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ARTICLE · 30 JUNE 2023

FTC Settles With Marketer Over Qualified "Made In USA" Claim

Global Advertising Lawyers Alliance (GALA)
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If you can only make a U.S.-origin claim if a product is "all or virtually all" made in the United States, how do you substantiate a qualified claim?

United StatesConsumer Protection

The Federal Trade Commission's Enforcement Policy Statement on U.S. Origin Claims says that, in order to make an unqualified "made in USA" claim about a product, the advertiser must be able to substantiate that the product was "all or virtually all" made in the United States. (The FTC also recently codified this standard in its Made in USA Labeling Rule.)

Qualified "Made in USA" Claims

The FTC says that qualified "made in USA" claims -- such as "Made in USA of U.S. and imported parts," "Made in USA from imported leather," and "Made in USA from French components" -- are permissible as well. The FTC explains that advertisers "may make any qualified claim about the U.S. content of its products so long as the claim is truthful and substantiated." So, when you've got a product that was made here, but that includes some imported material, any U.S.-origin claim should be "adequately qualified to avoid consumer deception about the presence or amount of foreign content."

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