(f) a Party may limit the period within which a supplier may

initiate a bid challenge, but in no case shall the period

be less than 10 working days from the time when the basis

of the complaint became known, or reasonably should have

become known, to the supplier;

(g) each Party shall establish or designate a reviewing

authority with no substantial interest in the outcome of

procurements to receive bid challenges and make findings

and recommendations concerning them;

(h) upon receipt of a bid challenge, the reviewing authority

shall expeditiously investigate the challenge, and may be

required to limit its considerations to the challenge

itself;

(i) in investigating the challenge, the reviewing authority

may delay the awarding of the proposed contract pending

resolution of the challenge, except in cases of urgency

or where such a delay would be contrary to the public

interest;

(j) the reviewing authority shall issue a recommendation to

resolve the challenge, which may include directing the

entity to reevaluate offers, terminate or re-compete the

contract in question;

(k) entities normally shall follow the recommendations of the

reviewing authority;

(l) each Party should authorize its reviewing authority,

following the conclusion of a bid challenge, to make

additional recommendations in writing to an entity

respecting any facet of the entity's procurement process

that is identified as problematic during the

investigation of the challenge, including recommendations

for changes in the procurement procedures of the entity

to bring them into conformity with the obligations of

this Chapter;

(m) the reviewing authority shall provide its findings and

recommendations respecting bid challenges in writing and

in a timely manner, and shall make them available to the

Parties and all interested persons;

(n) each Party shall specify in writing and shall make

generally available all its bid challenge procedures; and

(o) each Party shall ensure that each of its entities

maintains complete documentation concerning each of its

procurements, including a written record of all

communications substantially affecting each procurement,

for at least three years from the date the contract was

awarded, to allow verification that the procurement

process was carried out in accordance with the

obligations of this Chapter.

2. A Party may require that a bid challenge be initiated only

after the notice of procurement has been published or, where a

notice is not published, after tender documentation has been made

available. If a Party imposes such a requirement, the 10 working

day period described in paragraph 1(f) shall begin not earlier than

the date that the notice is published or the tender documentation

is made available.

Article 1018: Exceptions

1. Notwithstanding Article 2102 (National Security), for purposes

of this Chapter nothing shall be construed to prevent a Party from

taking any action or not disclosing any information which it

considers necessary for the protection of its essential security

interests relating to the procurement of arms, ammunition or war

materials, or to procurement indispensable for national security or

for national defense purposes.

2. Provided that such measures are not applied in a manner that

would constitute a means of arbitrary or unjustifiable

discrimination between Parties where the same conditions prevail or

a disguised restriction on trade between the Parties, nothing in

this Chapter shall be construed to prevent any Party from adopting

or maintaining measures:

(a) necessary to protect public morals, order or safety;

(b) necessary to protect human, animal or plant life or

health;

(c) necessary to protect intellectual property; or

(d) relating to goods or services of handicapped persons, of

philanthropic institutions or of prison labor.

Article 1019: Provision of Information

1. Each Party shall promptly publish any law, regulation,

precedential judicial decision, administrative ruling of general

application and any procedure, including standard contract clauses,

regarding government procurement covered by this Chapter in the

appropriate publications listed in Annex 1010.1 (Publications).

2. Each Party shall:

(a) be prepared, upon request, to explain to any other Party

its government procurement procedures; and

(b) ensure that its entities, upon request from a supplier,

promptly explain their procurement practices and

procedures.

3. A Party may seek such additional information on the award of

the contract as may be necessary to determine whether the

procurement was made fairly and impartially, in particular with

respect to unsuccessful tenders and further to Article 1015(6)

(Submission, Receipt and Opening of Tenders and Awarding

Contracts). To this end, the Party of the procuring entity shall

provide information on both the characteristics and relative

advantages of the winning tender and the contract price. In cases

where release of this information would prejudice competition in

future tenders, the information shall not be released except after

consultation with and agreement of the Party which gave the

information to the requesting Party.

4. Each Party shall provide, upon request, to any other Party,

information available to that Party and its entities concerning

covered procurement of its entities and the individual contracts

awarded by its entities.

5. No Party shall disclose confidential information the

disclosure of which would prejudice the legitimate commercial

interests of a particular person or might prejudice fair

competition between suppliers, without the formal authorization of

the person that provided the information to that Party.

