Maximizing Use of American-Made Goods, Products, and Materials
Directs Federal Procurement to Maximize Use of American-Made Goods
What it does
Agencies must enforce the Buy American Act and revise procurement rules to favor U.S.-made products.
Real-world impact
- Makes federal contracts more likely to require U.S.-made materials.
- Creates new price preferences that affect how bids are evaluated.
- May increase compliance steps for contractors and suppliers.
Topics
Summary
This order directs the federal government to enforce the Buy American Act and to revise procurement rules so agencies favor goods, products, and materials made in the United States.
Within 180 days, the procurement rulemaking council must consider proposals to treat iron and steel as foreign when foreign content is 5% or more, to treat other products as foreign when foreign content is 45% or more, and to apply a price preference of 20% (30% for small businesses) for foreign offers.
The Commerce Secretary and OMB Director must report recommendations, including whether to lower the 45% threshold to 25%.
Questions, answered
Ask questions about this executive order and its implications. Try:
- “What agencies are affected by this order?”
- “How does this order change existing policy?”
- “What are the practical implications of this order?”