New Buy American Rule Will Increase Domestic Content Requirements

Mukisa Williams Policy Spotlight

The amount of domestic content required for end-products and construction materials under the Buy American laws will increase following changes in federal procurement policy announced in a March 7 Federal Register notice. Currently, products must contain 55% domestic content to satisfy the Buy America provisions. For federal purchases during calendar year 2023, these products will have to contain 60% domestic content. For 2024, the requirement will increase to 65%, and then to 75% starting 2029. The Buy America requirements apply to many federally funded projects for which non-corroding composites provide extended service life with reduced maintenance, like highway bridges, water and wastewater treatment systems, and coastal and inland waterway infrastructure. Read more. 

A “fallback threshold” of 55% will be available until 2030 for use when products meeting the domestic content requirements are not available at reasonable prices. 

A subsequent rulemaking will establish a list of “critical” end products and construction materials that will qualify for higher price preferences to ensure the continued availability of these products. ACMA members should contact John Schweitzer for more information on these changes to federal procurement policy.