6. Nothing in this Chapter shall be construed as requiring any

Party to disclose confidential information the disclosure of which

would impede law enforcement or otherwise be contrary to the public

interest.

7. With a view to ensuring effective monitoring of procurement

covered by this Chapter, each Party shall collect statistics and

provide to the other Parties each year an annual report in

accordance with the following reporting requirements, unless the

Parties unanimously agree to modify such requirements:

(a) statistics on the estimated value of all contracts

awarded, both above and below the applicable threshold

values, broken down by entities;

(b) statistics on the number and total value of contracts

covered by this Chapter above the applicable threshold

values, broken down by entities, categories of goods or

services according to uniform classification systems to

be determined by the Parties, and country of origin of

the contract;

(c) statistics, broken down by entities, and by categories of

goods or services, on the number and total value of

contracts awarded under each use of the procedures

described in Article 1016 (Limited Tendering), and

country of origin of the contract; and

(d) statistics, broken down by entities, on the number and

total value of contracts awarded under derogations to the

Chapter listed in the appropriate annexes.

8. With respect to the reports described in paragraph 7 that

pertain to entities listed in Annex 1002.2 (State and Provincial

Government Entities), each Party may organize such reports by state

or province.

9. Each Party shall give favorable consideration, where

appropriate, to a request from any other Party for the exchange of

additional information on a reciprocal basis.

10. The Parties shall undertake and complete by the date of entry

into force of this Agreement further technical work to make

available the complete goods and services classification list to be

used by their entities in procuring goods and services under this

Chapter and develop concordances between each of these systems,

and, if necessary, the agreed uniform system.

Article 1020: Technical Cooperation

1. The Parties shall cooperate, on mutually agreed terms, to

increase understanding of their respective government procurement

systems, with a view to maximizing access to government procurement

opportunities for the suppliers of all Parties.

2. Each Party shall provide to the other Parties and to the

suppliers of such Parties, on a cost recovery basis, information

concerning training and orientation programs regarding its

government procurement system, and access on a non-discriminatory

basis to such programs as it conducts.

3. The training and orientation programs referred to in paragraph

2 include:

(a) training of personnel directly involved in government

procurement procedures;

(b) training of suppliers interested in pursuing government

procurement opportunities;

(c) explanation and description of specific elements of each

Party's government procurement system, such as the bid

challenge mechanism; and

(d) information about government procurement market

opportunities.

4. Each Party shall establish at least one contact point to

provide the information regarding the training and orientation

programs pertaining to its government procurement system.

Article 1021: Joint Programs for Small Business

1. The Parties shall establish, within 12 months after the date

of entry into force of this Agreement, the Committee on Small

Business comprising representatives of the Parties. The Committee

shall meet as mutually agreed, but no less than once a year, and

shall report annually to the Commission on the efforts of the

Parties to promote government procurement opportunities for their

small businesses.

2. The Committee shall work to facilitate the following

activities of the Parties:

(a) identification of available opportunities for the

training of small business personnel in their government

procurement procedures;

(b) identification of small businesses interested in becoming

trading partners of small businesses in the territory of

any other Party;

(c) development of data bases of small businesses in the

territory of each Party for use by entities of any other

Party wishing to procure from small businesses;

(d) consultations regarding the factors that each Party uses

in establishing its criteria for eligibility for small

business programs, if any; and

(e) actions to address any related matter.

Article 1022: Rectifications or Modifications

1. A Party may make modifications to its coverage under this

Chapter only in exceptional circumstances.

2. Where a Party makes modifications to its coverage under this

Chapter, the Party shall:

(a) notify the other Parties and its Section of the

Secretariat of the modification;

(b) reflect the change in its schedule of the appropriate

Annex; and

(c) propose to the other Parties appropriate compensatory

adjustments to its coverage in order to maintain a

comparable level of coverage as existed prior to the

modification.

The other Parties shall consider whether any proposed adjustment

made pursuant to subparagraph (c) is adequate to maintain a

comparable level of the mutually agreed coverage under this

Chapter. Where any Party does not agree that the proposed

adjustment is sufficient, it may have recourse to dispute

settlement procedures under Chapter Twenty (Institutional

Arrangements and Dispute Settlement Procedures).

