Trade Agreement Thresholds 2019

Federal Register Notice with 2020-2021 Thresholds (84 FR 70615, Dec. 23, 2019) The United States Trade Representative (USTR) is required by Executive Order 12260 to set U.S. dollar thresholds for the WTO Public Markets Agreement and the Free Trade Agreement. U.S. obligations under these agreements apply to covered purchases above or above U.S. dollar thresholds. The thresholds are adjusted every two years. Alberta and Manitoba have also abolished exemptions for existing measures or exemptions for future measures. Although they are not applicable to contracting, they are trade-related measures. The thresholds applicable between January 1, 2020 and December 31, 2021 for contracts subject to free trade agreements in which the federal government participates are listed below. This final rule transposes the new thresholds into the FAR 25.4 subsection, trade agreements and other sections of the FAR, which contain thresholds for trade agreements (i.e. 22.1503, 25,202, 25,603, 25.1101 and 25.1102). Every two years or so, the thresholds for trade agreements for the World Trade Organization Agreement on Public Procurement (WTO) and free trade agreements (FTAs) are adapted according to pre-defined formulas under the agreements.

These thresholds will come into effect on January 1, 2020. On December 23, 2019 (84 FR 70615), the U.S. Trade Representative issued new thresholds for contracting. The U.S. Trade Representative has set the following new thresholds: this rule amends the far to slightly revise the thresholds for the application of the WTO GPA and free trade agreements. The revisions do not result in new charges or, with the exception of changes to the threshold themselves, the applicability of clauses and provisions on or below the simplified acquisition threshold or commercial positions. Global Affairs Canada is a major source of information on trade negotiations and agreements. Proposed contracting notices, also known as tender notices, must be issued for contracts subject to free trade agreements.

Crown departments, agencies and some companies are required to publish through the Government Electronic Tendering Service (GETS), provided by Utilities and Supply Canada via the “Offers” page on the Buyandsell.gc.ca website. The governments of Alberta and Manitoba announced in 2019 that they would cancel all remaining purchase exemptions under the Canada Free Trade Agreement (CFTA). This is a continuation of Alberta`s lifting of trade exemptions (as noted in Alberta, CFTA exemptions to increase competition) and the removal of Manitoba`s only supply exemption (preference for Manitoba businesses in representative purchases).