
(2) Excludes products, other than petroleum and any product derived from petroleum, that are not granted duty-free treatment under the Caribbean Basin Economic Recovery Act (19 U.S.C. 2703(b)). These exclusions presently consist of—
(i) Textiles, apparel articles, footwear, handbags, luggage, flat goods, work gloves, leather wearing apparel, and handloomed, handmade, or folklore articles that are not granted duty-free status in the Harmonized Tariff Schedule of the United States (HTSUS);
(ii) Tuna, prepared or preserved in any manner in airtight containers; and
(iii) 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 HTSUS column 2 rates of duty (HTSUS General Note 3(b)) apply.
“Commercially available off-the-shelf (COTS) item—
(1) Means any item of supply (including construction material) that is—
(i) A commercial product (as defined in paragraph (1) of the definition of “commercial product” in section 2.101 of the Federal Acquisition Regulation);
(ii) Sold in substantial quantities in the commercial marketplace; and
(iii) Offered to the Government, under a contract or subcontract at any tier, without modification, in the same form in which it is sold in the commercial marketplace; and
(2) Does not include bulk cargo, as defined in 46 U.S.C. 40102(4), such as agricultural products and petroleum products.
“Component” means an article, material, or supply incorporated directly into an end product.
“Designated country” means—
(1) 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 the United Kingdom);
(2) A Free Trade Agreement country (Australia, Bahrain, Chile, Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Korea (Republic of), Mexico, Morocco, Nicaragua, Panama, Peru, or Singapore);
(3) 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
(4) 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).
“Designated country end product” means a WTO GPA country end product, a Free Trade Agreement country end product, a least developed country end product, or a Caribbean Basin country end product.
“End product” means those articles, materials, and supplies to be acquired under this contract for public use.
“Free Trade Agreement country end product” means an article that—
(1) Is wholly the growth, product, or manufacture of a Free Trade Agreement country; or
(2) In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in a Free Trade Agreement 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 its supply, provided that the value of those incidental services does not exceed the value of the product itself.
“Least developed country end product” means an article that—
(1) Is wholly the growth, product, or manufacture of a least developed country; or
(2) 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 its supply, provided that the value of those incidental services does not exceed the value of the product itself.
“Nondesignated country end product” means any end product that is not a U.S.-made end product or a designated country end product.
“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
Estonia
Finland
France
Germany
Greece
Israel
Italy
Japan
Latvia
Lithuania
Luxembourg
Netherlands
Norway
Poland
Portugal
Slovenia
Spain
Sweden
Switzerland
Turkey
United Kingdom of Great Britain and Northern Ireland.
“Qualifying country end product” means—
(1) An unmanufactured end product mined or produced in a qualifying country; or
(2) An end product manufactured in a qualifying country if—
(i) The cost of the following types of components exceeds, for the entire period of performance for a contract awarded in: calendar year 2023, 60 percent of the cost of all its components; calendar years 2024 through 2028, 65 percent of the cost of all its components; or calendar year 2029 or later, 75 percent of the cost of all its components:
(A) Components mined, produced, or manufactured in a qualifying country.
(B) Components mined, produced, or manufactured in the United States.
(C) Components of foreign origin of a class or kind for which the Government has determined that sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States; or
(ii) The end product is a COTS item.
“United States” means the 50 States, the District of Columbia, and outlying areas.
“U.S.-made end product” means an article that—
(1) Is mined, produced, or manufactured in the United States; or
(2) 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.
“WTO GPA country end product” means an article that
(1) Is wholly the growth, product, or manufacture of a WTO GPA country; or
(2) 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 its supply, provided that the value of those incidental services does not exceed the value of the product itself.
(b)
Unless otherwise specified, this clause applies to all items in the Schedule.
(c)
The Contractor shall deliver under this contract only U.S.-made, qualifying country, or designated country end products unless—
(1) In its offer, the Contractor specified delivery of other nondesignated country end products in the Trade Agreements Certificate provision of the solicitation; and
(2)(i) Offers of U.S.-made, qualifying country, or designated country end products from responsive, responsible offerors are either not received or are insufficient to fill the Government's requirements; or
(ii) A national interest waiver has been granted.
(d)
The contract price does not include duty for end products or components for which the Contractor will claim duty-free entry.
(e)
The HTSUS is available at http://www.usitc.gov/tata/hts/bychapter/index.htm. The following sections of the HTSUS provide information regarding duty-free status of articles specified in the definition of “Caribbean Basin country end product” within paragraph (a) of this clause:
(1) General Note 3(c), Products Eligible for Special Tariff Treatment.
(2) General Note 17, Products of Countries Designated as Beneficiary Countries Under the United States-Caribbean Basin Trade Partnership Act of 2000.
(3) Section XXII, Chapter 98, Subchapter II, Articles Exported and Returned, Advanced or Improved Abroad, U.S. Note 7(b).
(4) Section XXII, Chapter 98, Subchapter XX, Goods Eligible for Special Tariff Benefits Under the United States-Caribbean Basin Trade Partnership Act.
(End of clause)
Alternate IV.
As prescribed in 225.1101(6) and (6)(iv), use the following clause, which (i) includes, in the definition of “qualifying country end product” at paragraph (2)(i), the domestic content threshold that will apply to the entire contract period of performance; (ii) adds “South Caucasus/Central and South Asian (SC/CASA) state” and “South Caucasus/Central and South Asian (SC/CASA) state end product” to paragraph (a); (iii) uses a different paragraph (c) than the basic clause; (iv) adds a new paragraph (d); and (v) includes paragraphs (e) and (f) which are the same paragraphs (d) and (e) of the basic clause:
TRADE AGREEMENTS—ALTERNATE IV (FEB 2024)
(a) Definitions. As used in this clause—
“
(1) Means an article that—
(i) Is wholly the growth, product, or manufacture of a Caribbean Basin country; 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 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. 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; and
(2) Excludes products, other than petroleum and any product derived from petroleum, that are not granted duty-free treatment under the Caribbean Basin Economic Recovery Act (19 U.S.C. 2703(b)). These exclusions presently consist of—
(i) Textiles, apparel articles, footwear, handbags, luggage, flat goods, work gloves, leather wearing apparel, and handloomed, handmade, or folklore articles that are not granted duty-free status in the Harmonized Tariff Schedule of the United States (HTSUS);
(ii) Tuna, prepared or preserved in any manner in airtight containers; and
(iii) 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 HTSUS column 2 rates of duty (HTSUS General Note 3(b)) apply.
“Commercially available off-the-shelf (COTS) item”—
(1) Means any item of supply (including construction material) that is—
(i) A commercial product (as defined in paragraph (1) of the definition of commercial product in section 2.101 of the Federal Acquisition Regulation);
(ii) Sold in substantial quantities in the commercial marketplace; and
(iii) Offered to the Government, under a contract or subcontract at any tier, without modification, in the same form in which it is sold in the commercial marketplace; and
(2) Does not include bulk cargo, as defined in 46 U.S.C. 40102(4), such as agricultural products and petroleum products.
“Component” means an article, material, or supply incorporated directly into an end product.
“Designated country” means—
(1) 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 the United Kingdom);
(2) A Free Trade Agreement country (Australia, Bahrain, Chile, Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Korea (Republic of), Mexico, Morocco, Nicaragua, Peru, or Singapore);
(3) A least developed country (Afghanistan, Angola, Bangladesh, Benin, Bhutan, Burkina Faso, Burundi, Cambodia, Central African Republic, Chad, Comoros, Democratic Republic of Congo, Djibouti, East Timor, Equatorial Guinea, Eritrea, Ethiopia, Gambia, Guinea, Guinea-Bissau, Haiti, Kiribati, Laos, Lesotho, Liberia, Madagascar, Malawi, Maldives, Mali, Mauritania, Mozambique, Nepal, Niger, Rwanda, Samoa, Sao Tome and Principe, Senegal, Sierra Leone, Solomon Islands, Somalia, Tanzania, Togo, Tuvalu, Uganda, Vanuatu, Yemen, or Zambia); or
(4) 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).