3. Notwithstanding paragraphs 1 and 2, a Party may make

rectifications of a purely formal nature and minor amendments to

its Annexes 1002.1 through 1002.7, provided that it notifies such

rectifications to the other Parties and its Section of the

Secretariat, and any other Party does not object to such proposed

rectification within 30 days. In such cases, subparagraph 2(c)

shall not apply. If a Party does object that the proposed

rectification would result in a substantive change in the balance

of coverage under this Chapter, it may have recourse to dispute

settlement procedures under Chapter Twenty (Institutional

Arrangements and Dispute Settlement Procedures).

4. Notwithstanding any other provision of this Chapter, a Party

may undertake legitimate reorganizations of its government

procurement entities covered by this Chapter, including programs

through which the procurement of such entities is decentralized or

the corresponding government functions cease to be performed by any

government entity, whether or not subject to this Chapter. In such

cases, subparagraph 2(c) shall not apply. No Party shall undertake

such reorganizations or programs to avoid the obligations of this

Chapter. If a Party objects to the withdrawal on the grounds that

the functions continue to be performed by a government entity, that

Party may have recourse to dispute settlement procedures under

Chapter Twenty (Institutional Arrangements and Dispute Settlement

Procedures).

Article 1023: Divestiture of Entities

1. Nothing in this Chapter shall be construed to prevent a Party

from divesting an entity subject to the obligations of this

Chapter.

2. If, upon the public offering of shares of an entity listed in

Annex 1002.3 (Government Enterprises), or through other methods,

such entity is no longer subject to federal government control, the

respective Party may delete the entity from Annex 1002.3

(Government Enterprises), and withdraw the entity from the

obligations of the Chapter, upon notification to the other Parties.

3. If a Party objects to the withdrawal on the grounds that the

entity remains subject to federal government control, that Party

may have recourse to dispute settlement procedures under Chapter

Twenty (Institutional Arrangements and Dispute Settlement Procedures).

Article 1024: Further Negotiations

1. The Parties shall commence further negotiations no later than

December 31, 1998, with a view towards the substantial

liberalization of their respective procurement markets. The Parties

recognize that such liberalization would ensure more competitive

opportunities for all suppliers of the Parties in their respective

procurement markets.

2. The Parties will review all features of government procurement

practices for the purposes of:

(a) assessing the workings of the procurement system;

(b) seeking to expand the coverage of this Chapter;

(c) including within the obligations of this Chapter

(i) government enterprises, and

(ii) legislated and administrative exceptions; and

(d) reviewing thresholds.

3. Prior to the review specified in paragraph 2, the Parties will

endeavor to consult with their state and provincial governments

with a view to obtaining commitments, on a voluntary and reciprocal

basis, to include within the obligations of this Chapter

procurement by state and provincial government entities and

enterprises.

4. If the negotiations pursuant to Article 96B of the GATT

Agreement on Government Procurement (the Code) are completed prior

to the new review specified in paragraph 2, the Parties shall:

(a) immediately begin consultations with their state and

provincial governments with a view to obtaining

commitments, on a voluntary and reciprocal basis, to

include within the obligations of this Chapter

procurement by state and provincial government entities

and enterprises; and

(b) increase the obligations and coverage of this Chapter to

a level at least commensurate with that of the Code.

5. The Parties shall undertake further negotiations no later than

December 31, 1998, on the subject of electronic transmission of

tender information with a view to exploring the feasibility of

amending this Chapter to permit electronic transmission as an

additional or alternate means of publication.

Article 1025: Definitions

For purposes of this Chapter:

construction services contract means a contract which has as its

objective the realization by whatever means of civil or building

works, as specified in the Appendix of Annex 1002.5 (Construction

Services);

entity means an entity listed in Annexes 1002.1 (Federal Government

Entities), Annex 1002.2 (State and Provincial Government Entities)

or Annex 1002.3 (Government Enterprises) to this Chapter;

offsets means conditions imposed or considered by an entity prior

to or in the course of its procurement process that encourage local

development or improve its Party's balance of payments accounts,

and can involve requirements of local content, licensing of

technology, investment, counter-trade or similar requirements.

services includes construction services contracts, unless otherwise

specified;

supplier means a person that has provided or could provide goods or

services in response to an entity's call for tender; and

tendering procedures means:

(a) open tendering procedures, being those procedures under

which all interested suppliers may submit a tender;

(b) selective tendering procedures, being those procedures

under which, consistent with Article 1011 (3) (Selective

Tendering Procedures), those suppliers invited to do so

by an entity may submit a tender; and

(c) limited tendering procedures, being those procedures

where an entity contacts suppliers individually, only in

the circumstances and under the conditions specified in

Article 1016 (Limited Tendering).

