U.S Code last checked for updates: Apr 04, 2025
§ 50103.
Contract preference for domestic firms
(a)
Definitions.—
In this section—
(1)
“domestic firm” means a business entity incorporated, and conducting business, in the United States.
(2)
“foreign firm” means a business entity not described in clause (1) of this subsection.
(b)
Preference.—
Subject to subsections (c) and (d) of this section, the Administrator of the Federal Aviation Administration may make, with a domestic firm, a contract related to a grant made under section 44511, 44512, or 44513 of this title that, under competitive procedures, would be made with a foreign firm, if—
(1)
the Administrator decides, and the Secretary of Commerce and the United States Trade Representative concur, that the public interest requires making the contract with the domestic firm, considering United States international obligations and trade relations;
(2)
the difference between the bids submitted by the foreign firm and the domestic firm is not more than 6 percent;
(3)
the final product of the domestic firm will be assembled completely in the United States; and
(4)
at least 51 percent of the final product of the domestic firm will be produced in the United States.
(c)
Nonapplication.—
Subsection (b) of this section does not apply if—
(1)
compelling national security considerations require that subsection (b) of this section not apply; or
(2)
the Trade Representative decides that making the contract would violate the multilateral trade agreements (as defined in
(Pub. L. 103–272, § 1(e), July 5, 1994, 108 Stat. 1298, § 49103; renumbered § 50103, Pub. L. 104–287, § 5(88)(D), Oct. 11, 1996, 110 Stat. 3398; amended Pub. L. 106–36, title I, § 1002(i), June 25, 1999, 113 Stat. 134.)
cite as: 49 USC 50103