“Designated country end product” means a WTO GPA country end product, a Free Trade Agreement country end product, a least developed country end product, or a Caribbean Basin country end product.
“End product” means those articles, materials, and supplies to be acquired under this contract for public use.
“Free Trade Agreement country end product” means an article that—
(1) Is wholly the growth, product, or manufacture of a Free Trade Agreement country; or
(2) In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in a Free Trade Agreement 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 its supply, provided that the value of those incidental services does not exceed the value of the product itself.
“Least developed country end product” means an article that—
(1) Is wholly the growth, product, or manufacture of a least developed country; or
(2) 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 its supply, provided that the value of those incidental services does not exceed the value of the product itself.
“Nondesignated country end product” means any end product that is not a U.S.-made end product or a designated country end product.
“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
Estonia
Finland
France
Germany
Greece
Israel
Italy
Japan
Latvia
Lithuania
Luxembourg
Netherlands
Norway
Poland
Portugal
Slovenia
Spain
Sweden
Switzerland
Turkey
United Kingdom of Great Britain and Northern Ireland.
“Qualifying country end product” means—
(1) An unmanufactured end product mined or produced in a qualifying country; or
(2) An end product manufactured in a qualifying country if—
(i) The cost of the following types of components exceeds, for the entire period of performance for a contract awarded in: calendar year 2023, 60 percent of the cost of all its components; calendar years 2024 through 2028, 65 percent of the cost of all its components; or calendar year 2029 or later, 75 percent of the cost of all its components:
(A) Components mined, produced, or manufactured in a qualifying country.
(B) Components mined, produced, or manufactured in the United States.
(C) Components of foreign origin of a class or kind for which the Government has determined that sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States; or
(ii) The end product is a COTS item.
“South Caucasus/Central and South Asian (SC/CASA) state” means Armenia, Azerbaijan, Georgia, Kazakhstan, Kyrgyzstan, Pakistan, Tajikistan, Turkmenistan, or Uzbekistan.
“South Caucasus/Central and South Asian (SC/CASA) state end product” means an article that—
(1) Is wholly the growth, product, or manufacture of an SC/CASA state; or
(2) 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.
“United States” means the 50 States, the District of Columbia, and outlying areas.
“U.S.-made end product” means an article that—
(1) Is mined, produced, or manufactured in the United States; or
(2) 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.
“WTO GPA country end product” means an article that—
(1) Is wholly the growth, product, or manufacture of a WTO GPA country; or
(2) 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 its supply, provided that the value of those incidental services does not exceed the value of the product itself.
(b)
Unless otherwise specified, this clause applies to all items in the Schedule.
(c)
The Contractor shall deliver under this contract only U.S.-made, qualifying country, SC/CASA state, or designated country end products unless—
(1) In its offer, the Contractor specified delivery of other nondesignated country end products in the Trade Agreements Certificate provision of the solicitation; and
(2)(i) Offers of U.S.-made, qualifying country, SC/CASA state, or designated country end products from responsive, responsible offerors are either not received or are insufficient to fill the Government's requirements; or
(ii) A national interest waiver has been granted.
(d)
If the Contractor is from an SC/CASA state, the Contractor shall inform its government of its participation in this acquisition and that it generally will not have such opportunity in the future unless its government provides reciprocal procurement opportunities to U.S. products and services and suppliers of such products and services.
(e)
The contract price does not include duty for end products or components for which the Contractor will claim duty-free entry.
(f)
The HTSUS is available at http://www.usitc.gov/tata/hts/bychapter/index.htm. The following sections of the HTSUS provide information regarding duty-free status of articles specified in the definition of “Caribbean Basin country end product” within paragraph (a) of this clause:
(1) General Note 3(c), Products Eligible for Special Tariff Treatment.
(2) General Note 17, Products of Countries Designated as Beneficiary Countries Under the United States—Caribbean Basin Trade Partnership Act of 2000.
(3) Section XXII, Chapter 98, Subchapter II, Articles Exported and Returned, Advanced or Improved Abroad, U.S. Note 7(b).
(4) Section XXII, Chapter 98, Subchapter XX, Goods Eligible for Special Tariff Benefits Under the United States—Caribbean Basin Trade Partnership Act.
(End of clause)
252.225-7022 Reserved.
252.225-7023 Preference for Products or Services from
As
prescribed in 225.7703-4(a), use the following provision:
PREFERENCE FOR PRODUCTS OR SERVICES FROM
(SEP 2013)
(a)
Definitions. “Product from
(b)
Representation. The offeror represents that all products or
services to be delivered under a contract resulting from this solicitation are
products from
(1) Paragraph (c) of this provision; or
(2) Paragraph (c)(2) of the provision entitled “Trade Agreements Certificate,” if included in this solicitation.
(c)
Other products or services. The following offered products or services
are not products from
(Line Item Number) (Country of Origin)
(d)
Evaluation. For the purpose of evaluating competitive
offers, the Contracting Officer will increase by 50 percent the prices of
offers of products or services that are not products or services from
(End of provision)
252.225-7024 Requirement for Products or Services from
As
prescribed in 225.7703-4(b), use the following clause:
REQUIREMENT FOR PRODUCTS OR SERVICES FROM
(SEP 2013)
(a)
Definitions. As used in this clause—
(1) “Product from
(2) “Service from
(b)
The Contractor shall provide only products from
(End of clause)
252.225-7025 Restriction on Acquisition of Forgings.
As prescribed in 225.7102-4, use the
following clause:
RESTRICTION
ON ACQUISITION OF FORGINGS (DEC 2009)
(a) Definitions. As used in this clause¾
(1) “Component” means any item supplied to the Government as part of an end product or of another component.
(2) “Domestic manufacture” means manufactured in the United States, its outlying areas; or Canada.
(3) “Forging items” means—
ITEMS Ship
propulsion shafts Periscope
tubes Ring
forgings for bull gears |
CATEGORIES Excludes
service and landing craft shafts All All
greater than 120 inches in diameter |
(b) End products and their components delivered under this contract shall contain forging items that are of domestic manufacture only.
(c) The restriction in paragraph (b) of this
clause may be waived upon request from the Contractor in accordance with
subsection 225.7102-3 of the Defense Federal Acquisition Regulation Supplement.
(d) The Contractor shall retain records showing
compliance with the restriction in paragraph (b) of this clause until 3 years
after final payment and shall make the records available upon request of the
Contracting Officer.
(e) The Contractor shall insert the substance of this
clause, including this paragraph (e), in subcontracts for forging items or for
other items that contain forging items.
(End of
clause)
252.225-7026 Acquisition Restricted to Products or
Services from
As
prescribed in 225.7703-4(c), use the following clause:
ACQUISITION RESTRICTED TO PRODUCTS OR
SERVICES FROM
(a)
Definitions. As used in this clause—
(1) “Product from
(2) “Service from
(b)
The Contractor shall provide only products from
(End of clause)
252.225-7027 Restriction on Contingent Fees for Foreign
Military Sales.
As prescribed in 225.7307(a), use the
following clause.
RESTRICTION ON CONTINGENT FEES FOR FOREIGN
MILITARY SALES
(APR 2003)
(a)
Except as provided in paragraph (b) of this clause, contingent fees, as
defined in the Covenant Against Contingent Fees clause of this contract, are
generally an allowable cost, provided the fees are paid to—
(1) A bona fide employee of the Contractor;
or
(2) A bona fide established commercial or selling
agency maintained by the Contractor for the purpose of securing business.