ANNEX 1002.1

Federal Government Entities

Schedule of Canada

1. Department of Agriculture

2. Department of Communications

3. Department of Consumer and Corporate Affairs

4. Department of Employment and Immigration

5. Immigration and Refugee Board

6. Canada Employment and Immigration Commission

7. Department of Energy, Mines and Resources

8. Atomic Energy Control Board

9. National Energy Board

10. Department of the Environment

11. Department of External Affairs

12. Canadian International Development Agency (on its own account)

13. Department of Finance

14. Office of the Superintendent of Financial Institutions

15. Canadian International Trade Tribunal

16. Municipal Development and Loan Board

17. Department of Fisheries and Oceans

18. Department of Forestry

19. Department of Indian Affairs and Northern Development

20. Department of Industry, Science and Technology

21. Science Council of Canada

22. National Research Council of Canada

23. Natural Sciences and Engineering Research Council of Canada

24. Department of Justice

25. Canadian Human Rights Commission

26. Statute Revision Commission

27. Supreme Court of Canada

28. Department of Labour

29. Canada Labour Relations Board

30. Department of National Health and Welfare

31. Medical Research Council

32. Department of National Revenue

33. Department of Public Works

34. Department of Secretary of State of Canada

35. Social Sciences and Humanities Research Council

36. Office of the Co-ordinator, Status of Women

37. Public Service Commission

38. Department of the Solicitor General

39. Correctional Service of Canada

40. National Parole Board

41. Department of Supply and Services (on its own account)

42. Canadian General Standards Board

43. Department of Transport (Pursuant to Article 1018 the national

security considerations applicable to the Department of

National Defence are equally applicable to the Canadian Coast

Guard.)

44. Secretariat and the Office of the Controller General

45. Department of Veterans Affairs

46. Veterans Land Administration

47. Department of Western Economic Diversification

48. Atlantic Canada Opportunities Agency

49. Auditor General of Canada

50. Federal Office of Regional Development (Quebec)

51. Canadian Centre for Management Development

52. Canadian Radio-television and Telecommunications Commission

53. Canadian Sentencing Commission

54. Civil Aviation Tribunal

55. Commission of Inquiry into the Air Ontario Crash at Dryden,

Ontario

56. Commission of Inquiry into the Use of Drugs and Banned

Practices Intended to Increase Athletic Performance

57. Commissioner for Federal Judicial Affairs

58. Competition Tribunal Registry

59. Copyright Board

60. Emergency Preparedness Canada

61. Federal Court of Canada

62. Grain Transportation Agency

63. Hazardous Materials Information Review Commission

64. Information and Privacy Commissioners

65. Investment Canada

66. Multiculturalism and Citizenship

67. The National Archives of Canada

68. National Farm Products Marketing Council

69. The National Library

70. National Transportation Agency

71. Northern Pipeline Agency

72. Patented Medicine Prices Review Board

73. Petroleum Monitoring Agency

74. Privy Council Office

75. Canadian Intergovernmental Conference Secretariat

76. Commissioner of Official Languages

77. Economic Council of Canada

78. Public Service Staff Relations Office

79. Office of the Secretary to the Governor General

80. Office of the Chief Electoral Officer

81. Federal Provincial Relations Office

82. Procurement Review Board

83. Royal Commission on Electoral Reform and Party Financing

84. Royal Commission on National Passenger Transportation

85. Royal Commission on New Reproductive Technologies

86. Royal Commission on the Future of the Toronto Waterfront

87. Statistics Canada

88. Tax Court of Canada, Registry of the

89. Agricultural Stabilization Board

90. Canadian Aviation Safety Board

91. Canadian Centre for Occupational Health and Safety

92. Canadian Transportation Accident Investigation and Safety

Board

93. Director of Soldier Settlement

94. Director, The Veterans' Land Act

95. Fisheries Prices Support Board

96. National Battlefields Commission

97. Royal Canadian Mounted Police

98. Royal Canadian Mounted Police External Review Committee

99. Royal Canadian Mounted Police Public Complaints Commission

100. Department of National Defence

The following goods purchased by the Department of National

Defence and the Royal Canadian Mounted Police are included in

the coverage of this Chapter, subject to the provisions of

Article 1018(1) (Exceptions).

