Posted April 3Apr 3 comment_91700 Good afternoon,Curious about what Prime Contractors are doing with their Subcontractors to address the recent tariff changes? Suppliers seem to be arbitrarily bidding tariffs risk without truly showing impact.
April 10Apr 10 comment_91805 Why do you characterize it as "arbitrarily bidding tariffs risk without truly showing impact"? Last I checked, they announced a 90 day pause and that only applies to the "reciprocal tariffs" (the base global tariff of 10% and others on steel in aluminum are still in effect). If the work extends beyond 90 days, there is certainly a non-zero chance those "reciprocal" tariffs come back. If a contractor is taking those into consideration, that does not seem "arbitrary" to me...You should also consider the terms and conditions of the particular contract(s) - some may have clauses that provide for duty-free entry.Further, put yourself in a business owner's shoes - if you were trying to price work for the next year or longer, would you price risk in for the current administration's consistent position that tariffs are good/necessary (and therefore likely)?
Tuesday at 06:49 PM5 days comment_91868 @Sam79 I don't know what prime's are doing right now. But having spent my career in prime contracts and subcontracts, I would include an economic price adjustment clause in the RFP/ITQ and and also require disclosure of the amount and calculation used for any applicable tariff. I would ensure that the purchase contract with the supplier includes the economic price adjustment clause.
Wednesday at 02:31 PM4 days comment_91880 19 hours ago, Neil Roberts said:Also see 52.229-3 Federal, State, and Local Taxes.Yes, it addresses “duties” (including tariffs)
Wednesday at 02:47 PM4 days comment_91882 Also see FAR 31.205-7 ("Contingencies") especially ( c )(1)
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