Trade Agreements Act Que Es

Trade Agreements Act: A Brief Overview

The Trade Agreements Act (TAA) is a federal law that aims to promote fair and open international trade. It was enacted in 1979 to govern the procurement of goods and services by the US government.

The TAA requires that all products and services purchased by the government must be made in the United States or designated countries that have entered into free trade agreements with the US. These designated countries include Canada, Mexico, Australia, New Zealand, and a few others.

The purpose of the TAA is to ensure that US government procurement practices support fair and open international trade, while also promoting economic growth and job creation. The TAA is intended to create a level playing field for US businesses by prohibiting the government from purchasing foreign products that are not made in designated countries.

It is important to note that the TAA does not apply to all federal procurement activities. It only applies to procurements that exceed certain thresholds, which vary depending on the type of product or service being purchased.

There are some exceptions to the TAA. For example, the law does not apply to procurements related to national security or those that are exempted by other trade agreements. Additionally, some agencies may be granted waivers from the TAA for certain procurements if they can demonstrate that compliance would be impractical or inconsistent with the public interest.

In summary, the Trade Agreements Act is an important federal law that aims to promote fair and open international trade. It requires that US government procurement practices support US businesses and designated countries that have entered into free trade agreements with the US. While there are exceptions and waivers to the TAA, compliance is generally required for most federal procurement activities that exceed certain thresholds.