(Numbers refer to the Federal Supply Classification code)

22. Railway equipment

23. Motor vehicles, trailers and cycles (except buses in

2310, military trucks and trailers in 2320 and 2330 and

tracked combat, assault and tactical vehicles in 2350)

24. Tractors

25. Vehicular equipment components

26. Tires and tubes

29. Engine accessories

30. Mechanical power transmission equipment

32. Woodworking machinery and equipment

34. Metal working equipment

35. Service and trade equipment

36. Special industry machinery

37. Agricultural machinery and equipment

38. Construction, mining, excavating and highway maintenance

equipment

39. Materials handling equipment

40. Rope, cable, chain and fittings

41. Refrigeration and air conditioning equipment

42. Fire fighting, rescue and safety equipment (except 4220

Marine Life-saving and diving equipment, 4230

Decontaminating and impregnating equipment)

43. Pumps and compressors

44. Furnace, steam plant, drying equipment and nuclear

reactors

45. Plumbing, heating and sanitation equipment

46. Water purification and sewage treatment equipment

47. Pipe, tubing, hose and fittings

48. Valves

49. Maintenance and repair shop equipment

52. Measuring tools

53. Hardware and abrasives

54. Prefabricated structures and scaffolding

55. Lumber, millwork, plywood and veneer

56. Construction and building materials

61. Electric wire and power and distribution equipment

62. Lighting fixtures and lamps

63. Alarm and signal systems

65. Medical, dental and veterinary equipment and supplies

66. Instruments and laboratory equipment (except 6615:

Automatic pilot mechanisms and airborne Gyro components

6665: Hazard-detecting instruments and apparatus)

67. Photographic equipment

68. Chemicals and chemical products

69. Training aids and devices

70. General purpose automatic data processing equipment,

software, supplies and support equipment (except 7010

ADPE configurations)

71. Furniture

72. Household and commercial furnishings and appliances

73. Food preparation and serving equipment

74. Office machines, text processing system and visible

record equipment

75. Office supplies and devices

76. Books, maps and other publications (except 7650 drawings

and specifications)

77. Musical instruments, phonographs and home-type radios

78. Recreational and athletic equipment

79. Cleaning equipment and supplies

80. Brushes, paints, sealers and adhesives

81. Containers, packaging and packing supplies

85. Toiletries

87. Agricultural supplies

88. Live animals

91. Fuels, lubricants, oils and waxes

93. Non-metallic fabricated materials

94. Non-metallic crude materials

96. Ores, minerals and their primary products

99. Miscellaneous

Notes:

1. Notwithstanding anything in this Annex, this Chapter does not

apply to procurements in respect of:

(a) the Departments of Transport Canada, Communications

Canada and Fisheries and Oceans respecting FSCs 70

(automatic data processing equipment, software supplies

and support equipment), 74 (office machines, text

processing systems and visible record equipment) and 36

(special industry machinery); and

(b) agricultural products made in furtherance of agricultural

support programs or human feeding programs.

2. The General Notes for Canada as set out in Annex 1002.7 apply

to this Annex.

=============================================================================

ANNEX 1002.1

Schedule of Mexico

1. Secretaría de Gobernación

- Centro Nacional de Estudios Municipales

- Comisión Calificadora de Publicaciones y Revistas

Ilustradas

- Consejo Nacional de Población

- Archivo General de la Nación

- Instituto Nacional de Estudios Históricos de la

Revolución Mexicana

- Patronato de Asistencia para la Reincorporación Social

- Centro Nacional de Prevención de Desastres

- Consejo Nacional de Radio y Televisión

- Comisión Mexicana de Ayuda a Refugiados

2. Secretaría de Relaciones Exteriores

- Sección Mexicana de la Comisión Intercional de Límites y

Aguas México-EEUU

- Sección Mexicana de la Comisión Internacional de Límites

y Aguas México-Guatemala

3. Secretaría de Hacienda y Crédito Público

- Comisión Nacional Bancaria

- Comisión Nacional de Valores

- Comisión Nacional de Seguros y Fianzas

- Instituto Nacional de Estadistica , Geografía e

Inform tica

4. Secretaría de Agricultura y Recursos Hidraulicos

- Instituto Mexicano de Tecnología del Agua

- Instituto Nacional de Investigaciones Forestales y

Agropecuarias

- Apoyos a Servicios a la Comercialización Agropecuaria,

Aserca

5. Secretaría de Comunicaciones y Transportes (including the

Instituto Mexicano de Comunicaciones and the Instituto

Mexicano de Transporte)

