Buy‑America slows housing

The Build America, Buy America law is creating bottlenecks in affordable housing projects by requiring nearly all components to be U.S.‑made, which is slowing approvals and shrinking product choices for builders (fortune.com). Developers report delays as waiver processes and limited domestic supply create longer lead times for common components (fortune.com).

The Build America, Buy America provisions were written into the Infrastructure Investment and Jobs Act on Nov. 15, 2021, and HUD has been phasing implementation for federally funded housing programs since then. (venable.com) In Maine, developers say 10 ready‑to‑build projects that would add more than 400 affordable units are stalled because compliance questions have blocked groundbreakings. (nationaltoday.com) HUD has “greenlit a handful” of waiver requests while developers report that the agency’s approval pipeline has slowed, a bottleneck advocates link to reduced HUD staffing under the current administration. (clickondetroit.com) Multiple builders told reporters the formal waiver process can take months — in some cases developers say it has stretched to roughly six months — creating carry costs and forcing postponement of orders. (nationaltoday.com) On Jan. 28, 2026, the Public Housing Authorities Directors Association joined 27 housing organizations in a formal request to HUD Secretary Scott Turner and OMB Director Russ Vought for an exemption or clearer guidance on BABA for HUD‑supported programs. (phada.org) Housing advocates point to specific product gaps that are slowing projects, citing shortages of U.S.‑made HVAC systems, ceiling fans, lighting fixtures and small hardware that developers say are commonly imported. (clickondetroit.com) HUD’s BABA guidance does include narrow general waivers — for example small grants, de‑minimis exceptions and projects under the Simplified Acquisition Threshold of $250,000 — but advocates say those categories do not address the scale of materials used in multifamily affordable housing. (hud.gov)

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