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This document is a Contract Utilization and Initialization (CUI) page addressing competition and contracting strategy for a ceiling increase related to 5.56mm M1042 Loose and M1071 Marking Ammunition Cartridges.

The Contracting Officer published a Sources Sought Notice (W15QKN-25-X-160J) on April 14, 2025, via the System for Award Management (SAM) website in accordance with Defense Federal Acquisition Regulation Supplement (DFARS) Procedures, Guidance and Information PGI 205.101-70. Effective competition is not anticipated for this ceiling increase based on the information provided in paragraph 6. Subcontracting plans are not required for this contract modification, as the work will be performed entirely outside the United States and its outlying areas. The ammunition cartridge requirements will be satisfied through a specified contractor's performance.

The Government conducted a market survey in April 2025 to identify potential competition barriers and sources interested in verifying their design for 5.56mm marking ammunition. The market survey results did not support pursuing full and open competition. Since Government funding was not used in the Research and Development phase, private intellectual property is involved, which constrains competition options. The Government will continue exploring future competition opportunities through ongoing market surveys on beta.sam.gov and direct communication with suppliers regarding their capabilities. The industrial base is being continuously reassessed to enhance competition, with a commitment that full and open competition procedures will be employed when circumstances permit and future requirements arise.