---
kind: "section"
citation: "48 C.F.R. § 3025.7002-3"
title: "48"
number: "3025.7002-3"
heading: "Specific application of trade agreements."
url: "https://uscodex.org/cfr/48/3025.7002-3"
---

# §3025.7002-3. Specific application of trade agreements.

- (a) For covered items entitled to non-discriminatory treatment under the World Trade Organization Agreement on Government Procurement (WTO GPA), or any Free Trade Agreement (FTA) listed in (FAR) [48 CFR subpart 25.4](/cfr/48/subpart25.4.md), this subpart is applied as follows—
  - (1) For solicitations, orders, exercising of an option and contracts issued by any component other than Transportation Security Administration (TSA), in which any covered items will be procured with a value that is both above the simplified acquisition threshold, and below the applicable trade agreement threshold in (FAR) [48 CFR 25.402](/cfr/48/25.402.md), apply (HSAR) [48 CFR 3025.7002-1](/cfr/48/3025.7002-1.md). [Section 3025.7002-2(h)](/cfr/48/3025.7002-2.md?p=h) will exclude eligible products of designated countries with FTA thresholds beneath the simplified acquisition threshold from coverage of [section 604](/cfr/48/604.md).
  - (2) For solicitations, orders, exercising of an option and contracts issued by any component other than Transportation Security Administration (TSA), in which any covered items will be procured with a value exceeding $194,000 (or the superseding threshold upon updating of (FAR) [48 CFR 25.402](/cfr/48/25.402.md)), (HSAR) [48 CFR 3025.7002-1](/cfr/48/3025.7002-1.md) does not apply if the items are eligible products per FAR [48 CFR subpart 25.4](/cfr/48/subpart25.4.md); follow (FAR) [48 CFR part 25](/cfr/48/part25.md) instead.
  - (3) For solicitations, orders, exercising of an option and contracts issued by TSA in which any covered items will be procured with a value exceeding the simplified acquisition threshold, (HSAR) [48 CFR 3025.7002](/cfr/48/3025.7002.md) applies to all covered items except those from Mexico, Canada or Chile because TSA is listed as a covered governmental entity in the North American Free Trade Agreement (NAFTA) and the U.S.-Chile Free Trade Agreement but TSA is excluded from all other trade agreements.
- (b) For covered items from a country that is not entitled to non-discriminatory treatment under the WTO GPA, or any FTA listed in (FAR) [48 CFR subpart 25.4](/cfr/48/subpart25.4.md), apply the restrictions of (HSAR) [48 CFR 3025.7002](/cfr/48/3025.7002.md) to all solicitations, orders, exercising of an option and contracts exceeding the simplified acquisition threshold in place of the Buy America Act policies at (FAR) [48 CFR subpart 25.1](/cfr/48/subpart25.1.md).

## Notes

### Authority

Authority: 5 U.S.C. 301-302, 6 U.S.C. 453b, 41 U.S.C. 1303, 41 U.S.C. 1707, 41 U.S.C. 1702, and 48 CFR subpart 1.3.

### Source

Source: 74 FR 41349, Aug. 17, 2009, unless otherwise noted.