- Comisión Nacional Coordinadora de Puertos

6. Secretaría de Comercio y Fomento Industrial

7. Secretaría de Educación Pública

- Instituto Nacional de Antropología e Historia

- Instituto Nacional de Bellas Artes y Literatura

- Radio Educación

- Centro de Ingeniería y Desarrollo Industrial

- Consejo Nacional para la Cultura y las Artes

- Comisión Nacional del Deporte

8. Secretaría de Salud

- Administración del Patrimonio de la Beneficencia Pública

- Centro Nacional de la Transfusión Sanguinea

- Gerencia General de Farmacias

- Gerencia General de Biológicos y Reactivos

- Consejo Interno del Centro de Obras y Equipamiento en

Salud

- Instituto de la Comunicación Humana Dr. Andrés Bustamante

Gurría

- Instituto Nacional de Medicina de la Rehabilitación

- Instituto Nacional de Ortopedia

- Consejo Nacional para la Prevención y Control del

Síndrome de la Inmunodeficiencia Adquirida, Conasida

9. Secretaría del Trabajo y Previsión Social

- Procuraduría Federal de la Defensa del Trabajo

- Unidad Coordinadora del Empleo, Capacitación y

Adiestramiento

10. Secretaría de la Reforma Agraria

- Instituto de Capacitación Agraria

11. Secretaría de Pesca

- Instituto Nacional de la Pesca

12. Procuraduría General de la República

13. Secretaría de Energia Minas e Industria Paraestatal

- Comisión Nacional de Seguridad Nuclear y Salvaguardias

- Centro de Promoción y Evaluación de Proyectos

- Centro Nacional de Ahorro Energético

14. Secretaría de Desarrollo Social

15. Secretaría de Turismo

16. Secretaría de la Contraloría General de La Federación

17. Comisión Nacional de Zonas Aridas

18. Comisión Nacional de Libros de Texto Gratuito

19. Comisión Nacional de Derechos Humanos

20. Consejo Nacional de Fomento Educativo

21. Secretaría de la Defensa Nacional

22. Secretaría de Marina

The following products purchased by the Secretaría de la

Defensa Nacional and the Secretaría de Marina are included in

the coverage of this Chapter, subject to the application of

paragraph 1 in Article 1018(1) (Exceptions).

(Numbers refer to the Federal Supply Classification Code, FSC)

22. Railway equipment

23. Motor vehicles, trailers and cycles (except buses in

2310, military trucks and trailers in 2320 and 2330 and

tracked combat, assault and tactical vehicles in 2350)

24. Tractors

25. Vehicular equipment components

26. Tires and tubes

29. Engine accessories

30. Mechanical power transmission equipment

32. Woodworking machinery and equipment

34. Metal working machinery

35. Service and trade equipment

36. Special industry machinery

37. Agricultural machinery and equipment

38. Construction, mining, excavating and highway maintenance

equipment

39. Materials handling equipment

40. Rope, cable, chain and fittings

41. Refrigeration and air conditioning equipment

42. Fire fighting, rescue and safety equipment

43. Pumps and compressors

44. Furnace, steam plant, drying equipment and nuclear

reactors

45. Plumbing, heating and sanitation equipment

46. Water purification and sewage treatment equipment

47. Pipe, tubing, hose and fittings

48. Valves

49. Maintenance and repair shop equipment

52. Measuring tools

53. Hardware and abrasives

54. Prefabricated structures and scaffolding

55. Lumber, millwork, plywood and veneer

56. Construction and building materials

61. Electric wire and power and distribution equipment

62. Lighting fixtures and lamps

63. Alarm and signal systems

65. Medical, Dental, and Veterinary Equipment and Supplies

66. Instruments and laboratory equipment

67. Photographic equipment

68. Chemicals and chemical products

69. Training aids and devices

70. General purpose ADPE, software, supplies and support

equipment

71. Furniture

72. Household and commercial furnishings and appliances

73. Food preparation and serving equipment

74. Office machines, text processing system and visible

record equipment

75. Office supplies and devices

76. Books, maps and other publications (except 7650: Drawings

and specifications)

77. Musical instruments, phonographs and home-type radios

78. Recreational and athletic equipment

79. Cleaning equipment and supplies

80. Brushes, paints, sealers and adhesives

81. Containers, packaging and packing supplies

85. Toiletries

87. Agricultural supplies

88. Live animals

93. Non-metallic fabricated materials

94. Non-metallic crude materials

96. Ores, minerals and their primary products (except 9620:

minerals, natural and synthetic)

99. Miscellaneous

Notes:

1. National security exceptions include procurements made in

support of safeguarding nuclear materials or technology.

