WASHINGTON, D.C. — The Federal Trade Commission issued warning letters last week to seven companies over apparent false U.S.-origin claims, escalating enforcement against businesses that market imported products as made domestically.
The letters concern products advertised as “Made in the USA” or “Made in Texas” despite indications that they were imported entirely or contained significant foreign components, according to the agency.
The companies named by the FTC are A&F Drum Company LLC, Z-Tech Advanced Technologies Inc., Vtron Inc., Helmel Engineering Products Inc., NebTech Inc., Lucky Bar Holdings LLC and My Vape Order Inc.
Their products include drums, industrial laser machinery, coordinate measuring machines and electronic cigarettes.
FTC rules generally require products carrying unqualified “Made in USA” claims to be assembled in the United States, contain all or virtually all domestic content and undergo all significant processing domestically.
“When Americans spend their hard-earned dollars on goods marketed as ‘Made in the USA,’ they deserve to have confidence that these products were all or virtually all made in this country,” Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection, stated.
The warning letters put the companies on notice but do not represent final findings that they violated federal law. The FTC may pursue enforcement if businesses continue making claims that fail to meet federal standards.
The action follows a March executive order directing the commission to prioritize enforcement against unlawful domestic-origin advertising.
In April, the FTC resolved three cases involving sellers of American flag products, footwear and electronic dartboards. Those companies agreed to stop making disputed U.S.-origin claims and provide compensation to affected consumers.
The commission maintains that misleading claims also disadvantage companies that have invested in domestic manufacturing and comply with federal labeling requirements.
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