FAR 25.202 Checklist: Bidding Buy American Exceptions
On federal construction projects, domestic sourcing rules dictate which products can be installed on the jobsite. When estimators assemble estimates containing foreign goods, relying on assumptions can lead to rejected bids or costly post-award compliance disputes. Under Acquisition.GOV FAR 25.202, contracting officers have the authority to allow contractors to acquire foreign construction materials without regard to the statutory restrictions of the Buy American statute, but only if specific conditions are formally established. Estimators and trade contractors can use this bid-day checklist to verify whether an exception applies before finalizing pricing.
Checklist Item: Nonavailability in Commercial Quantities
Before pricing foreign construction materials on federal bids, check whether a domestic equivalent is genuinely unavailable in the commercial market. Under FAR 25.202(a)(2), foreign materials may be permitted if the head of the contracting activity determines that a specific construction material is not mined, produced, or manufactured in the United States in sufficient and reasonably available commercial quantities of a satisfactory quality.
- Cross-reference the nonavailability determinations for articles listed at FAR 25.104(a), as well as the procedures outlined in FAR 25.103(b)(1), which apply when those articles are acquired as construction materials.
- Note the domestic content threshold: a formal nonavailability determination is not required before January 1, 2030, if there is an offer for a foreign construction material that exceeds 55 percent domestic content under the evaluation procedures at FAR 25.204(b)(1)(ii) and FAR 25.204(b)(2)(ii).
- Verify that your supply chain can prove that domestic options lack sufficient commercial quantities or fail satisfactory quality standards.
Checklist Item: Unreasonable Cost of Domestic Materials
A frequent reason contractors seek relief is pricing disparity. An exception applies under FAR 25.202(a)(3) when the contracting officer concludes that the cost of domestic construction material is unreasonable in accordance with FAR 25.204. When assembling your figures alongside your bid day checklist, keep in mind that the unreasonable cost test is an objective regulatory calculation applied by the government, not an informal contractor judgment. Estimators should consult our walkthrough on Buy American construction materials under FAR 52.225-9 to review the data submissions required to support cost comparisons.
Checklist Item: Public Interest and Agency Treaties
Federal procurement policy allows exemptions when domestic purchasing conflicts with national interests. Under FAR 25.202(a)(1), the head of the agency may determine that applying Buy American restrictions to a particular construction material would be impracticable or inconsistent with the public interest.
The public interest exception specifically applies when an agency has entered into an agreement with a foreign government that provides a blanket exception to the Buy American statute. If your project involves international government agreements, confirm whether the solicitation identifies an existing blanket determination from the agency head before excluding domestic sourcing costs from your estimate.
Checklist Item: Commercial Information Technology Products
Interiors and specialty contractors often bid packages that integrate low-voltage controls, communications, or building automation equipment. Under FAR 25.202(a)(4), the restriction on purchasing foreign construction material does not apply to the acquisition of information technology that is a commercial product.
This exception applies when the procurement uses Fiscal Year 2004 or subsequent fiscal year funds, pursuant to section 535(a) of Division F, Title V, of the Consolidated Appropriations Act, 2004, and similar sections in subsequent appropriations acts. Estimators pricing commercial IT components should check the solicitation funding citations to confirm eligibility.
Checklist Item: Estimated Acquisition Value and Trade Agreements
Trade agreement thresholds can alter standard Buy American restrictions on larger federal jobs. Under FAR 25.202(c), estimators bidding construction contracts with an estimated acquisition value of $6,683,000 or more must consult subpart 25.4. When project values meet or exceed this $6,683,000 threshold, specific international trade agreements take effect and provide designated country material exceptions that differ from standard domestic preferences.
Checklist Item: Written Determinations and Contract Listings
Never rely on informal verbal agreements regarding foreign materials. Section 25.202(b) of Acquisition.GOV FAR 25.202 establishes clear documentation mandates whenever an exception is authorized:
- When a determination is made for any of the authorized reasons, the contracting officer must list the excepted materials in the contract.
- The agency must make the findings justifying the exception available for public inspection.
- If an excepted material is not explicitly listed in the contract documents, the contractor remains obligated to provide compliant domestic material.
Sources
Acquisition.GOV FAR 25.202 Exceptions
Published October 31, 2026. No affiliate links on this page. Facts come from the sources linked above; check them for updates.