(b)
For foreign military sales, unless the contingent fees have been
identified and payment approved in writing by the foreign customer before
contract award, the following contingent fees are unallowable under this
contract:
(1) For sales to the Government(s) of __________,
contingent fees in any amount.
(2) For sales to Governments not listed in
paragraph (b)(1) of this clause, contingent fees exceeding $50,000 per foreign
military sale case.
(End of clause)
252.225-7028 Exclusionary Policies and Practices of
Foreign Governments.
As prescribed in 225.7307(b), use the
following clause:
EXCLUSIONARY
POLICIES AND PRACTICES OF FOREIGN GOVERNMENTS
(APR 2003)
The
Contractor and its subcontractors shall not take into account the exclusionary
policies or practices of any foreign government in employing or assigning
personnel, if—
(a)
The personnel will perform functions required by this contract, either
in the
(b)
The exclusionary policies or practices of the foreign government are
based on race, religion, national origin, or sex.
(End of
clause)
252.225-7029 Acquisition of Uniform Components for Afghan Military or Afghan National Police.
As prescribed in 225.7703-4(d), use the following clause:
ACQUISITION OF UNIFORM COMPONENTS FOR AFGHAN MILITARY OR AFGHAN NATIONAL POLICE (SEP 2013)
(a)
Definitions. As used in this clause—
“Textile component” means any item consisting of fibers, yarns, or fabric, supplied for incorporation into a uniform or a component of a uniform. It does not include items that do not contain fibers, yarns, or fabric, such as the metallic or plastic elements of buttons, zippers, or other clothing fasteners.
“United States” means the 50 States, the District of Columbia, and outlying areas.
(b)
As required by section 826 of the National Defense Authorization Act for Fiscal Year 2013 (Pub. L. 112-239), the Contractor shall deliver under this contract only textile components that have been produced in the United States.
(c)
There are no exceptions or waivers to this requirement.
(End of
clause)
252.225-7030 Restriction on Acquisition of Carbon, Alloy,
and Armor Steel Plate.
As
prescribed in 225.7011-3, use the following clause:
RESTRICTION ON ACQUISITION OF CARBON, ALLOY,
AND ARMOR
STEEL PLATE (DEC 2006)
(a)
Carbon, alloy, and armor steel plate shall be melted and rolled in the
(1) Is in Federal Supply Class 9515 or is
described by specifications of the American Society for Testing Materials or
the American Iron and Steel Institute; and
(2)(i) Will be delivered to the Government for use
in a Government-owned facility or a facility under the control of the
Department of Defense; or
(ii) Will be purchased by the Contractor for use
in a Government-owned facility or a facility under the control of the
Department of Defense.
(b) This restriction—
(1) Applies to the acquisition of carbon, alloy,
or armor steel plate as a finished steel mill product that may be used “as is”
or may be used as an intermediate material for the fabrication of an end
product; and
(2)
Does not apply to the acquisition of an
end product (e.g., a machine tool), to be used in the facility, that contains
carbon, alloy, or armor steel plate as a component.
(End of
clause)
252.225-7031 Secondary Arab Boycott of
As
prescribed in 225.7605, use the following provision:
SECONDARY ARAB BOYCOTT OF
(a)
Definitions. As used in this provision—
(1) “Foreign person” means any person (including
any individual, partnership, corporation, or other form of association) other
than a
(2) “
(3) “
(i) Any
(ii) Any domestic concern (including any permanent
domestic establishment of any foreign concern); and
(iii) Any foreign subsidiary or affiliate
(including any permanent foreign establishment) of any domestic concern that is
controlled in fact by such domestic concern.
(b)
Certification. If the offeror is a foreign person, the
offeror certifies, by submission of an offer, that it—
(1) Does not comply with the Secondary Arab
Boycott of Israel; and
(2) Is not taking or knowingly agreeing to take
any action, with respect to the Secondary Boycott of Israel by Arab countries,
which 50 U.S.C. App. 2407(a) prohibits a United States person from taking.
(End of provision)
252.225-7032 Waiver of
As
prescribed in 225.1101(7), use the following provision:
WAIVER OF
(APR 2003)
(a)
Offered prices for contracts or subcontracts with United Kingdom (U.K.)
firms may contain commercial exploitation levies assessed by the Government of
the
(1) The name of the
(2) The item to which the levy applies and the
item quantity; and
(3) The amount of levy plus any associated
indirect costs and profit or fee.
(b)
In the event of difficulty in identifying levies included in a price
from a prospective subcontractor, the offeror may seek advice through the
Director of Procurement, United Kingdom Defence Procurement Office, British
Embassy,
(c)
The U.S. Government may attempt to obtain a waiver of levies pursuant to
the U.S./U.K. reciprocal waiver agreement of July 1987.
(1) If the
(2) If levies are identified but not waived
before award of a contract, the Contracting Officer will evaluate the offer
inclusive of the levies.
(3) If the
(End of provision)
252.225-7033
Waiver of
As
prescribed in 225.1101(8), use the following clause:
WAIVER OF
(a)
The U.S. Government may attempt to obtain a waiver of any commercial
exploitation levies included in the price of this contract, pursuant to the
U.S./United Kingdom (U.K.) reciprocal waiver agreement of July 1987. If the
(b)
If the Contractor contemplates award of a subcontract exceeding
$1
million to a
(1) Name of the
(2) Prime contract number.
(3) Description of item to which the levy
applies.
(4) Quantity being acquired.
(5) Amount of levy plus any associated indirect
costs and profit or fee.
(c)
In the event of difficulty in identifying levies included in a price
from a prospective subcontractor, the Contractor may seek advice through the
Director of Procurement, United Kingdom Defence Procurement Office, British
Embassy,
(d)
The Contractor shall insert the substance of this clause, including this
paragraph (d), in any subcontract for supplies where a lower-tier subcontract
exceeding $1 million with a
(End of clause)
252.225-7034 Reserved.
252.225-7035
Buy American--Free Trade Agreements--Balance of Payments
Program Certificate.
Basic. As prescribed in 225.1101(9) and (9)(i), use the following provision:
BUY AMERICAN—FREE TRADE AGREEMENTS—BALANCE OF PAYMENTS PROGRAM CERTIFICATE—BASIC (FEB 2024)
(a) Definitions. “Bahraini end product,” “commercially available off-the-shelf (COTS) item,” “component,” “critical component,” “critical item,” “domestic end product,” “Free Trade Agreement country,” “Free Trade Agreement country end product,” “foreign end product,” “Moroccan end product,” “Panamanian end product,” “Peruvian end product,” “qualifying country end product,” and “United States,” as used in this provision, have the meanings given in the 252.225-7036, Buy American—Free Trade Agreements—Balance of Payments Program—Basic clause of this solicitation.
(b)
Evaluation. The Government—
(1) Will evaluate offers in accordance with the policies and procedures of part 225 of the Defense Federal Acquisition Regulation Supplement; and
(2) For line items subject to the Buy American—Free Trade Agreements—Balance of Payments Program—Basic clause of this solicitation, will evaluate offers of qualifying country end products or Free Trade Agreement country end products other than Bahraini end products, Moroccan end products, Panamanian end products, or Peruvian end products without regard to the restrictions of the Buy American or the Balance of Payments Program.
(c)
Certifications and identification
of country of origin.
