‘Made in Texas’? Hold Your Horses! FTC Fires Off More ‘Made in the USA’ Warning Letters
“Hand made in Austin, Texas” may sound like a charming selling point, but the Federal Trade Commission (FTC) isn’t convinced. On July 6, the FTC issued warning letters to seven companies for questionable domestic-origin claims, covering products from drums and industrial lasers to coordinate measuring machines and e-cigarettes.
One company was flagged for marketing products as “Made in Texas,” and six were flagged for “Made in the USA” claims. In each case, the FTC found indications the products were imported in whole or in significant part.
View the FTC’s press release here.
The takeaway, “Made in Texas” (or other more specific origin claims such as “Manufactured in Chicago”) gets the same treatment as “Made in the USA.” Whether state-level or national, domestic-origin branding carries the same legal risk. And claims using phrases like “manufactured in the USA,” “built in the USA,” and even hashtags were all flagged as unqualified origin representations subject to the FTC’s “all or virtually all” standard.
A Growing Enforcement Pattern
This is not a one-off. It follows a clear escalation. In July 2025, the FTC sent a similar batch of warning letters just after Independence Day, marking the beginning of a recurring enforcement ritual. Then, in March, as our previous alert highlighted, President Trump issued an Executive Order directing the FTC to prioritize enforcement against unlawful “Made in USA” advertising claims. By April 2026, the FTC announced three settlements with sellers of American flag products, footwear, and electronic dartboards for violations of Section 5 of the FTC Act, Section 45a, and the Made in USA Labeling Rule. Those firms agreed to stop making unlawful claims and pay consumer redress.
Key Takeaways
The “all or virtually all” standard applies broadly. As we have previously written, even qualifiers that seem sufficient do not always pass muster.
Hashtags count. At least two letters targeted origin claims made solely through hashtags. Social media is squarely in scope. Any unqualified domestic-origin claim can trigger enforcement, whether it says, “Made in the USA,” “Made in Texas,” “built,” “manufactured,” or appears only in a hashtag. Among the claims flagged in this round were “Proudly made in the USA,” “BUILT IN THE USA,” “The Only Disposable Built in the USA,” “#MadeinUSA,” “#madeincali,” “made in Texas,” and “designed and manufactured in the USA.”
“Assembled” ≠ “Manufactured.” “Manufactured in US-based facilities” was treated as an unqualified claim. Emphasizing your domestic process without accounting for the origin of all components will not save you.
Expect industry-wide sweeps. This round hit multiple companies in the same categories (laser machines, e-cigarettes). Once the FTC spots one bad actor, it sweeps the whole category.
What to Do Now
With enforcement escalating, the cost of getting it wrong is rising fast. How can companies that make any form of US-origin claim, on labels, websites, ads, social media, or sales decks move forward?
Audit your origin claims. Review all product labels, packaging, website copy, advertising materials, and social media posts for any express or implied US-origin representations.
Verify your substantiation. Ensure you can demonstrate that your products are “all or virtually all” made in the United States, including components, processing, and labor.
Don’t forget social media. Hashtags and informal posts are treated the same as formal marketing. Audit your accounts and instruct marketing teams accordingly.
Consider qualified claims. If your product contains foreign-sourced components, work with counsel to determine whether a qualified origin claim (e.g., “Assembled in the USA with imported parts”) is appropriate and adequately substantiated.
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