Last reviewed on May 12, 2026.

Three regimes, one contract

Country-of-origin rules in federal contracting come from three separate statutory regimes that apply in different combinations depending on the contract, the agency, and the dollar value:

A given contract may be subject to any combination. The contract clauses identify which regime applies. The compliance work is reading the clauses carefully and verifying supply chain compliance accordingly.

Buy American Act

The Buy American Act dates to 1933 and is implemented through FAR Part 25 and FAR clauses including 52.225-1 (Buy American — Supplies) and 52.225-9 (Buy American — Construction Materials). The basic structure:

Recent executive orders and FAR amendments have tightened BAA — increasing domestic content thresholds, narrowing exceptions, and adding reporting requirements. The direction of policy travel has been toward stricter BAA compliance over time.

Trade Agreements Act

The TAA implements the U.S. obligations under the WTO Government Procurement Agreement, NAFTA/USMCA, and bilateral agreements with various countries. Implemented through FAR clause 52.225-5 and related provisions. The structure:

TAA compliance is particularly consequential for IT products. Many federal IT solicitations exceed the TAA threshold; products manufactured in non-designated countries cannot be offered, even if components or final assembly happen elsewhere.

Berry Amendment

The Berry Amendment is a DoD-specific statute codified at 10 U.S.C. § 4862. It requires that DoD procure certain categories of items entirely from U.S. sources, with no foreign content. Categories covered include:

Berry Amendment compliance is binary — covered items must be 100% U.S.-source, including raw materials in many cases. Limited exceptions exist for non-availability, but they require formal determinations.

How the regimes interact

Procurement scenario Likely regime Notes
Civilian agency, below TAA threshold BAA Domestic content threshold applies; price evaluation preference for non-compliant offers
Civilian agency, above TAA threshold TAA (displaces BAA) Designated country products eligible; non-designated prohibited
DoD, covered items Berry Amendment 100% U.S.-source required
DoD, other items, below TAA threshold BAA with DFARS overlays Domestic content rules apply
DoD specialty metals DFARS specialty metals clause Steel, titanium, aluminum, and others have specific source rules

Practical compliance steps

  1. Read the solicitation clauses. Identify which BAA / TAA / Berry / specialty metals clauses are included. The clauses determine which regime applies.
  2. Verify country of origin for each item. Trace products back to manufacturer. White-label and rebadged products require special diligence — the brand is not the country of origin.
  3. Apply the substantial transformation test. For TAA, the country where the product was last substantially transformed is the country of origin. Finishing or kitting elsewhere does not change the determination.
  4. Document the analysis. Keep records of country-of-origin determinations, supplier certifications, and substantial transformation rationale. Audits and protests frequently turn on documentation.
  5. Update SAM representations. Buy American and TAA representations are in SAM.gov. Update them when business operations change.
  6. Flow down to subcontractors. Country-of-origin obligations flow to subcontractors. Get written certifications from suppliers.

How this interacts with other compliance topics

Common mistakes

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