(1) For all line items subject to the Buy American—Free Trade Agreements—Balance of Payments Program—Basic clause of this solicitation, the Offeror certifies that—
(i) Each end product, except the end products listed in paragraph (c)(2) of this provision, is a domestic end product;
(ii) Each domestic end product listed in paragraph (c)(3) of this provision contains a critical component or a critical item; and
(iii) Components of unknown origin are considered
to have been mined, produced, or manufactured outside the
(2) The Offeror shall identify all end products that are not domestic end products.
(i) The Offeror certifies that the following supplies are qualifying country (except Australian) end products:
(Line Item Number) (Country of Origin)
(ii) The Offeror certifies that the following supplies are Free Trade Agreement country end products other than Bahraini end products, Moroccan end products, Panamanian end products, or Peruvian end products:
(Line Item Number) (Country of Origin)
(iii) The following supplies are other foreign end products, including end products manufactured in the United States that do not qualify as domestic end products. For those foreign end products that do not consist wholly or predominantly of iron or steel or a combination of both, the Offeror shall also indicate whether these foreign end products exceed 55 percent domestic content, except those that are COTS items. If the percentage of the domestic content is unknown, select “no”.
Line Item Number |
Country of Origin (If known) |
Exceeds 55% Domestic Content (yes/no) |
|
|
|
|
|
|
|
|
|
(3) The Offeror shall list the line item numbers of domestic end products that contain a critical component or a critical item (see section 25.105 of the Federal Acquisition Regulation).
Line Item Number: ________________[List as necessary]_______________________
(End of provision)
Alternate I. As prescribed in 225.1101(9) and (9)(ii), use the following provision, which does not use the phrases “Bahraini end product,” “Free Trade Agreement country,” “Free Trade Agreement country end product,” “Moroccan end product,” “Panamanian end product,” and “Peruvian end products” in paragraph (a); does not use“Free Trade Agreement country end products other than Bahraini end products, Moroccan end products, Panamanian end products, or Peruvian end products” in
paragraphs (b)(2) and (c)(2)(ii); does not use “Australian or” in paragraph (c)(2)(i); and includes “that are mined, produced, or manufactured in the United States” in paragraph (c)(2)(ii):
BUY AMERICAN—FREE TRADE AGREEMENTS—BALANCE OF PAYMENTS PROGRAM CERTIFICATE—ALTERNATE I (FEB 2024)
(a) Definitions. “Commercially available off-the-shelf (COTS) item,” “component,” “critical component,” “critical item,” “domestic end product,” “foreign end product,” “qualifying country end product,” and “United States,” as used in this provision, have the meanings given in the 252.225-7036, Buy American—Free Trade Agreements—Balance of Payments Program—Alternate I clause of this solicitation.
(b) Evaluation. The Government—
(1) Will evaluate offers in accordance with the policies and procedures of part 225 of the Defense Federal Acquisition Regulation Supplement; and
(2) For line items subject to the Buy American—Free Trade Agreements—Balance of Payments Program—Alternate I clause of this solicitation, will evaluate offers of qualifying country end products without regard to the restrictions of the Buy American or the Balance of Payments Program.
(c) Certifications and identification of country of origin.
(1) For all line items subject to the Buy American—Free Trade Agreements—Balance of Payments Program—Alternate I clause of this solicitation, the Offeror certifies that—
(i) Each end product, except the end products listed in paragraph (c)(2) of this provision, is a domestic end product;
(ii) Each domestic end product listed in paragraph (c)(3) of this provision contains a critical component or a critical item; and
(iii) Components of unknown origin are considered to have been mined, produced, or manufactured outside the United States or a qualifying country.
(2) The Offeror shall identify all end products that are not domestic end products.
(i) The Offeror certifies that the following supplies are qualifying country end products:
(Line Item Number) (Country of Origin)
(ii) The following supplies are other foreign end products, including end products manufactured in the United States that do not qualify as domestic end products. For those foreign end products that do not consist wholly or predominantly of iron or steel or a combination of both, the Offeror shall also indicate whether these foreign end products exceed 55 percent domestic content, except those that are COTS items that are mined, produced, or manufactured in the United States. If the percentage of the domestic content is unknown, select “no”.
Line Item Number |
Country of Origin (If known) |
Exceeds 55% Domestic Content (yes/no) |
|
|
|
|
|
|
|
|
|
(3) The Offeror shall list the line item numbers of domestic end products that contain a critical component or a critical item (see section 25.105 of the Federal Acquisition Regulation).
Line Item Number: ___________[List as necessary]______________
(End of provision)
Alternate II.
As prescribed in 225.1101(9) and (9)(iii), use the following provision, which adds “South Caucasus/Central and South Asian (SC/CASA) state” and “South Caucasus/Central and South Asian (SC/CASA) state end product” to paragraph (a), and uses different paragraphs (b)(2) and (c)(2)(i) than the basic provision:
BUY AMERICAN—FREE TRADE AGREEMENTS—BALANCE OF PAYMENTS PROGRAM CERTIFICATE—ALTERNATE II (FEB 2024)
(a) Definitions. “Bahraini end product,” “commercially available off-the-shelf (COTS) item,” “component,” “critical component,” “critical item,” “domestic end product,” “Free Trade Agreement country,” “Free Trade Agreement country end product,” “foreign end product,” “Moroccan end product,” “Panamanian end product,” “Peruvian end product,” “qualifying country end product,” “South Caucasus/Central and South Asian (SC/CASA) state,” “South Caucasus/Central and South Asian (SC/CASA) state end product,” and “United States,” as used in this provision, have the meanings given in the 252.225-7036, Buy American—Free Trade Agreements—Balance of Payments Program—Alternate II clause of this solicitation.
(b)
Evaluation. The Government—
(1) Will evaluate offers in accordance with the policies and procedures of part 225 of the Defense Federal Acquisition Regulation Supplement; and
(2) For line items subject to the Buy American—Free Trade Agreements—Balance of Payments Program—Alternate II clause of this solicitation, will evaluate offers of qualifying country end products, SC/CASA state end products, or Free Trade Agreement country end products other than Bahraini end products, Moroccan end products, Panamanian end products, or Peruvian end products without regard to the restrictions of the Buy American or the Balance of Payments Program.
(c)
Certifications and identification of country of origin.
(1) For all line items subject to the Buy American—Free Trade Agreements—Balance of Payments Program—Alternate II clause of this solicitation, the Offeror certifies that—
(i) Each end product, except the end products listed in paragraph (c)(2) of this provision, is a domestic end product;
(ii) Each domestic end product listed in paragraph (c)(3) of this provision contains a critical component or a critical item; and
(iii) Components of unknown origin are considered to have been mined, produced, or manufactured outside the United States or a qualifying country.
(2) The Offeror shall identify all end products that are not domestic end products.
(i) The Offeror certifies that the following supplies are qualifying country (except Australian) or SC/CASA state end products:
(Line Item Number) (Country of Origin)
(ii) The Offeror certifies that the following supplies are Free Trade Agreement country end products other than Bahraini end products, Moroccan end products, Panamanian end products, or Peruvian end products:
(Line Item Number) (Country of Origin)
(iii) The following supplies are other foreign end products, including end products manufactured in the United States that do not qualify as domestic end products. For those foreign end products that do not consist wholly or predominantly of iron or steel or a combination of both, the Offeror shall also indicate whether these foreign end products exceed 55 percent domestic content, except those that are COTS items. If the percentage of the domestic content is unknown, select “no”.
Line Item Number |
Country of Origin (If known) |
Exceeds 55% Domestic Content (yes/no) |
|
|
|
|
|
|
|
|
|
(3) The Offeror shall list the line item numbers of domestic end products that contain a critical component or a critical item (see section 25.105 of the Federal Acquisition Regulation).
Line Item Number: _________[List as necessary]___________
(End of provision)
Alternate III.