2. The General Notes for Mexico as set out in Annex 1002.7 apply

to this Annex.

=============================================================================

ANNEX 1002.1

Schedule of the United States

1. Department of Agriculture (This Chapter does not apply to

procurement of agricultural products made in furtherance of

agricultural support programs or human feeding programs.)

Federal buy national requirements imposed as conditions of

funding by the Rural Electrification Administration will not

apply to products and services of Mexico and Canada.

2. Department of Commerce

3. Department of Education

4. Department of Health and Human Services

5. Department of Housing and Urban Development

6. Department of the Interior, including the Bureau of

Reclamation (For suppliers of goods and services of Canada,

the obligations of this Chapter will apply to procurements by

the Bureau of Reclamation of the Department of Interior only

at such time as the obligations of this Chapter take effect

for procurements by Canadian Provincial Hydro utilities.)

7. Department of Justice

8. Department of Labor

9. Department of State

10. United States Agency for International Development

11. Department of the Treasury

12. Department of Transportation (Pursuant to Article 1018, the

national security considerations applicable to the Department

of Defense are equally applicable to the Coast Guard, a

military unit of the United States.)

13. Department of Energy (This Chapter does not apply, pursuant to

Article 1018, to national security procurements made in

support of safeguarding nuclear materials or technology and

entered into under the authority of the Atomic Energy Act; and

to oil purchases related to the Strategic Petroleum Reserve.)

14. General Services Administration (except Federal Supply Groups

51 and 52 and Federal Supply Class 7340)

15. National Aeronautics and Space Administration

16. The Department of Veterans Affairs

17. Environmental Protection Agency

18. United States Information Agency

19. National Science Foundation

20. Panama Canal Commission

21. Executive Office of the President

22. Farm Credit Administration

23. National Credit Union Administration

24. Merit Systems Protection Board

25. ACTION

26. United States Arms Control and Disarmament Agency

27. The Office of Thrift Supervision

28. The Federal Housing Finance Board

29. National Labor Relations Board

30. National Mediation Board

31. Railroad Retirement Board

32. American Battle Monuments Commission

33. Federal Communications Commission

34. Federal Trade Commission

35. Inter-State Commerce Commission

36. Securities and Exchange Commission

37. Office of Personnel Management

38. United States International Trade Commission

39. Export-Import Bank of the United States

40. Federal Mediation and Conciliation Service

41. Selective Service System

42. Smithsonian Institution

43. Federal Deposit Insurance Corporation

44. Consumer Product Safety Commission

45. Equal Employment Opportunity Commission

46. Federal Maritime Commission

47. National Transportation Safety Board

48. Nuclear Regulatory Commission

49. Overseas Private Investment Corporation

50. Administrative Conference of the United States

51. Board for International Broadcasting

52. Commission on Civil Rights

53. Commodity Futures Trading Commission

54. The Peace Corps

55. National Archives and Records Administration

56. Department of Defense, including the Army Corps of Engineers

This Chapter will not apply to the following purchases of the

DOD:

(a) Federal Supply Classification (FSC) 83 - all elements of

this classification other than pins, needles, sewing

kits, flagstaffs, flagpoles, and flagstaff trucks;

(b) FSC 84 - all elements other than sub-class 8460 (luggage);

(c) FSC 89 - all elements other than sub-class 8975 (tobacco

products);

(d) FSC 2310 - (buses only);

(e) speciality metals, defined as steels melted in steel

manufacturing facilities located in the United States or

its possessions, where the maximum alloy content exceeds

one or more of the following limits, must be used in

products purchased by DOD: (1) manganese, 1.65 per cent;

silicon, 0.60 per cent; or copper, 0.06 per cent; or

which contains more than 0.25 per cent of any of the

following elements: aluminium, chromium, cobalt,

columbium, olybdenum, nickel, titanium, tungsten, or

vanadium; (2) metal alloys consisting of nickel, iron-

nickel and cobalt base alloys containing a total of other

alloying metals (except iron) in excess of 10 per cent;

(3) titanium and titanium alloys; or (4) zirconium base

alloys;

(f) FSC 19 and 20 - that part of these classifications

defined as naval vessels or major components of the hull

or superstructure thereof;

(g) FSC 51; and

(h) the following FSC categories are not generally covered

due to application of Article 1018(1) (Exceptions): 10,

12, 13, 14, 15, 16, 17, 19, 20, 28, 31, 58, 59 and 95.

