Hillary Rodham Clinton's State Department is spending $5.4 million to buy fine crystal stemware for American embassies -- but it won't give the US economy much of a boost.

The contract was given to a tiny Washington, DC, interior designer, which in turn subcontracted the crystal work to a Swedish firm -- snubbing such US companies as the famous manufacturer in Clinton's own back yard, Steuben Crystal of upstate Corning.

The firm didn't even get a chance to bid on the contract, which will outfit embassies and ambassadors' residences with fancy crystal for ritzy functions.

Ironically, under the no-bid contract, some of the crystal is to be custom-crafted to include the seal of the United States, although Swedes will do all of the manufacturing.

Contracting rules require any American firms that subcontract work to use a domestic firm or get a waiver.

The firm that got the contract, Systems Design Inc., is a small interior-design firm in tony Georgetown. The company, which is eligible for minority small-business contracts, does not appear to have done any similar work.

After getting the contract in September, the firm subcontracted to Swedish glassmaker Orrefors/Kosta Boda USA.