Collapse to view only 225.402 - 225.402 General.

225.401 - 225.401 Exceptions.

(a)(2)(A) If a department or agency considers an individual acquisition of a product to be indispensable for national security or national defense purposes and appropriate for exclusion from the provisions of FAR subpart 25.4, it may submit a request with supporting rationale to the Principal Director, Defense Pricing, Contracting, and Acquisition Policy (DPCAP), Office of the Under Secretary of Defense (Acquisition and Sustainment) (OUSD(A&S)DPCAP). Approval by OUSD(A&S)DPCAP is not required if—

(1) Purchase from foreign sources is restricted by statute (see subpart 225.70);

(2) Another exception in FAR 25.401 applies to the acquisition; or

(3) Competition from foreign sources is restricted under subpart 225.71.

(B) Public interest exceptions for certain countries when acquiring products or services in support of operations in Afghanistan are in 225.7704-1.

[75 FR 81916, Dec. 29, 2010, as amended at 88 FR 73236, Oct. 25, 2023; 89 FR 60831, July 29, 2024]

225.401-70 - 225.401-70 End products subject to trade agreements.

Acquisitions of end products in the following product service groups (PSGs) are covered by trade agreements if the value of the acquisition is at or above the applicable trade agreement threshold and no exception applies. If an end product is not in one of the listed groups, the trade agreements do not apply. The definition of Caribbean Basin country end products in FAR 25.003 excludes those end products that are not eligible for duty-free treatment under 19 U.S.C. 2703(b). Therefore certain watches, watch parts, and luggage from certain Caribbean Basin countries are not eligible products. However, 225.003 expands the definition of Caribbean Basin country end products to include petroleum and any product derived from petroleum, in accordance with Section 8094 of Pub. L. 103-139.

PSG Category/Description 22Railway equipment 23Motor vehicles, trailers, and cycles (except 2305, 2350, and buses under 2310) 24Tractors 25Vehicular equipment components 26Tires and tubes 29Engine accessories 30Mechanical power transmission equipment 32Woodworking machinery and equipment 34Metalworking machinery 35Service and trade equipment 36Special industry machinery (except 3690) 37Agricultural machinery and equipment 38Construction, mining, excavating, and highway maintenance equipment 39Materials handling equipment 40Rope, cable, chain, and fittings 41Refrigeration, air conditioning, and air circulating equipment 42Fire fighting, rescue, and safety equipment; and environmental protection equipment and materials 43Pumps and compressors 44Furnace, steam plant, and drying equipment (except 4470) 45Plumbing, heating, and waste disposal equipment 46Water purification and sewage treatment equipment 47Pipe, tubing, hose, and fittings 48Valves 49Maintenance and repair shop equipment (except 4920-4927, 4931-4935, 4960, 4970) 53Hardware and abrasives 54Prefabricated structures and scaffolding 55Lumber, millwork, plywood, and veneer 56Construction and building materials 61Electric wire, and power and distribution equipment 62Lighting fixtures and lamps 63Alarm, signal, and security detection systems 65Medical, dental, and veterinary equipment and supplies 66Instruments and laboratory equipment (except aircraft clocks under 6645)—See FAR 25.003 exclusion of certain watches and watch parts for certain Caribbean Basin countries 67Photographic equipment 68Chemicals and chemical products 69Training aids and devices 70Automatic data processing equipment (including firmware), software, supplies and support equipment 71Furniture 72Household and commercial furnishings and appliances 73Food preparation and serving equipment 74Office machines, text processing systems and visible record equipment 75Office supplies and devices 76Books, maps, and other publications 77Musical instruments, phonographs, and home-type radios 78Recreational and athletic equipment 79Cleaning equipment and supplies 80Brushes, paints, sealers, and adhesives 81Containers, packaging, and packing supplies (except 8140) 83Pins, needles, and sewing kits (only part of 8315) and flagstaffs, flagpoles, and flagstaff trucks (only part of 8345) 84Luggage (only 8460)—See FAR 25.003 for exclusion of luggage for Caribbean Basin countries 85Toiletries 87Agricultural supplies 88Live animals 89Tobacco products (only 8975) 91Fuels, lubricants, oils, and waxes 93Nonmetallic fabricated materials 94Nonmetallic crude materials 96Ores, minerals, and their primary products 99Miscellaneous
[65 FR 19852, Apr. 13, 2000, as amended at 68 FR 15619, Mar. 31, 2003; 69 FR 1927, Jan. 13, 2004; 70 FR 2363, Jan. 13, 2005; 70 FR 73154, Dec. 9, 2005; 71 FR 9270, Feb. 23, 2006; 80 FR 4805, Jan. 29, 2015]

225.401-71 - 225.401-71 Products or services in support of operations in Afghanistan.

When acquiring products or services, other than small arms, in support of operations in Afghanistan, if using a procedure specified in 225.7703-1(a)(2) or (3), the procedures of subpart 25.4 are not applicable.

[78 FR 59857, Sept. 30, 2013]

225.402 - 225.402 General.

To estimate the value of the acquisition, use the total estimated value of end products covered by trade agreements (see 225.401-70).

[70 FR 2363, Jan. 13, 2005]

225.403 - 225.403 World Trade Organization Government Procurement Agreement and Free Trade Agreements.

(c) For acquisitions of supplies covered by the World Trade Organization Government Procurement Agreement, acquire only U.S.-made, qualifying country, or designated country end products unless—

(i) The contracting officer determines that offers of U.S.-made, qualifying country, or designated country end products from responsive, responsible offerors are either—

(A) Not received; or

(B) Insufficient to fill the Government's requirements. In this case, accept all responsive, responsible offers of U.S.-made, qualifying country, and eligible products before accepting any other offers;

(ii) A national interest waiver under 19 U.S.C. 2512(b)(2) is granted on a case-by-case basis. Except as delegated in paragraphs (c)(i)(A) and (B) of this section, submit any request for a national interest waiver to the Principal Director, Defense Pricing, Contracting, and Acquisition Policy in accordance with department or agency procedures. Include supporting rationale with the request.

(A) The head of the contracting activity may approve a national interest waiver for a purchase by an overseas purchasing activity, if the waiver is supported by a written statement from the requiring activity that the products being acquired are critical for the support of U.S. forces stationed abroad.

(B) The Commander or Director, Defense Energy Support Center, may approve national interest waivers for purchases of fuel for use by U.S. forces overseas; or

(iii) The acquisition is in support of operations in Afghanistan (see 225.7704-1).

[68 FR 15619, Mar. 31, 2003, as amended at 70 FR 2363, Jan. 13, 2005; 75 FR 81916, Dec. 29, 2010; 76 FR 76320, Dec. 7, 2011; 88 FR 73236, Oct. 25, 2023; 89 FR 60831, July 29, 2024]

225.408 - 225.408 Procedures.

(a)(4) The requirements of FAR 25.408(a)(4), on submission of offers in U.S. dollars, do not apply to overseas acquisitions or to Defense Energy Support Center post, camp, or station overseas requirements.

[70 FR 73154, Dec. 9, 2005]