(a) Restriction. In accordance with 10 U.S.C. 2534(a), do not purchase the following components of naval vessels, to the extent that they are unique to marine applications, unless manufactured in the United States or Canada:
(1) gyrocompasses,
(2) electronic navigation chart systems,
(3) steering controls,
(4) pumps,
(5) propulsion and machinery control systems, and
(6) totally enclosed lifeboats.
(b) Exceptions. This restriction does not apply to -
(1) contracts or subcontracts that do not exceed the simplified acquisition threshold, or
(2) acquisition of spare or rep[air parts needed to support components for naval vessels produced or manufactured outside the United States.
(c) Implementation. (1) 10 U.S.C. 2534(h) prohibits the use of a contract clause or certification to implement this restriction.
(2) Implementation of this restriction shall be accomplished through management and oversight techniques that achieve the objective of this restriction without imposing a significant management burden on the Government or Contractor.
(d) Waiver. In accordance with the provisions of DFARS 225.7008(b), the Under Secretary of
Defense (Acquisition, Technology, and Logistics) has executed an annual waiver of the restrictions of 10 U.S.C. 2534 for certain items manufactured in the United Kingdom, including the items listed in paragraph (a) above. This waiver applies to -
(1) Procurements under solicitations issued on or after August 4, 1998; and
(2) Subcontracts and options under contracts entered into prior to August 4, 1998, under the
conditions described in DFARS 225.7008(a)(1)(iv).
