252.225-7045 — Balance of Payments Program—Construction Material Under Trade Agreements.

DFARS 252.225-7045 — Balance of Payments Program—Construction Material Under Trade Agreements.. This clause is part of the Defense Federal Acquisition Regulation Supplement and applies specifically to Department of Defense contracts.

252.225-7045 Balance of Payments Program—Construction Material Under Trade Agreements. Basic. As prescribed in 225.7503(b) and (b)(1), use the following clause: Balance of Payments Program—Construction Material Under Trade Agreements—Basic (FEB 2024) (a) Definitions. As used in this clause— Caribbean Basin country construction material means a construction material that— (1) Is wholly the growth, product, or manufacture of a Caribbean Basin country; or (2) In the case of a construction material that consists in whole or in part of materials from another country, has been substantially transformed in a Caribbean Basin country into a new and different construction material distinct from the materials from which it was transformed. Commercially available off-the-shelf (COTS) item — (1) Means any item of supply (including construction material) that is— (i) A commercial product (as defined in paragraph (1) of the definition of “commercial product” in section 2.101 of the Federal Acquisition Regulation (FAR)); (ii) Sold in substantial quantities in the commercial marketplace; and (iii) Offered to the Government, under a contract or subcontract at any tier, without modification, in the same form in which it is sold in the commercial marketplace; and (2) Does not include bulk cargo, as defined in section 3 of the Shipping Act of 1984 (46 U.S.C. 40102), such as agricultural products and petroleum products. Component means any article, material, or supply incorporated directly into construction material. Construction material means an article, material, or supply brought to the construction site by the Contractor or a subcontractor for incorporation into the building or work. The term also includes an item brought to the site preassembled from articles, materials, or supplies. However, emergency life safety systems, such as emergency lighting, fire alarm, and audio evacuation systems, that are discrete systems incorporated into a public building or work and that are produced

• Components of unknown origin are treated as foreign; or (B) The construction material is a COTS item; or (2) For construction material that consists wholly or predominantly of iron or steel or a combination of both, a construction material manufactured in the United States if the cost of iron and steel not produced in the United States (excluding fasteners) as estimated in good faith by the contractor, constitutes less than 5 percent of the cost of all the components used in such construction material (produced in the United States means that all manufacturing processes of the iron or steel must take place in the United States, except metallurgical processes involving refinement of steel additives).
• (c) The Contractor shall use only domestic or designated country construction material in performing this contract, except for— (1) Construction material valued at or below the simplified acquisition threshold in part 2 of the Federal Acquisition Regulation; (2) Information technology that is a commercial product; or (3) The construction material or components listed by the Government as follows: [ Contracting Officer to list applicable excepted materials or indicate “none” ] (End of clause) Alternate I.
• (c) The Contractor shall use only domestic or designated country construction material other than Bahraini or Mexican construction material in performing this contract, except for— (1) Construction material valued at or below the simplified acquisition threshold in part 2 of the Federal Acquisition Regulation; or (2) Information technology that is a commercial product; or (3) The construction material or components listed by the Government as follows: [ Contracting Officer to list applicable excepted materials or indicate “none” ].
• (c) The Contractor shall use only domestic, SC/CASA state, or designated country construction material in performing this contract, except for— (1) Construction material valued at or below the simplified acquisition threshold in part 2 of the Federal Acquisition Regulation; (2) Information technology that is a commercial product; or (3) The construction material or components listed by the Government as follows: [ Contracting Officer to list applicable excepted materials or indicate “none” ].
• (d) If the Contractor is from an SC/CASA state, the Contractor shall inform its government of its participation in this acquisition and that it generally will not have such opportunity in the future unless its government provides reciprocal procurement opportunities to U.S.
• (c) The Contractor shall use only domestic, SC/CASA state, or designated country construction material other than Bahraini or Mexican construction material in performing this contract, except for— (1) Construction material valued at or below the simplified acquisition threshold in part 2 of the Federal Acquisition Regulation; (2) Information technology that is a commercial product; or (3) The construction material or components listed by the Government as follows: [ Contracting Officer to list applicable excepted materials or indicate “none” ].
• (c) The Contractor shall use only domestic or designated country construction material in performing this contract, except for— (1) Construction material valued at or below the simplified acquisition threshold in FAR part 2; (2) Information technology that is a commercial product; or (3) The construction material or components listed by the Government as follows: [Contracting Officer to list applicable excepted materials or indicate “none”].
• (c) The Contractor shall use only domestic or designated country construction material other than Bahraini or Mexican construction material in performing this contract, except for— (1) Construction material valued at or below the simplified acquisition threshold in FAR part 2; or (2) Information technology that is a commercial product; or (3) The construction material or components listed by the Government as follows: [Contracting Officer to list applicable excepted materials or indicate “none”].
• (c) The Contractor shall use only domestic, SC/CASA state, or designated country construction material in performing this contract, except for— (1) Construction material valued at or below the simplified acquisition threshold in FAR part 2; (2) Information technology that is a commercial product; or (3) The construction material or components listed by the Government as follows: [Contracting Officer to list applicable excepted materials or indicate “none”].
• (c) The Contractor shall use only domestic, SC/CASA state, or designated country construction material other than Bahraini or Mexican construction material in performing this contract, except for— (1) Construction material valued at or below the simplified acquisition threshold in FAR part 2; (2) Information technology that is a commercial product; or (3) The construction material or components listed by the Government as follows: [Contracting Officer to list applicable excepted materials or indicate “none”].