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Buying Transatlantic: How Government Regulations Define the U.S.-EU Public Procurement Landscape

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Buying Transatlantic:
How Government Regulations Define the
U.S.-EU Public Procurement Landscape

by Jared Angle

Abstract

This paper surveys the contemporary international public procurement landscape to identify the U.S. and European Union (EU) procurement policies that determine access by private foreign firms to their respective public purchasing opportunities. The paper finds that smaller EU countries tend to be more open to foreign procurement than large ones as a result of having smaller domestic industries from which to source government purchases. It also finds that defense, transportation, and services are the sectors most affected by national procurement policies. Furthermore, while the U.S. and EU markets are moderately open to procurement from foreign venders, they also seek mutual procurement liberalization to expand export and investment opportunities for their respective domestic firms. These findings are based on an examination of quantitative and qualitative analyses of foreign vendor participation in U.S. and EU procurement opportunities, a review of relevant U.S. and EU laws on procurement sourcing and domestic content, and a survey of notable regulations concerning cross-border procurement and their actual application. Finally, this paper analyzes existing procurement data and proposes a research plan to develop a comprehensive estimate of U.S. and European procurement openness through further quantitative analysis. Extended research and macroeconomic modeling based on current levels of procurement openness could attempt to determine the probable economic impact of expanding mutual preferential access to the U.S. and EU public procurement markets, whether through a smaller procurement-specific agreement or through a free trade agreement such as the Transatlantic Trade and Investment Partnership or a similar framework.

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France to purchase 1,000 American trucks for military patrols

The French Defense Ministry plans to purchase one thousand Ford Ranger trucks to replace its 32-year-old fleet of Peugot jeeps. The Argentine and South African-built truck, chosen over competing models from Citroen and Dacia, can hold up to five soldiers and boasts a 1,000kg cargo capacity.