252.216-7008 Economic price adjustment—wage rates or material prices controlled by a foreign government—representation.
Prescription and Applicability
DFARS Prescription, 216.203-4-70(c)
(c) Price adjustment for wage rates or material prices controlled by a foreign government.
(1)(i) The price adjustment clause at 252.216-7003, Economic Price Adjustment--Wage Rates or Material Prices Controlled by a Foreign Government, may be used in fixed-price supply and service solicitations and contracts when-- (A) The contract is to be performed wholly or in part in a foreign country; and (B) A foreign government controls wage rates or material prices and may, during contract performance, impose a mandatory change in wages or prices of material.
(ii) Verify the base wage rates and material prices prior to contract award and prior to making any adjustment in the contract price.
(2) Use the provision at 252.216-7008, Economic Price Adjustment-Wage Rates or Material Prices Controlled by a Foreign Government--Representation, in solicitations that include the clause at 252.216-7003, Economic Price Adjustment-Wage Rates or Material Prices Controlled by a Foreign Government. If the solicitation includes the provision at FAR 52.204-7, do not separately list the provision 252.216-7008 in the solicitation.
Current Text
252.216-7008 Economic price adjustment—wage rates or material prices controlled by a foreign government—representation.
As prescribed in 216.203-4-70(c)(2), use the following provision:
Economic Price Adjustment—Wage Rates or Material Prices Controlled by a Foreign Government—Representation (MAR 2012)
(a) By submission of its offer, the offeror represents that the prices set forth in this offer—
(1) Are based on the wage rate(s) or material price(s) established and controlled by the government of ________________ ( Offeror insert name of host country ), and
(2) Do not include contingency allowances to pay for possible increases in wage rates or material prices.
(End of provision)
[77 FR 19131, Mar. 30, 2012]
Active Class Deviations Affecting This Clause
Class Deviation 2026-O0045, DFARS RFO Implementation (Part 16)
- Status: Active
- Date Issued: 2026-03-16
- Change type: MODIFIED
- Action: Modified by RFO class deviation
Suggested Questions
You can ask your AI assistant:
- Should I include this provision in my solicitation?
- Does this clause apply to commercial acquisitions?
- Does this clause apply to R&D contracts under Part 35?
- Which alternate should I use for a multiple-award contract?
- Are there any active Class Deviations that modify this clause?
- What changed in the most recent amendment?