FTC Targets “Made in USA” Claims Under New Executive Order

On March 13, the Trump administration issued an executive order (EO), “Ensuring Truthful Advertising of Products Claiming to be Made in America,” aimed at ensuring products advertised as “Made in America” or “Made in USA” are actually made in the United States.

The EO directs the Federal Trade Commission (FTC) to prioritize enforcement of unfair or deceptive “Made in America” or “Made in the USA” or any similar U.S.-origin claims and to consider proposing regulations that would require online marketplaces to establish procedures for verifying country-of-origin claims.   

Additionally, the EO requires agencies with oversight of country-of-origin labeling, in consultation with the FTC, to consider promulgating regulations that promote voluntary country-of-origin labeling for products made or manufactured in the U.S.

Finally, the EO directs all agencies overseeing government-wide acquisition contracts, any multiple award schedule contracts, or any other government-wide indefinite delivery, indefinite-quantity (IDIQ) contracts to periodically review and verify any “Buy American Act,” “Country of Origin USA,” or similar U.S.-origin claims for goods procured through these contracts.

In addition to removing noncompliant products from those contracts, the EO directs agencies overseeing contracts to consider referring contractors that misrepresent the origin of their products to the U.S. Department of Justice (DOJ), which may pursue actions under the False Claims Act (FCA). Although the EO does not change the FTC’s existing “all or virtually all” standard for unqualified “Made in USA” claims, it signals potential increased enforcement focus and potential expansion of liability, particularly for companies that advertise online.

Compliance Steps for U.S.-Origin Advertising Claims

For advertisers, the practical takeaway is to treat U.S.-origin claims like other advertising claims that require substantiation and careful scrutiny.

In doing so, companies should reassess such claims in their labeling, websites, and other advertising to ensure they are adequately substantiated, evaluate whether any express or implied claims (i.e., including use of patriotic imagery) could convey an unqualified origin claim, and use clear, appropriately qualified disclosures where needed. Given the EO’s emphasis on verification and enforcement, maintaining supply chain documentation and implementing periodic review processes may help reduce risk and provide defenses against a challenge.

Increased FTC Enforcement and Penalty Risks

While the FTC historically has brought relatively few “Made in USA” cases, agency activity has increased in recent years. In 2021, the FTC adopted the Made in USA labeling rule, which authorizes civil penalties. Most recently, in July 2025, the FTC issued warning letters to multiple companies, challenging allegedly unsubstantiated U.S.-origin claims and signaling a renewed enforcement focus on compliance with the “all or virtually all” standard.

The agency has also continued to pursue monetary relief in appropriate cases. For example, in April 2024, the FTC announced a more than $3 million civil penalty resolution with Williams-Sonoma for violating a prior order related to deceptive “Made in USA” claims—one of the largest recoveries in this area to date.

Growing Class Action Risk for Origin Claims

Class action plaintiffs’ attorneys also remain active, frequently targeting “Made in USA” representations across a wide range of industries, including cosmetics, home improvement products, food and beverage, and industrial goods. These suits often focus not only on express claims but also on implied claims conveyed through branding, imagery, or other contextual cues.

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