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US FTC demands better policing of 'Made in USA' online sales claims
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US FTC demands better policing of 'Made in USA' online sales claims
Jul 8, 2025 1:15 PM

July 8 (Reuters) - The U.S. Federal Trade Commission on

Tuesday called on Amazon.com ( AMZN ) and Walmart ( WMT ) to

crack down on third-party sellers that make deceptive "Made in

USA" claims on the retailing giants' online marketplaces.

In letters to Amazon ( AMZN ) and Walmart ( WMT ), the FTC said it learned of

several instances where third-party sellers falsely claimed

their products were made in the United States.

The FTC urged both companies to take "corrective action"

against sellers whose "Made in USA" claims violate federal law

and Amazon's ( AMZN ) and Walmart's ( WMT ) codes of conduct.

Four smaller retailers also received FTC warning letters

demanding they cease "Made in USA" claims unless they prove "all

or virtually all" of the products in question are made

domestically.

The four retailers are Oak Street Bootmakers in Chicago;

Stand Flag Poles in Fort Lauderdale, Florida; football equipment

maker Pro Sports Pads in Jacksonville, Florida, and medical

products maker USA Big Mountain Paper, also in Jacksonville.

Walmart ( WMT ) had no immediate comment. The other five companies

did not immediately respond to requests for comment.

"Consumers want to have confidence that when they buy

something labeled 'Made in the USA' they are actually supporting

American workers and the American economy," FTC Chairman Andrew

Ferguson said in a statement.

Many companies have been accused by regulators or in private

lawsuits of using imprecise labeling to induce shoppers to pay

more, including through appeals to their patriotism.

In 2021, the FTC adopted a "Made in USA Labeling Rule" to

protect businesses and consumers.

The agency later brought cases against kitchenware and home

furnishings retailer Williams-Sonoma ( WSM ) and Pyrex kitchenware maker

Instant Brands, and said it obtained $15.8 million of judgments

in 11 "Made in USA" enforcement actions between 2021 and 2024.

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