As prescribed in 225.1101(9) and (9)(iv), use the following provision, which uses different paragraphs (a), (b)(2), (c)(2)(i), and (c)(2)(ii) than the basic provision:
BUY AMERICAN—FREE TRADE AGREEMENTS—BALANCE OF PAYMENTS PROGRAM CERTIFICATE—ALTERNATE III (FEB 2024)
(a) Definitions. “Commercially available off-the-shelf (COTS) item,” “component,” “critical component,” “critical item,” “domestic end product,” “foreign end product,” “qualifying country end product,” “South Caucasus/Central and South Asian (SC/CASA) state end product,” and “United States,” as used in this provision have the meanings given in the 252.225-7036, Buy American—Free Trade Agreements—Balance of Payments Program—Alternate III clause of this solicitation.
(b)
Evaluation. The Government—
(1) Will evaluate offers in accordance with the policies and procedures of part 225 of the Defense Federal Acquisition Regulation Supplement; and
(2) For line items subject to the Buy American—Free Trade Agreements—Balance of Payments Program—Alternate III clause of this solicitation, will evaluate offers of qualifying country end products or SC/CASA state end products without regard to the restrictions of the Buy American or the Balance of Payments Program.
(c)
Certifications and identification of country of origin.
(1) For all line items subject to the Buy American—Free Trade Agreements—Balance of Payments Program—Alternate III clause of this solicitation, the Offeror certifies that—
(i) Each end product, except the end products listed in paragraph (c)(2) of this provision, is a domestic end product;
(ii) Each domestic end product listed in paragraph (c)(3) of this provision contains a critical component or a critical item; and
(iii) Components of unknown origin are considered to have been mined, produced, or manufactured outside the United States or a qualifying country.
(2) The Offeror shall identify all end products that are not domestic end products.
(i) The Offeror certifies that the following supplies are qualifying country or SC/CASA state end products:
(Line Item Number) (Country of Origin)
(ii) The Offeror certifies that the following supplies are Free Trade Agreement country end products other than Bahraini end products, Moroccan end products, Panamanian end products, or Peruvian end products:
(Line Item Number) (Country of Origin)
(iii) The following supplies are other foreign end products, including end products manufactured in the United States that do not qualify as domestic end products. For those foreign end products that do not consist wholly or predominantly of iron or steel or a combination of both, the Offeror shall also indicate whether these foreign end products exceed 55 percent domestic content, except those that are COTS items. If the percentage of the domestic content is unknown, select “no”.
Line Item Number |
Country of Origin (If known) |
Exceeds 55% Domestic Content (yes/no) |
|
|
|
|
|
|
|
|
|
(3) The Offeror shall list the line item numbers of domestic end products that contain a critical component or a critical item (see section 25.105 of the Federal Acquisition Regulation).
Line Item Number: _________[List as necessary]_________
(End of provision)
Alternate IV.
As prescribed in 225.1101(9) and (9)(v), use the following provision, which adds “Korean end product” to paragraph (a) and uses “Free Trade Agreement country end products other than Bahraini end products, Korean end products, Moroccan end products, Panamanian end products, or Peruvian end products” in paragraphs (b)(2) and (c)(2)(ii), rather than “Free Trade Agreement country end products other than Bahraini end products, Moroccan end products, Panamanian end products, or Peruvian end products” in paragraphs (b)(2) and (c)(2)(ii) of the basic provision:
BUY AMERICAN—FREE TRADE AGREEMENTS—BALANCE OF PAYMENTS PROGRAM CERTIFICATE—ALTERNATE IV (FEB 2024)
(a) Definitions. “Bahraini end product,” “commercially available off-the-shelf (COTS) item,” “component,” “critical component,” “critical item,” “domestic end product,” “Free Trade Agreement country,” “Free Trade Agreement country end product,” “foreign end product,” “Korean end product,” “Moroccan end product,” “Panamanian end product,” “Peruvian end product,” “qualifying country end product,” and “United States,” as used in this provision, have the meanings given in the 252.225-7036, Buy American—Free Trade Agreements—Balance of Payments Program—Alternate IV clause of this solicitation.
(b)
Evaluation. The Government—
(1) Will evaluate offers in accordance with the policies and procedures of part 225 of the Defense Federal Acquisition Regulation Supplement; and
(2) For line items subject to the Buy American—Free Trade Agreements—Balance of Payments Program—Alternate IV clause of this solicitation, will evaluate offers of qualifying country end products or Free Trade Agreement country end products other than Bahraini end products, Korean end products, Moroccan end products, Panamanian end products, or Peruvian end products without regard to the restrictions of the Buy American or the Balance of Payments Program.
(c)
Certifications and identification of country of origin.
(1) For all line items subject to the Buy American—Free Trade Agreements—Balance of Payments Program—Alternate IV clause of this solicitation, the Offeror certifies that—
(i) Each end product, except the end products listed in paragraph (c)(2) of this provision, is a domestic end product;
(ii) Each domestic end product listed in paragraph (c)(3) of this provision contains a critical component or a critical item; and
(iii) Components of unknown origin are considered to have been mined, produced, or manufactured outside the United States or a qualifying country.
(2) The Offeror shall identify all end products that are not domestic end products.
(i) The Offeror certifies that the following supplies are qualifying country (except Australian) end products:
(Line Item Number) (Country of Origin)
(ii) The Offeror certifies that the following supplies are Free Trade Agreement country end products other than Bahraini end products, Korean end products, Moroccan end products, Panamanian end products, or Peruvian end products:
(Line Item Number) (Country of Origin)
(iii) The following supplies are other foreign end products, including end products manufactured in the United States that do not qualify as domestic end products. For those foreign end products that do not consist wholly or predominantly of iron or steel or a combination of both, the Offeror shall also indicate whether these foreign end products exceed 55 percent domestic content, except those that are COTS items. If the percentage of the domestic content is unknown, select “no”.
Line Item Number |
Country of Origin (If known) |
Exceeds 55% Domestic Content (yes/no) |
|
|
|
|
|
|
|
|
|
(3) The Offeror shall list the line item numbers of domestic end products that contain a critical component or a critical item (see section 25.105 of the Federal Acquisition Regulation).
Line Item Number: ________[List as necessary]_____________
(End of provision)
Alternate V.
As prescribed in 225.1101(9) and (9)(vi), use the following provision, which uses different paragraphs (a), (b)(2), (c)(2)(i), and (c)(2)(ii) than the basic provision:
BUY AMERICAN—FREE TRADE AGREEMENTS—BALANCE OF PAYMENTS PROGRAM CERTIFICATE—ALTERNATE V (FEB 2024)
(a) Definitions. “Bahraini end product,” “commercially available off-the-shelf (COTS) item,” “component,” “critical component,” “critical item,” “domestic end product,” “Free Trade Agreement country,” “Free Trade Agreement country end product,” “foreign end product,” “Korean end product,” “Moroccan end product,” “Panamanian end product,” “Peruvian end product,” “qualifying country end product,” “South Caucasus/Central and South Asian (SC/CASA) state end product,” and “United States,” as used in this provision, have the meanings given in the 252.225-7036, Buy American—Free Trade Agreements—Balance of Payments Program—Alternate V clause of this solicitation.
(b)
Evaluation. The Government—
(1) Will evaluate offers in accordance with the policies and procedures of part 225 of the Defense Federal Acquisition Regulation Supplement; and
(2) For line items subject to the Buy American—Free Trade Agreements—Balance of Payments Program—Alternate V clause of this solicitation, will evaluate offers of qualifying country end products, SC/CASA state end products, or Free Trade Agreement end products other than Bahraini end products, Korean end products, Moroccan end products, Panamanian end products, or Peruvian end products without regard to the restrictions of the Buy American statute or the Balance of Payments Program.
