Closing loopholes in federal purchasing
Currently, a patchwork of federal rules requires that a portion of government spending on things like infrastructure, vehicles and other equipment is restricted to goods that are made in the United States. But there are loopholes depending on the material, the amount of the purchase, and what qualifies as American made.
Biden’s executive order will change how domestic content is defined and measured for qualifying products as well as increase the required threshold. It will also create a senior position at the Office of Management and Budget to oversee the process by which contractors can apply for waivers from the Buy American rules, with the goal of reducing the number of waivers granted.
The administration will also create a public website that will post all waiver requests and direct agencies to proactively connect with small American manufacturers that are often left out of the process.
“it might jeopardize the very strong an integrated supply chains that exist between our two countries.”