The Federal Trade Commission (FTC) has taken action against a group of clothing accessories companies based in Massachusetts and New Hampshire, US along with their owner, Thomas Bates, for misleading consumers with false claims about the products being Made in the USA.
“‘Made in USA’ means what it says,” explained Samuel Levine, director of the FTC’s Bureau of Consumer Protection.
He added: “Falsely labelling products as ‘Made in USA’ hurts consumers and competition, and the FTC will continue to aggressively enforce the law to stop deceptive claims and hold violators accountable.”
The FTC has remained committed to enforcing the Made in USA Labelling Rule since it came into effect on 13 August 2021, which means companies violating the rule after that date may be subject to penalties.
According to the FTC’s complaint, the clothing accessories companies — Chaucer Accessories, Bates Accessories, and Bates Retail Group — frequently promoted their products as being “Made in USA” or “Hand Crafted in USA” in their marketing and sales materials. The complaint also alleges that certain belts sold by these companies were labelled as “Made in USA from Global Materials.”
However, the complaint explains the companies sold products that were either entirely imported or contained significant imported components. Additionally, belts labelled as “Made in USA from Global Materials” were found to have belt straps imported from Taiwan, with buckles attached in the US.
The administrative...
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