(c)
Certifications and identification of country of origin.
(1) For all line items subject to the Buy American—Free Trade Agreements—Balance of Payments Program—Alternate V clause of this solicitation, the Offeror certifies that—
(i) Each end product, except the end products listed in paragraph (c)(2) of this provision, is a domestic end product;
(ii) Each domestic end product listed in paragraph (c)(3) of this provision contains a critical component or a critical item; and
(iii) Components of unknown origin are considered to have been mined, produced, or manufactured outside the United States or a qualifying country.
(2) The Offeror shall identify all end products that are not domestic end products.
(i) The Offeror certifies that the following supplies are qualifying country (except Australian) or SC/CASA state end products:
(Line Item Number) (Country of Origin)
(ii) The Offeror certifies that the following supplies are Free Trade Agreement country end products other than Bahraini end products, Korean end products, Moroccan end products, Panamanian end products, or Peruvian end products:
(Line Item Number) (Country of Origin)
(iii) The following supplies are other foreign end products, including end products manufactured in the United States that do not qualify as domestic end products. For those foreign end products that do not consist wholly or predominantly of iron or steel or a combination of both, the Offeror shall also indicate whether these foreign end products exceed 55 percent domestic content, except those that are COTS items. If the percentage of the domestic content is unknown, select “no”.
Line Item Number |
Country of Origin (If known) |
Exceeds 55% Domestic Content (yes/no) |
|
|
|
|
|
|
|
|
|
(3) The Offeror shall list the line item numbers of domestic end products that contain a critical component or a critical item (see section 25.105 of the Federal Acquisition Regulation).
Line Item Number: ___________[List as necessary]______________
(End of provision)
252.225-7036
Buy American—Free Trade Agreements--Balance of Payments Program.
Basic. As prescribed in 225.1101(10)(i) and (10)(i)(A), use the following clause:
BUY AMERICAN—FREE TRADE AGREEMENTS—BALANCE OF PAYMENTS PROGRAM—BASIC (FEB 2024)
(a)
Definitions. As used in this clause—
“Bahraini end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of
(2)
In the case of an article that consists in whole or in part of materials
from another country, has been substantially transformed in Bahrain 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.
“Commercially available off-the-shelf (COTS)
item”—
(1) Means any item of supply (including
construction material) that is—
(i) A commercial product (as defined in paragraph (1) of the definition of “commercial product” in section 2.101 of the Federal Acquisition Regulation (FAR));
(ii) Sold in substantial quantities in the
commercial marketplace; and
(iii) Offered to the Government, under a contract
or subcontract at any tier, without modification, in the same form in which it
is sold in the commercial marketplace; and
(2) Does not include bulk cargo, as defined in 46 U.S.C. 40102(4), such as agricultural products and petroleum products.
“Component” means an article, material, or
supply incorporated directly into an end product.
“Critical component” 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 FAR 25.105.
“Critical item” means domestic construction material or a domestic end product that is deemed critical to the U.S. supply chain. The list of critical items is at FAR 25.105.
“Domestic end product” means—
(1) For an end product that does not consist wholly or predominantly of iron or steel or a combination of both—
(i) An unmanufactured end product mined or produced in the United States;
or
(ii) An end product manufactured in the
(A) The cost of its qualifying country components
and its components that are mined, produced, or manufactured in the
(1) Sufficient and reasonably available
commercial quantities of a satisfactory quality are not mined, produced, or
manufactured in the
(2) It is inconsistent with the public interest to apply the
restrictions of the Buy American statute; or
(B) The end product is a COTS item; or
(2) 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 iron and steel not produced in the United States or a qualifying country constitutes less than 5 percent of the cost of all the components used in the end product (produced in the United States or a qualifying country means that all manufacturing processes of the iron or steel must take place in the United States or a qualifying country, except metallurgical processes involving refinement of steel additives). The cost of iron and steel not produced in the United States or a qualifying country includes but is not limited to the cost of iron or steel mill products (such as bar, billet, slab, wire, plate, or sheet), castings, or forgings, not produced in the United States or a qualifying country, utilized in the manufacture of the end product and a good faith estimate of the cost of all iron or steel components not produced in the United States or a qualifying country, 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 explanation of cost of components in paragraph (1)(ii)(A) of this definition.
“End product” means those articles,
materials, and supplies to be acquired under this contract for public use.
“Foreign end product” means an end product
other than a domestic end product.
“Free Trade Agreement country” means Australia, Bahrain, Chile, Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Korea (Republic of), Mexico, Morocco, Nicaragua, Panama, Peru, or Singapore.
“Free Trade Agreement country end product”
means an article that—
(1) Is wholly the growth, product, or manufacture of a Free
Trade Agreement country; or
(2) In the case of an article that consists in whole or in
part of materials from another country, has been substantially transformed in a
Free Trade Agreement 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 its supply, provided that the value of
those incidental services does not exceed the value of the product itself.
“Moroccan end product” means an article that—
(1) Is wholly the
growth, product, or manufacture of
(2) In the case of
an article that consists in whole or in part of materials from another country,
has been substantially transformed in Morocco 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.
“Panamanian end product” means an article that—
(1) Is wholly the
growth, product, or manufacture of
(2) In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Panama 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.
“Peruvian end product” means an article that—
(1) Is wholly the
growth, product, or manufacture of Peru
(2) In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Peru 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.
“Predominantly of iron or steel or a combination of both” 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.
“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
Estonia
Finland
France
Germany
Greece
Israel
Italy
Japan
Latvia
Lithuania
Luxembourg
Netherlands
Norway
Poland
Portugal
Slovenia
Spain
Sweden
Switzerland
Turkey
United Kingdom of Great Britain and Northern Ireland.
“Qualifying country component” means a component mined, produced, or manufactured in a qualifying country.
“Qualifying country end product” means—
(1) An unmanufactured end product mined or
produced in a qualifying country; or
(2) An end product manufactured in a qualifying country if—
(i) The cost of the following types of components 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:
(A) Components mined, produced, or manufactured
in a qualifying country.
(B) Components mined, produced, or manufactured
in the
(C) Components of foreign origin of a class or kind for which the
Government has determined that sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the
United States. Components of unknown origin are treated as foreign; or
(ii) The end product is a COTS item.
(b)
Unless otherwise specified, this clause applies to all items in the
Schedule.
(c)
The Contractor shall deliver under this contract only domestic end products unless, in its offer, it specified delivery of qualifying country end products, Free Trade Agreement country end products other than Bahraini end products, Moroccan end
products, Panamanian end products, or Peruvian end products, or other foreign end products in the Buy American—Free Trade Agreements—Balance of Payments Program Certificate—Basic provision of the solicitation. If the Contractor certified in its offer that it will deliver a qualifying country end product or a Free Trade Agreement country end product other than a Bahraini end product, a Moroccan end product, a Panamanian end product, or a Peruvian end product, the Contractor shall deliver a qualifying country end product, a Free Trade Agreement country end product other than a Bahraini end product, a Moroccan end product, a Panamanian end product, or a Peruvian end product, or, at the Contractor’s option, a domestic end product.
(d)
The contract price does not include duty for end products or components
for which the Contractor will claim duty-free entry.
(End of clause)
Alternate I.
As prescribed in 225.1101(10)(i) and (10)(i)(B), use the following clause, which uses a different paragraph (c) than the basic clause:
BUY AMERICAN—FREE TRADE AGREEMENTS—BALANCE OF PAYMENTS PROGRAM—ALTERNATE I (FEB 2024)
(a)
Definitions. As used in this clause—
“Bahraini end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of Bahrain; or
(2)
In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Bahrain 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.
