ABSTRACT

WTO Agreement on Government Procurement (GPA) [Updated January 14, 2021]   [open pdf - 502KB]

From the Document: "During the past 50 years, the United States has played a prominent role in developing international trade rules on government procurement. Most U.S. free trade agreements include government procurement obligations. The most notable international procurement agreement to which the United States is a party is the World Trade Organization (WTO)'s Agreement on Government Procurement (GPA). The GPA has opened procurement opportunities around the world to foreign competition, worth trillions of U.S. dollars annually. It also requires parties to establish transparent and nondiscriminatory rules for covered procurement. In particular, the agreement enables U.S. businesses to bid for certain government contracts in the markets of other GPA parties. Likewise, it allows foreign businesses to bid for contracts tendered by U.S. procuring entities in areas where federal and state governments have agreed to open up their procurement markets. [...] The Trump Administration reviewed the benefits of the GPA, and according to one news report, considered withdrawal from the agreement. While some Members reportedly contend that the GPA is 'imbalanced' and support U.S. withdrawal from it, others have called for modifying U.S. commitments under the agreement and modernizing rules regarding government procurement. Others argue that participation in the GPA not only maintains U.S. companies' ability to compete for foreign government contracts, but it also gives the United States leverage to negotiate greater market access and better terms with WTO members in accession negotiations (e.g., China)."

Report Number:
CRS In Focus, IF11651
Author:
Publisher:
Date:
2021-01-14
Copyright:
Public Domain
Retrieved From:
Congressional Research Service: https://crsreports.congress.gov/
Format:
pdf
Media Type:
application/pdf
URL:
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