This Chapter will generally apply to DOD purchases of the

following FSC categories subject to United States Government

determinations under the provisions of Article 1018(1)

(Exceptions):

22. Railway Equipment

23. Motor Vehicles, Trailers, and Cycles (except buses in

2310)

24. Tractors

25. Vehicular Equipment Components

26. Tires and Tubes

29. Engine Accessories

30. Mechanical Power Transmission Equipment

32. Woodworking Machinery and Equipment

34. Metalworking Machinery

35. Service and Trade Equipment

36. Special Industry Machinery

37. Agricultural Machinery and Equipment

38. Construction, Mining, Excavating, and Highway Maintenance

Equipment

39. Materials Handling Equipment

40. Rope, Cable, Chain and Fittings

41. Refrigeration and Air Conditioning Equipment

42. Fire Fighting, Rescue and Safety Equipment

43. Pumps and Compressors

44. Furnace, Steam Plant, Drying Equipment and Nuclear

Reactors

45. Plumbing, Heating and Sanitation Equipment

46. Water Purification and Sewage Treatment Equipment

47. Pipe, Tubing, Hose and Fittings

48. Valves

49. Maintenance and Repair Shop Equipment

52. Measuring Tools

53. Hardware and Abrasives

54. Prefabricated Structures and Scaffolding

55. Lumber, Millwork, Plywood and Veneer

56. Construction and Building Materials

61. Electric Wire, and Power and Distribution Equipment

62. Lighting Fixtures and Lamps

63. Alarm and Signal Systems

65. Medical, Dental, and Veterinary Equipment and Supplies

66. Instruments and Laboratory Equipment

67. Photographic Equipment

68. Chemicals and Chemical Products

69. Training Aids and Devices

70. General Purpose ADPE, Software, Supplies and Support

Equipment

71. Furniture

72. Household and Commercial Furnishings and Appliances

73. Food Preparation and Serving Equipment

74. Office machines, text processing system and visible

record equipment

75. Office Supplies and Devices

76. Books, Maps and Other Publications

77. Musical Instruments, Phonographs, and Home Type Radios

78. Recreational and Athletic Equipment

79. Cleaning Equipment and Supplies

80. Brushes, Paints, Sealers and Adhesives

81. Containers, Packaging and Packing Supplies

85. Toiletries

87. Agricultural Supplies

88. Live Animals

91. Fuels, Lubricants, Oils and Waxes

93. Non-metallic Fabricated Materials

94. Non-metallic Crude Materials

96. Ores, Minerals and their Primary Products

99. Miscellaneous

Note:

The General Notes for the United States as set out in Annex 1002.7

apply to this Annex.

=============================================================================

ANNEX 1002.2

State and Provincial Government Entities

Coverage under this Annex will be addressed following

consultations with state and provincial governments under the terms

and conditions set out in Article 1024 (Further Negotiations).

Note:

The General Notes as set out in Annex 1002.7 apply to this Annex.

=============================================================================

ANNEX 1002.3

Government Enterprises

Schedule of Canada

1. Canada Post Corporation

2. National Capital Commission

3. St. Lawrence Seaway Authority

4. Royal Canadian Mint

5. Canadian National Railways

6. Via Rail

7. Canadian Museum of Civilization

8. Canadian Museum of Nature

9. National Gallery of Canada

10. National Museum of Science and Technology

11. Defence Construction (1951) Ltd.

Notes:

1. With respect to procurements by Canadian National Railways,

St. Lawrence Seaway Authority and Via Rail, coverage is subject to

Article 1019(5) (Provision of Information), respecting the

protection of the commercial confidentiality of information

provided.

2. The General Notes for Canada as set out in Annex 1002.7 apply

to this Annex.