[DoD Seal] OFFICE OF THE SECRETARY OF DEFENSE [DoD 50 YearSeal]

1000 DEFENSE PENTAGON

WASHINGTON, DC 20301­1000

December 27,1995

ACQUISITION AND

TECHNOLOGY

DP(DAR)

In reply refer to

DFARS Case: 95­D306

D. L. 95­019

MEMORANDUM FOR DIRECTORS OF DEFENSE AGENCIES

DEPUTY FOR ACQUISITION AND BUSINESS MANAGEMENT,

ASN(RD&A)/ABM

DEPUTY ASSISTANT SECRETARY OF THE AIR FORCE

(CONTRACTING), SAF/AQC

DIRECTOR, PROCUREMENT POLICY, ASA(RD&A)/SARD­PP

DEPUTY DIRECTOR (ACQUISITION), DEFENSE LOGISTICS

AGENCY

SUBJECT: Uruguay Round (1996 Agreement)

We have amended theDefense Federal Acquisition Regulation Supplement (DFARS) to

implement the DoD­unique requirements of the renegotiated General

Agreement on Tariffs and Trade (GATT) Government Procurement Agreement

(1996 Code) (Uruguay Round), which becomes effective January 1, 1996.

This agreement is implemented in statute by the Uruguay Round Agreement

Act, Pub. L. 103­465, which amends the Trade Agreements Act of

1979.

This final DFARS rule is effective January 1,

1996, and will be included in a future Defense Acquisition

Circular.

/S/

Eleanor R. Spector

Director, Defense Procurement

Attachment

cc: DSMC, Ft. Belvoir


DFARS CASE 95­D306, URUGUAY ROUND (1996 AGREEMENT)

FINAL RULE

SUBPART 225.4­TRADE AGREEMENTS

* * * * *

225.402 Policy.

(a) * * *

(c) (i) Except as provided in paragraph[s] (c)(ii) [and (iii)] of this

section, do not purchase nondesignated country end products subject to

the Trade Agreements Act unless they are NAFTA, Caribbean Basin, or

qualifying country end products (see 225.872­1).

(ii) [The prohibition in paragraph (c)(i) of this section does not

apply when the contracting officer determines that] [o]ffers of U.S.

made, qualifying country, or eligible products from responsive,

responsible offerors are either

([A]) Not received; or

([B]) Insufficient to fill the Government's requirements. In

these cases, accept all responsive, responsible offers of U.S.

made, qualifying country, and eligible products before accepting

any other offers.

[(iii) National interest waivers under section 302(b)(2) of the Trade

Agreements Act are approved on a case­by­case basis. Except as

delegated in paragraphs (c)(iii)(A) and (B) of this section, a request

for a national interest waiver shall include supporting rationale and

be submitted under department/agency procedures to the Director of

Defense Procurement.]

([A]) The head of the contracting activity may approve a national

interest waiver for a purchase by an overseas purchasing activity

of products critical to the support of U.S. forces stationed

abroad. The waiver must be supported by a written statement from

the requiring activity stating that the requirement is critical

for the support of U.S. forces stationed abroad.

([B]) The Commander, Defense Fuel Supply Center, may approve

national interest waivers for purchases of fuel for use by U.S.

forces overseas.

252.225­7007 Trade Agreements.

As prescribed in 225.408(a)(2), use the following clause:

TRADE AGREEMENTS [JAN 1996]

(a) * * *

(b) * * *

(c) * * *

(1) Offerors may not supply a nondesignated country end product

unless [­­

(i) I]t is a qualifying country end product, or a Caribbean

Basin country end product, [or a] NAFTA country end product,

[;

(ii) The Contracting Officer has determined that offers of

U.S. made end products or qualifying, designated, NAFTA, or

Caribbean Basin country end products from responsive,

responsible offerors are either not received or are

insufficient to fill the Government's requirements; or

(iii) A] a national interest waiver has been granted under

section 302 of the Trade Agreements Act of 1979 (see FAR

25.402(c)).

(2) * * *

(d) * * *

(End of clause)

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