TAA Compliance and What it Means for Your Federal Business

What is TAA?

TAA refers to the Trade Agreements Act of 1979, which impacts how the United States government does business with other countries–in effect, it actually implements provisions previously negotiated in the Trade Act of 1974.

What is the purpose of TAA?

Besides its most obvious purpose (implementation of the Trade Act) TAA is also intended to nurture free and open international trade, maintain a healthy balance of payments, ensure a substantial amount of US tax payers’ money goes back into the US economy thus providing the maximum benefit to US business owners, and stimulate economic development in underdeveloped countries, all while enforcing the standards that make it possible to do business with the federal government.

Which countries are TAA compliant?

Broadly, there are four types of countries on the TAA compliance list:

• Countries with a free trade agreement with the United States (this includes Canada, Mexico, and Australia)
• World Trade Organization Government Procurement Agreement (WTO GPA) participants, such as Japan
• Least Developed Countries such as Afghanistan and Bangladesh
• Countries in the Caribbean basin

On a map, here’s what it looks like:

As of 2014, there are 119 TAA compliant countries:

Why should I bother with TAA compliance?

A GSA schedule is the government’s preferred procurement vehicle, and being TAA compliant means you can focus on growing your business at home and abroad without worrying about losing that. It’s also a good way to ensure you still give back to country even as you explore new horizons!

Already TAA compliant? Get a GSA schedule!