Buy-American Infrastructure (E.O. 13858)

Summary

Tells government agencies to push for the use of American-made iron, steel, and other products for government-funded building projects.

What problem does this solve?

The government gives money for big building projects, but that money might be used to buy materials from other countries. This order tells government agencies to encourage builders to use American-made materials to support U.S. companies and jobs.

What does this order do?

Encourages use of American-made materials

Requires federal agencies to encourage builders who receive federal money for infrastructure projects to use American-made iron, aluminum, steel, cement, and other manufactured products.

Requires agencies to report on 'Buy American' plans

Orders the head of each agency to report to the President on their plans to encourage the use of American products and find new ways to maximize their use.

Defines 'Infrastructure project' broadly

Lists many types of projects as infrastructure, including roads, bridges, ports, energy production, broadband internet, and pipelines, making the order apply to a wide range of work.

Updates a previous executive order

Changes the term 'Federal grants' to 'Federal financial assistance' in Executive Order 13788, which expands the types of funding covered by 'Buy American' rules.

Who does this affect?

U.S. manufacturing companies
Construction and infrastructure companies
Federal agencies that fund infrastructure projects

What is the real world impact?

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Supports American manufacturing

Aims to boost the U.S. economy by making sure that money spent on public projects goes to American companies that produce materials like steel, iron, and cement.

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May increase project costs

Critics might argue that forcing projects to use American-made materials could make them more expensive if foreign materials are cheaper. This could lead to fewer projects being built or higher costs for taxpayers.

When does this start?

This order took effect on January 31, 2019, and set several deadlines for federal agencies.

Agency reporting deadline

Within 120 days of the order (by May 31, 2019), agency heads had to report to the President on ways to maximize the use of American-made products.

Agency action deadline

Within 90 days of the order (by May 1, 2019), agency heads had to start encouraging recipients of federal funds to use American-made products.