WASHINGTON – Today, U.S. Senator Chris Murphy (D-Conn.) called on the U.S. Federal Trade Commission (FTC) to investigate fraudulent or misleading “Made in the U.S.A.” claims made by retailers and manufacturers. Murphy’s call follows an investigation by NBC Connecticut into these fraudulent claims, as well as an investigation by the non-profit Truth in Advertising, which found 200 examples of mislabeled foreign-made products at Walmart. In a letter to FTC Chairwoman Edith Ramirez, Murphy warned that manufacturers and retailers are taking advantage of Americans’ willingness to pay more for the quality associated with American-made products by placing fraudulent origin labels on their products, and are harming genuine U.S. manufacturers by doing so.

Murphy wrote, “As you know, businesses are only allowed to include a ‘Made in USA’ label if ‘all or virtually all’ of a product’s parts, processing, and labor are of U.S. origin. I have particular concern over fraudulent labels that are placed on products by retailers on outer packaging or in advertising for products. I ask to the greatest extent possible, you dedicate resources to these fraudulently labeled products and that you please communicate with me what resources Congress can provide to help you carry out more robust enforcement. Without enhanced enforcement practices, these abuses will continue to hurt real American manufacturers.”

As part of an ongoing effort to protect and grow American manufacturing, Murphy has introduced several amendments and pieces of legislation – including the 21st Century Buy American Act and the American Jobs Matter Act – that aim to strengthen existing standards and prioritize the purchase of American-made goods, and has long-supported the Export-Import Bank, which plays a critical role in supporting thousands of manufacturers and workers across the United States.  

Click here to view the full text of the letter. The full text of the letter is also available below: 

The Honorable Edith Ramirez
Chairwoman
U.S. Federal Trade Commission
600 Pennsylvania Avenue, N.W.
Washington, DC 20580

Dear Chairwoman Ramirez:

I write on behalf of my constituents with concern over misleading claims of products labeled “Made in the USA.” I thank you for your past diligence in investigating mislabeled country of origin claims, but more must be done to prevent fraudulent origin labeling practices by retailers and manufacturers alike. With fraudulent “Made in the U.S.A.” labels, manufacturers and retailers are taking advantage of Americans’ willingness to pay more for the quality that is associated with an American-made product while harming manufacturers in my state and elsewhere.

As you know, businesses are only allowed to include a “Made in USA” label if “all or virtually all” of a product’s parts, processing, and labor are of U.S. origin. Under the FTC Act, the Commission has the authority to investigate and bring legal action against fraudulent or misleading claims that a product originated in the United States.

This standard applies to both manufacturers and retailers, who may include additional product origin labels after manufacturing is complete. I have particular concern over fraudulent labels that are placed on products by retailers on outer packaging or in advertising for products. The Commission’s effective enforcement of these regulations is crucial to ensuring honest product origin labeling and the protection of genuine U.S. manufacturers in Connecticut and throughout the country.

We realize these regulations are difficult to enforce, especially while some bad actors choose to disregard or circumvent proper origin labeling standards. However, I ask to the greatest extent possible, you dedicate resources to these fraudulently labeled products. Further, I ask that you please communicate with me what resources Congress can provide to help you carry out more robust enforcement. Without enhanced enforcement practices, these abuses will continue to hurt real American manufacturers. Thank you for your attention to this matter.

Sincerely,

Christopher S. Murphy
United States Senator