Buyers generally oppose “Buy American” legislation
Economic stimulus package provision has less bite than earlier version
By Tom Stundza -- Purchasing, 2/17/2009 11:52:00 AM
A majority of buyers (51%) oppose the “Buy American” requirement in the $787 billion economic stimulus package, according to a poll on Purchasing.com, even though the final requirement will open the door for more offshore materials than earlier versions. At noon Eastern time today, 46% of the buyers who answered the online survey are in favor of the rewritten requirement and 3% have no opinion.
The key worry among businesses still opposed to the watered-down provision is that it could invite other countries to keep the American goods out they produce of their stimulus programs. A Reuters story notes that the law also requires that it be done in a manner consistent with U.S. trade pacts -- giving Canada, the European Union, Japan and a short list of other trading partners some comfort they could share in the expanded U.S. public works market created by the stimulus bill. But countries such as China, India, Brazil and Russia, which are not members of an international government procurement agreement, would be shut out.
Opponents also suggest that infrastructure construction projects will be delayed while American-only suppliers of steel and other construction materials are found. Supporters of the measure tell Bloomberg that concerns about delays are overblown, because companies are well-versed in the requirements that they use American-made steel in highway, mass transit and road building from rules that have been in place since 1982.http://www.purchasing.com/article/CA6638014.html