ANNOUNCEMENT 11 Jun 2014

In June 2014, the government of the United States of America announced a change in the local input requirements for the participation in certain public purchases.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising
Inception date: 14 Jun 2014 | Removal date: open ended
Still in force

Public procurement localisation

President Obama signed into law on June 11, 2014, legislation imposing a Buy American requirement on iron, steel, and manufactured goods used in government-financed water projects. Originally designated as H.R.3080 and now Public Law 113-121, the bill imcludes a section (the Water Resources Development Act) with a localization requirement for projects financed by "State Water Pollution Control Revolving Funds." An identical localization requirement is added via section 5035 for "Innovative Financing Pilot Projects".

The relevant sections define the affected products as:

"In this section, the term `iron and steel products' means the following products made primarily of iron or steel: lined or unlined pipes and fittings, manhole covers and other municipal castings, hydrants, tanks, flanges, pipe clamps and restraints, valves, structural steel, reinforced precast concrete, construction materials."

The Congressional Budget Office released a report on May 15, 2014, estimates that the legislation would cost $5.4 billion over the 2015-2019 period.