“Commercially available off-the-shelf (COTS) item”—
(1)
Means any item of supply (including construction material) that is—
(i) A commercial product (as defined in paragraph (1) of the definition of “commercial product” in section 2.101 of the Federal Acquisition Regulation (FAR));
(ii) Sold in substantial quantities in the commercial marketplace; and
(iii) Offered to the Government, under a contract or subcontract at any tier, without modification, in the same form in which it is sold in the commercial marketplace; and
(2)
Does not include bulk cargo, as defined in 46 U.S.C. 40102(4), such as agricultural products and petroleum products.
“Component” means an article, material, or supply incorporated directly into an end product.
“Critical component” 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 FAR 25.105.
“Critical item” means domestic construction material or a domestic end product that is deemed critical to the U.S. supply chain. The list of critical items is at FAR 25.105.
“Domestic end product” means—
(1)
For an end product that does not consist wholly or predominantly of iron or steel or a combination of both—
(i)
An unmanufactured end product mined or produced in the United States; or
(ii)
An end product manufactured in the United States if—
(A) The cost of its qualifying country components and its components that are 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 Defense Federal Acquisition Regulation Supplement (DFARS) 225.101(d); or award is made before January 1, 2030, for a foreign end product that exceeds 55 percent domestic content (see DFARS 225.103(b)(ii)). The cost of components includes transportation costs to the place of incorporation into the end product and U.S. duty (whether or not a duty-free entry certificate is issued). Components of unknown origin are treated as foreign. Scrap generated, collected, and prepared for processing in the United States is considered domestic. A component is considered to have been mined, produced, or manufactured in the United States (regardless of its source in fact) if the end product in which it is incorporated is manufactured in the United States and the component is of a class or kind for which the Government has determined that—
(1) Sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States; or
(2) It is inconsistent with the public interest to apply the restrictions of the Buy American statute; or
(B) The end product is a COTS item; or
(2)
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 iron and steel not produced in the United States or a qualifying country constitutes less than 5 percent of the cost of all the components used in the end product (produced in the United States or a qualifying country means that all manufacturing processes of the iron or steel must take place in the United States or a qualifying country, except metallurgical processes involving refinement of steel additives). The cost of iron and steel not produced in the United States or a qualifying country includes but is not limited to the cost of iron or steel mill products (such as bar, billet, slab, wire, plate, or sheet), castings, or forgings, not produced in the United States or a qualifying country, utilized in the manufacture of the end product and a good faith estimate of the cost of all iron or steel components not produced in the United States or a qualifying country, 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 explanation of cost of components in paragraph (1)(ii)(A) of this definition.
“End product” means those articles, materials, and supplies to be acquired under this contract for public use.
“Foreign end product” means an end product other than a domestic end product.
“Free Trade Agreement country” means Australia, Bahrain, Chile, Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Korea (Republic of), Mexico, Morocco, Nicaragua, Panama, Peru, or Singapore.
“Free Trade Agreement country end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of a Free Trade Agreement country; or
(2)
In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in a Free Trade Agreement 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 its supply, provided that the value of those incidental services does not exceed the value of the product itself.
“Moroccan end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of Morocco; or
(2)
In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Morocco 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.
“Panamanian end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of Panama; or
(2)
In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Panama 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.
“Peruvian end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of Peru; or
(2)
In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Peru 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.
“Predominantly of iron or steel or a combination of both” 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.
“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
Estonia
Finland
France
Germany
Greece
Israel
Italy
Japan
Latvia
Lithuania
Luxembourg
Netherlands
Norway
Poland
Portugal
Slovenia
Spain
Sweden
Switzerland
Turkey
United Kingdom of Great Britain and Northern Ireland.
“Qualifying country component” means a component mined, produced, or manufactured in a qualifying country.
“Qualifying country end product” means—
(1)
An unmanufactured end product mined or produced in a qualifying country; or
(2)
An end product manufactured in a qualifying country if—
(i) The cost of the following types of components 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:
(A) Components mined, produced, or manufactured in a qualifying country.
(B) Components mined, produced, or manufactured in the United States.
(C) Components of foreign origin of a class or kind for which the Government has determined that sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States. Components of unknown origin are treated as foreign; or
(ii) The end product is a COTS item.
“Steel” means an alloy that includes at least 50 percent iron, between 0.02 and 2 percent carbon, and may include other elements.
“United States” means the 50 States, the District of Columbia, and outlying areas.
(b) Unless otherwise specified, this clause applies to all items in the Schedule.
(c) The Contractor shall deliver under this contract only domestic end products unless, in its offer, it specified delivery of qualifying country or other foreign end products in the Buy American—Free Trade Agreements—Balance of Payments Program Certificate—Alternate I provision of the solicitation. If the Contractor certified in its offer that it will deliver a qualifying country end product, the Contractor shall deliver a qualifying country end product or, at the Contractor’s option, a domestic end product.
(d) The contract price does not include duty for end products or components for which the Contractor will claim duty-free entry.
(End of clause)
Alternate II. As prescribed in 225.1101(10)(i) and (10)(i)(C), use the following clause, which adds “South Caucasus/Central and South Asian (SC/CASA) state” and “South Caucasus/Central and South Asian (SC/CASA) state end product” to paragraph (a), and uses a different paragraph (c) than the basic clause:
BUY AMERICAN—FREE TRADE AGREEMENTS—BALANCE OF PAYMENTS PROGRAM—ALTERNATE II (FEB 2024)
(a)
Definitions. As used in this clause—
“Bahraini end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of Bahrain; or
(2)
In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Bahrain 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.
“Commercially available off-the-shelf (COTS) item”—
(1)
Means any item of supply (including construction material) that is—
(i) A commercial product (as defined in paragraph (1) of the definition of “commercial product” in section 2.101 of the Federal Acquisition Regulation (FAR));
(ii) Sold in substantial quantities in the commercial marketplace; and
(iii) Offer.ed to the Government, under a contract or subcontract at any tier, without modification, in the same form in which it is sold in the commercial marketplace; and
(2)
Does not include bulk cargo, as defined in 46 U.S.C. 40102(4), such as agricultural products and petroleum products.
“Component” means an article, material, or supply incorporated directly into an end product.
“Critical component” 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 FAR 25.105.
“Critical item” means domestic construction material or a domestic end product that is deemed critical to the U.S. supply chain. The list of critical items is at FAR 25.105.
“Domestic end product” means—
(1)
For an end product that does not consist wholly or predominantly of iron or steel or a combination of both—
(i)
An unmanufactured end product mined or produced in the United States; or
(ii)
An end product manufactured in the United States if—
(A) The cost of its qualifying country components and its components that are 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 Defense Federal Acquisition Regulation Supplement (DFARS) 225.101(d)); or award is made before January 1, 2030, for a foreign end product that exceeds 55 percent domestic content (see DFARS 225.103(b)(ii)). The cost of components includes transportation costs to the place of incorporation into the end product and U.S. duty (whether or not a duty-free entry certificate is issued). Components of unknown origin are treated as foreign. Scrap generated, collected, and prepared for processing in the United States is considered domestic. A component is considered to have been mined, produced, or manufactured in the United States (regardless of its source in fact) if the end product in which it is incorporated is manufactured in the United States and the component is of a class or kind for which the Government has determined that—
(1) Sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States; or
(2) It is inconsistent with the public interest to apply the restrictions of the Buy American statute; or
(B) The end product is a COTS item; or
(2)
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 iron and steel not produced in the United States or a qualifying country constitutes less than 5 percent of the cost of all the components used in the end product (produced in the United States or a qualifying country means that all manufacturing processes of the iron or steel must take place in the United States or a qualifying country, except metallurgical processes involving refinement of steel additives). The cost of iron and steel not produced in the United States or a qualifying country includes but is not limited to the cost of iron or steel mill products (such as bar, billet, slab, wire, plate, or sheet), castings, or forgings, not produced in the United States or a qualifying country, utilized in the manufacture of the end product and a good faith estimate of the cost of all iron or steel components not produced in the United States or a qualifying country, 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 explanation of cost of components in paragraph (1)(ii)(A) of this definition.
