This rule modifies the FAR by slightly changing the thresholds for the application of the WTO GPA and free trade agreements. The revisions shall not add new burdens or affect the applicability of clauses and provisions to or below the simplified acquisition threshold or to commercial property, with the exception of changes in thresholds. If the total value of the dollar of the supply or work contract exceeds a certain threshold, the applicability of the Trade Agreements Act (TAA) becomes more attractive. With a few exceptions (see Figure 2, p. 6), the TAA amends the BAA for delivery contracts of $203,000 and construction contracts of more than $7.8 million to allow the use of products manufactured in more than 70 countries with which the United States enters into trade agreements. Executive Order 12260 (E.O.) requires the U.S. Trade Representative to set thresholds in U.S. dollars for the application of Title III of the Trade Agreements Act of 1979 as amended (19 U.S.C 2511 et seq.). These obligations apply to hedged government contracts valued above or above certain thresholds in US dollars.
In accordance with the provisions of the E.O. and the obligations of the U.S. Trade Agreement, the U.S. Trade Representative has set the U.S. dollar supply thresholds for the 2020 and 2021 calendar years in effect on January 1, 2020 as follows: « Publication of Proposed Regulations, » 41 U.S.C 1707, is the law applicable to the publication of the Federal Regulation Acquisition. Point (a)(1) of the Statute provides that a policy, regulation, procedure or form of procurement (including an amendment or amendment thereto) is to be published for public notice where it relates to the use of fine funds and has a significant effect beyond the Agency`s internal operational procedures, which issue the policy, the regulation, procedure or form. or has a significant impact on costs or administrative costs on contractors or suppliers. This final rule should not be published for public notice, as it only adapts the thresholds according to predefined formulas in order to adapt to changes in economic conditions and thus maintain the status quo, without having a significant impact on the government`s internal operating procedures. 3. If, over a twelve-month period, recurring or multiple premiums are expected for the same type of product or product, use the estimated total value of these allowances to determine whether the WTO Free Trade Agreement or a Free Trade Agreement applies. Do not share acquisitions with the intention of bringing the estimated value of the acquisition below the WTO GPA or free trade agreement dollar threshold. (b) The value of the acquisition is a determining factor in the applicability of trade agreements.
Most of these dollar thresholds are reviewed by the U.S. Trade Representative approximately every two years. The different thresholds are summarized as follows: the United States The Trade Representative has set the us dollar supply thresholds to implement certain commitments under the US trade agreement from 1 January 2020 for the calendar years 2020 and 2021. The quintessence in its simplest form? If the product you want to buy for the government is manufactured in a country with which the United States has a trade agreement, the TAA will allow that product to be treated as if it were manufactured domesticy as long as the corresponding contractual threshold is exceeded. Another restriction is that not all state and local governments are parties to these trade agreements, which could mean that projects for these government agencies are not covered by the TAA exceptions. . . .