The Trade Agreements Act (TAA) is a federal law that governs the procurement of goods and services by the US government. The act aims to promote fair and open competition in government contracting while ensuring that the products and services used by the government are of high quality and meet certain standards. But does the TAA apply to services?

The short answer is, it depends. While the TAA primarily applies to the procurement of goods, it can also apply to certain services. Specifically, the TAA applies to services that are considered to be “substantially transformed” in the US or a designated country.

A service is considered to be substantially transformed if it undergoes a significant change in form or character during the performance of the service. For example, if a service involves the processing or manufacturing of materials, and that processing or manufacturing takes place in the US or a designated country, the service may be considered to be substantially transformed.

Additionally, the TAA only applies to services that are specifically covered by a procurement contract. If a service is not specifically included in a contract, the TAA does not apply.

It’s important to note that not all government contracts are subject to the TAA. The act only applies to contracts that meet certain dollar thresholds and are covered by the Federal Acquisition Regulation (FAR).

Overall, while the TAA primarily applies to the procurement of goods, it can also apply to certain services. If you’re involved in government contracting and are unsure whether the TAA applies to a particular service, it’s best to consult with an experienced procurement attorney who can help you navigate the complex rules and regulations.