What Do the Latest EO and the FTC Have in Common? Hint: Check for a ‘Made in the USA’ Label

The EO declares that Americans “have a right to clear, accurate, substantiated, and accessible information” about whether products advertised as domestically made actually are. 

Just one month later, the FTC acted. On April 14, the Commission announced a coordinated “Made in the USA” Sweep, bringing enforcement actions against three companies and issuing closing letters to two others. 

Key Takeaways From the EO

The EO directs the FTC to prioritize enforcement actions where “Made in America,” “Made in the U.S.A.,” or any similar American-origin claims violate the law. Notably, the FTC is also directed to consider proposing new regulations that would make an online marketplace’s failure to establish country-of-origin verification procedures a potential unfair or deceptive act or practice under the FTC Act. Additionally, agencies overseeing government procurement contracts must periodically verify American-origin claims, and contractors or vendors found to have misrepresented origin status face removal from government procurement availability and referral to the US Department of Justice for potential False Claims Act (FCA) liability. 

The FTC Sweep: Three Enforcement Actions

The FTC’s sweep targeted companies across diverse product categories (entertainment systems, patriotic flags, and footwear), sending a clear signal that no industry is immune.

• TouchTunes agreed to pay $625,000 for “numerous unqualified” “Made in the USA” claims spanning its website, marketing, and through electronic dartboards as “Made in the USA,” even though essential and non-essential components including computer chips, cameras, and flatscreen monitors were foreign made.

• Americana Liberty and related parties agreed to pay $167,743 for falsely advertising American flags and patriotic display products as “Made in the USA,” “Built by Americans for Americans,” “All-American Made,” and “100% American Made Tough,” when several products were significantly or entirely imported from China. 

• Oak Street Bootmakers agreed to pay $75,000 for falsely claiming its footwear was “handcrafted 100%” in the United States and “More than Made in USA™” because their products were not “all or virtually all” made in the United States. 

In each case, the proposed settlement orders prohibit future misrepresentations regarding US-origin claims and require consumer notice of the settlements. Two additional companies, Marketing Holders LLC and Lamar Trailers, Inc., received closing letters after agreeing to remediate their claims, though the FTC warned it reserves the right to take further action. 

What This Means for Your Business

The combination of a presidential mandate and swift FTC action signals that “Made in USA” enforcement is now a top federal priority. Companies should take the following steps immediately.

• Audit all origin claims. Review advertising, labeling, packaging, websites, and digital marketing for any “Made in USA,” “Made in America,” or similar claims and ensure each is substantiated under the FTC’s “all or virtually all” standard. 

• Scrutinize supply chains. The TouchTunes case makes clear that final assembly in the United States is not enough — essential imported components can render an unqualified “Made in USA” claim deceptive. 

• Beware of aspirational branding. Marketing slogans like “Built by Americans for Americans” and “More than Made in USA™” are treated as substantive origin claims and will be evaluated accordingly. 

• Online marketplaces take note. The EO’s directive to the FTC to consider regulations targeting marketplace verification procedures suggests that platforms, not just sellers, may face future compliance obligations. 

• Government contractors face heightened risk. Misrepresenting a product’s origin in a government procurement context could trigger FCA exposure in addition to FTC enforcement. 

The message from Washington, DC, is unmistakable: if you claim it’s made here, you’d better be able to prove it.