The Buy American Requirements

The Buy American Requirements which is similarly known as The Buy American Act was passed back in 1933 by the American Congress and it was signed by the then president, President Hoover(Frank, 2000). The main points of this act is that it required the government of the United States to make a preference on the U.S. made products while making purchases. It restricts generally the purchase of foreign supplies that are not domestic end products for use in the United States

The other pieces of the federal legislation make an extension of the similar requirements to the third party purchases that make utility of the federal funds such as transit and highway programs. There are certain circumstances however, where this requirement purchase may be waived mostly by the Head of the Contracting Activity or the Contracting Officer. These are in situations where the product needed may not be available domestically in quantity or quality that is sufficient as per the requirement, if the domestic product is found to be expensive by 50% or more than a product that is identical in the foreign market. Lastly, it may be waived if the waiver is for the interest of the public(Frank, 2000).

The president as well has been given the authority to waive the Buy American Act only when it is within the terms of a reciprocal agreement or in some cases when responding to the provision of reciprocal treatment to the US producers(Luckey, 2009).

Construction materials and end products from certain countries in most cases receive nondiscriminatory treatment during evaluation by the domestic officers. In general, the value of the dollar of the acquisition makes a determination of the trade agreement that is applicable(Frank, 2000).

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