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FAR and DFARS › DFARS Part 225: Foreign Acquisition › Subpart 225.70

DFARS 225.7021-1 Definitions.

The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.

In plain English

This DFARS section defines two terms used in restrictions on Department of Defense contracting: 'covered contract' and 'covered entity.' It matters because it sets the scope for which DoD contracts and which entities performing work in the People's Republic of China are subject to those restrictions.

Applies to: DoD contracts and subcontracts, and entities performing work on them in the People's Republic of China

Key terms: covered contract · covered entity · commercial products · commercial services · subsidiary

Written by AI from this section's text. A guide, not legal advice: the text below rules.

The text

As used in this section—

Covered contract means any DoD contract or subcontract with a value in excess of $5 million, not including contracts for commercial products and commercial services.

Covered entity means any corporation, company, limited liability company, limited partnership, business trust, business association, or other similar entity, including any subsidiary thereof, performing work on a covered contract in the People's Republic of China, including by leasing or owning real property used in the performance of the covered contract in the People's Republic of China.

← 225.7021 Disclosure requirements for employment transparency regarding individuals who perform work in the People's Republic of China. · 225.7021-2 Restrictions. →

Rule changes for DFARS Part 225

Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.

DFARS 225.7021-1 Definitions · SpendQuery