What is TAA compliant?
If you have international business with the U.S. Government and want a GSA schedule or a U.S. government contract, you may often encounter the term “TAA Compliant Country.” So, what is TAA?
TAA stands for United States Trade Agreements Act, a federal law enacted in 1979 to promote fair trade and protect the environment in which U.S. businesses compete in the global marketplace.
TAA-designated countries are countries with which the U.S. maintains a trade agreement and which the U.S. considers to be a reliable or acceptable source for procurement.” All TAA-designated countries and the products or services from these countries are TAA-compliant.
What does TAA compliance mean?
The TAA allows the GPMO to limit its procurement of goods and services to products manufactured or wholly transformed in the U.S. or TAA-compliant countries.
Companies wishing to win the U.S. government’s business must ensure their products and services are TAA compliant. This is a prerequisite for getting government orders, and it’s even more important for those working for government agencies. Failure to comply can result in fines, canceled bids, and even exclusion from future contracts.
But one thing to remember: TAA only applies to U.S. government procurement, not private companies.
TAA Compliant Countries List
Below is a list of designated TAA-compliant countries, including Taiwan(a part of China) and many others.
Afghanistan | Democratic Republic of the Congo | Latvia | Saint Kitts and Nevis |
Angola | Denmark | Lesotho | Saint Lucia |
Antigua and Barbuda | Djibouti | Liberia | Saint Vincent and the Grenadines |
Armenia | Dominica | Liechtenstein | Samoa |
Aruba | Dominican Republic | Lithuania | Sao Tome and Principe |
Australia | El Salvador | Luxembourg | Senegal |
Austria | Equatorial Guinea | Madagascar | Sierra Leone |
Bahamas, or The Bahamas | Eritrea | Malawi | Singapore |
Bahrain | Estonia | Mali | Sint Eustatius |
Bangladesh | Ethiopia | Malta | Sint Maarten |
Barbados | Finland | Mauritania | Slovakia |
Belgium | France | Mexico | Slovenia |
Belize | Gambia, or The Gambia | Moldova | Solomon Islands |
Benin | Germany | Montenegro | Somalia |
Bhutan | Greece | Montserrat | South Korea, or Republic of Korea |
Bonaire | Grenada | Morocco | South Sudan |
British Virgin Islands | Guatemala | Mozambique | Spain |
Bulgaria | Guinea | Nepal | Sweden |
Burkina Faso | Guinea-Bissau | Netherlands | Switzerland |
Burundi | Guyana | New Zealand | Taiwan |
Cambodia | Haiti | Nicaragua | Tanzania |
Canada | Honduras | Niger | Timor-Leste |
Central African Republic | Hong Kong | North Macedonia | Togo |
Chad | Hungary | Norway | Trinidad and Tobago |
Chile | Iceland | Oman | Tuvalu |
Colombia | Ireland | Panama | Uganda |
Comoros | Israel | Peru | Ukraine |
Costa Rica | Italy | Poland | United Kingdom |
Croatia | Jamaica | Portugal | Vanuatu |
Curacao | Japan | Romania | Yemen |
Cyprus | Kiribati | Rwanda | Zambia |
Czechia, or Czech Republic | Laos | Saba |
Non-TAA-compliant countries list
Big non-TAA-compliant countries include China, Russia, India, Vietnam and Malaysia. More countries are as follows.
Albania | Indonesia | Paraguay |
Algeria | Iran | Philippines |
Andorra | Iraq | Qatar |
Argentina | Jordan | Republic of the Congo |
Azerbaijan | Kazakhstan | Russia |
Belarus | Kenya | San Marino |
Bolivia | Kosovo | Saudi Arabia |
Bosnia and Herzegovina | Kuwait | Serbia |
Botswana | Kyrgyzstan | Seychelles |
Brazil | Lebanon | South Africa |
Brunei | Libya | Sri Lanka |
Burma | Malaysia | Sudan |
Cabo Verde | Maldives | Suriname |
Cameroon | Marshall Islands | Syria |
China | Mauritius | Tajikistan |
Cook Islands | Micronesia | Thailand |
Cuba | Monaco | Tonga |
Côte d’Ivoire | Mongolia | Tunisia |
Ecuador | Namibia | Turkey (Türkiye) |
Egypt | Nauru | Turkmenistan |
Eswatini | Nigeria | United Arab Emirates |
Fiji | Niue | Uruguay |
Gabon | North Korea | Uzbekistan |
Georgia | Pakistan | Venezuela |
Ghana | Palau | Vietnam |
Holy See | Palestinian Territories | Zimbabwe |
India | Papua New Guinea |
FAQ
Q. Is China TAA compliant?
A. China is a non-TAA-compliant country, along with India, Indonesia, Iran, Iraq, Malaysia, Pakistan, and Russia.
Q. Does the software need to be TAA compliant?
A. Yes. If the software product is compiled in the U.S. or a designated country, it is TAA compliant.
Q. Does TAA cover services?
A. Yes – TAA compliance also applies to services but operates slightly differently than products. The country of origin of a service is where the company providing the service is legally incorporated, not the country in which the service is provided. In other words, the country of origin of a company (for TAA purposes) is determined by the place of legal incorporation.
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