“End product” means those articles, materials, and supplies to be acquired under this contract for public use.
“Foreign end product” means an end product other than a domestic end product.
“Free Trade Agreement country” means Australia, Bahrain, Chile, Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Korea (Republic of), Mexico, Morocco, Nicaragua, Panama, Peru, or Singapore.
“Free Trade Agreement country end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of a Free Trade Agreement country; or
(2)
In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in a Free Trade Agreement 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 its supply, provided that the value of those incidental services does not exceed the value of the product itself.
“Moroccan end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of Morocco; or
(2)
In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Morocco 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.
“Panamanian end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of Panama; or
(2)
In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Panama 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.
“Peruvian end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of Peru; or
(2)
In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Peru 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.
“Predominantly of iron or steel or a combination of both” 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.
“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
Estonia
Finland
France
Germany
Greece
Israel
Italy
Japan
Latvia
Lithuania
Luxembourg
Netherlands
Norway
Poland
Portugal
Slovenia
Spain
Sweden
Switzerland
Turkey
United Kingdom of Great Britain and Northern Ireland.
“Qualifying country component” means a component mined, produced, or manufactured in a qualifying country.
“Qualifying country end product” means—
(1)
An unmanufactured end product mined or produced in a qualifying country; or
(2)
An end product manufactured in a qualifying country if—
(i) The cost of the following types of components 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:
(A) Components mined, produced, or manufactured in a qualifying country.
(B) Components mined, produced, or manufactured in the United States.
(C) Components of foreign origin of a class or kind for which the Government has determined that sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States. Components of unknown origin are treated as foreign; or
(ii) The end product is a COTS item.
“South Caucasus/Central and South Asian (SC/CASA) state” means Armenia, Azerbaijan, Georgia, Kazakhstan, Kyrgyzstan, Pakistan, Tajikistan, Turkmenistan, or Uzbekistan.
“South Caucasus/Central and South Asian (SC/CASA) state end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of an SC/CASA state; or
(2)
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.
“Steel” means an alloy that includes at least 50 percent iron, between 0.02 and 2 percent carbon, and may include other elements.
“United States” means the 50 States, the District of Columbia, and outlying areas.
(b) Unless otherwise specified, this clause applies to all items in the Schedule.
(c) The Contractor shall deliver under this contract only domestic end products unless, in its offer, it specified delivery of qualifying country end products, SC/CASA state end products, Free Trade Agreement country end products other than Bahraini end products, Moroccan end products, Panamanian end products, or Peruvian end products, or other foreign end products in the Buy American—Free Trade Agreements—Balance of Payments Program Certificate—Alternate II provision of the solicitation. If the Contractor certified in its offer that it will deliver a qualifying country end product, SC/CASA state end products, or a Free Trade Agreement country end product other than a Bahraini end product, a Moroccan end product, a Panamanian end product, or a Peruvian end product, the Contractor shall deliver a qualifying country end product, an SC/CASA state end product, a Free Trade Agreement country end product other than a Bahraini end product, a Moroccan end product, a Panamanian end product, or a Peruvian end product or, at the Contractor’s option, a domestic end product.
(d) The contract price does not include duty for end products or components for which the Contractor will claim duty-free entry.
(End of clause)
Alternate III. As prescribed in 225.1101(10)(i) and (10)(i)(D), use the following clause, which adds “South Caucasus/Central and South Asian (SC/CASA) state,” and “South Caucasus/Central and South Asian (SC/CASA) state end product” to paragraph (a) and uses a different paragraph (c) than the basic clause:
BUY AMERICAN—FREE TRADE AGREEMENTS—BALANCE OF PAYMENTS PROGRAM—ALTERNATE III (FEB 2024)
(a)
Definitions. As used in this clause—
“Bahraini end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of Bahrain; or
(2)
In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Bahrain 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.
“Commercially available off-the-shelf (COTS) item”—
(1)
Means any item of supply (including construction material) that is—
(i) A commercial product (as defined in paragraph (1) of the definition of “commercial product” in section 2.101 of the Federal Acquisition Regulation (FAR));
(ii) Sold in substantial quantities in the commercial marketplace; and
(iii) Offered to the Government, under a contract or subcontract at any tier, without modification, in the same form in which it is sold in the commercial marketplace; and
(2)
Does not include bulk cargo, as defined in 46 U.S.C. 40102(4), such as agricultural products and petroleum products.
“Component” means an article, material, or supply incorporated directly into an end product.
“Critical component” 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 FAR 25.105.
“Critical item” means domestic construction material or a domestic end product that is deemed critical to the U.S. supply chain. The list of critical items is at FAR 25.105.
“Domestic end product” means—
(1)
For an end product that does not consist wholly or predominantly of iron or steel or a combination of both—
(i)
An unmanufactured end product mined or produced in the United States; or
(ii)
An end product manufactured in the United States if—
(A) The cost of its qualifying country components and its components that are 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 Defense Federal Acquisition Regulation Supplement (DFARS) 225.101(d)); or award is made before January 1, 2030, for a foreign end product that exceeds 55 percent domestic content (see DFARS 225.103(b)(ii)). The cost of components includes transportation costs to the place of incorporation into the end product and U.S. duty (whether or not a duty-free entry certificate is issued). Components of unknown origin are treated as foreign. Scrap generated, collected, and prepared for processing in the United States is considered domestic. A component is considered to have been mined, produced, or manufactured in the United States (regardless of its source in fact) if the end product in which it is incorporated is manufactured in the United States and the component is of a class or kind for which the Government has determined that—
(1) Sufficient and reasonably available commercial quantities of a satisfactory quality are not mined, produced, or manufactured in the United States; or
(2) It is inconsistent with the public interest to apply the restrictions of the Buy American statute; or
(B) The end product is a COTS item; or
(2)
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 iron and steel not produced in the United States or a qualifying country constitutes less than 5 percent of the cost of all the components used in the end product (produced in the United States or a qualifying country means that all manufacturing processes of the iron and steel must take place in the United States or a qualifying country, except metallurgical processes involving refinement of steel additives). The cost of iron and steel not produced in the United States or a qualifying country includes but is not limited to the cost of iron or steel mill products (such as bar, billet, slab, wire, plate, or sheet), castings, or forgings, not produced in the United States or a qualifying country, utilized in the manufacture of the end product and a good faith estimate of the cost of all iron or steel components not produced in the United States or a qualifying country, 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 explanation of cost of components in paragraph (1)(ii)(A) of this definition.
“End product” means those articles, materials, and supplies to be acquired under this contract for public use.
“Foreign end product” means an end product other than a domestic end product.
“Free Trade Agreement country” means Australia, Bahrain, Chile, Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Korea (Republic of), Mexico, Morocco, Nicaragua, Panama, Peru, or Singapore.
“Free Trade Agreement country end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of a Free Trade Agreement country; or
(2)
In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in a Free Trade Agreement 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 its supply, provided that the value of those incidental services does not exceed the value of the product itself.
“Moroccan end product” means an article that—
(1)
Is wholly the growth, product, or manufacture of Morocco; or
(2)
In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Morocco 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.
“Panamanian end product” means an article that—
(1) Is wholly the growth, p