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FTC Demands Amazon and Walmart Crack Down on False Made in USA Claims

It enforces the FTC’s strict ‘all or virtually all’ standard to safeguard buyer confidence in American-made goods.

Packages travel on a conveyor during at the Amazon's fulfillment center in Robbinsville, New Jersey, U.S., November 27, 2023. REUTERS/Mike Segar/ File Photo
Four smaller retailers also received warning letters from the Federal Trade Commission demanding they back up their ‘Made in USA’ claims.
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Overview

  • The FTC’s July 8 letters urge Amazon and Walmart to police third-party listings with unsubstantiated ‘Made in USA’ labels under federal law and company policies.
  • Warning letters sent to Oak Street Bootmakers, Stand Flag Poles, Pro Sports Pads and USA Big Mountain Paper demand proof that products meet the ‘all or virtually all’ domestic standard.
  • Walmart said it enforces a zero-tolerance policy by removing non-compliant items, while Amazon has yet to comment publicly.
  • Pro Sports Pads has already submitted documentation showing its Pro Gear Custom shoulder pads are entirely US-made.
  • This action builds on the FTC’s 2021 Made in USA Labeling Rule and follows 11 enforcement cases that yielded $15.8 million in judgments through 2024.