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Biden administration moves to increase Buy American requirement to 75% by 2029

Biden administration moves to increase Buy American requirement to 75% by 2029

Washington — The Biden Administration issued a proposed rule Wednesday that would raise the requirement for American-made parts in products purchased with taxpayer dollars to 75% by 2029. 

Under the proposed rule, a product would immediately have to meet a threshold of at least 60% U.S.-made components to qualify under the existing “Buy American” law, which requires federal agencies to buy American-made products whenever possible. Currently, products must have 55% American-made parts to qualify. 

That threshold would be raised to 65% by 2024 and 75% by 2029, the officials said, adding that the phased transition is intended to allow government contractors to transition their supply chain to domestic suppliers. 

Until 2029, products with 55% American-made parts would be able to qualify if no other U.S. supplier can meet the higher percentage requirements. 

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Daisie Hobson

Daisie Hobson is a Director at the Reshoring Institute and an engineer with many years of experience in manufacturing and project management.

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