The White House said it was reviewing a "Buy American" clause in Congress's version of President Barack Obama stimulus plan that has sparked angry claims of protectionism from U.S. allies.

The House of Representatives added a measure in its $819 billion version of the economic kick-start package banning the use of foreign steel in infrastructure projects. Moves are underway in the Senate version of the bill to expand the provision to mandate the use of other U.S. manufacturing materials.

The move has sparked a storm of protest from U.S. trading partners including Canada and in Europe, and handed the Obama administration with an early political conundrum.

"The administration is reviewing that provision. It understands all of the concerns that have been heard not only in this room," spokesman Robert Gibbs said at a White House briefing. Gibbs refused to be drawn on whether the Obama administration supported the "Buy American" provision or not, saying he would have an answer once a review had been conducted.

Signs the administration was examining the clause came after the U.S. Chamber of Commerce intensified its campaign against the populist provision, arguing it would torpedo the U.S .leadership role in global trade.

"Some have slammed the U.S. Chamber for opposing ‘Buy American’ provisions, calling our position'‘economic treason.' Try 'economic patriotism,'" said U.S. Chamber of Commerce President and CEO Thomas J. Donohue. "Such provisions would cost American jobs, trigger retaliation from our trading partners, slow economic recovery by delaying shovel-ready infrastructure projects, and cede our leadership role as a longstanding proponent of free and fair trade and global engagement."

"If we refuse to buy foreign-made goods, then our trading partners will refuse to buy from us. And since we are the world’s largest exporter, who will be hurt more?"

U.S. trading partners which have complained at the congressional provisions include Canada, the venue for Obama's first trip abroad as president on February 19. Canadian Prime Minister Stephen Harper said he was concerned about "U.S. protectionism" and warned such moves could slow the global economic recovery. It is a "serious concern to us," Harper said, and so "we're joining with all countries in the world to insist that the United States respect its WTO commitments."

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