Procurement Thresholds for Trade Agreements

The Office of the United States Trade Representative has issued a notice establishing updated U.S. dollar procurement thresholds under the Trade Agreements Act of 1979, effective January 1, 2026, for calendar years 2026 and 2027.

Under the World Trade Organization Agreement on Government Procurement, thresholds are set at $174,000 for central government procurement of goods and services and $6.683 million for construction services. Sub-central government thresholds are $474,000 for goods and services and $6.683 million for construction, while other covered entities face $535,000 for goods and services and the same construction threshold.

Comparable thresholds apply across several bilateral agreements, including the U.S.–Korea, U.S.–Morocco, U.S.–Panama, and U.S.–Peru trade agreements, with construction services uniformly set at $6.683 million and goods-and-services thresholds aligned with WTO levels.

USTR said updates for certain agreements—including USMCA and several bilateral FTAs—are delayed due to a lapse in appropriations that postponed required Bureau of Labor Statistics data. Existing thresholds for those agreements will remain in place until a subsequent Federal Register notice is issued following the data release. 

Procurement Thresholds for Implementation of the Trade Agreements Act of 1979