Senate Bill Proposes Changes to “Made in USA” Law
Senators Mike Lee (R-Utah) and Angus King (I-Maine) introduced a bill on February 8, 2021 that proposes to amend 15 U.S.C. § 45a and create a single national standard for “Made in the USA” (MUSA) claims. The bill is identical to S.4065 that passed the Senate last year with bipartisan support but lost momentum.
Under current law, MUSA claims are voluntary and subject to Federal Trade Commission (FTC) regulation. As we reported last year, the FTC published a proposed rule in July 2020 that intends to codify its long-time enforcement policy for products labeled as MUSA: “all or virtually all” of the product must be made in the United States. The “Reinforcing American-Made Products Act” seeks to prevent a patchwork of state regulation and preempt state laws like that of California, which has slightly different requirements from the FTC’s standard.
MUSA claims have become popular targets of class action lawsuits in recent years, including suits against Bigelow Tea, beef producers, beer producers, and other food companies. The suits typically allege that products marked with a MUSA claim are sourced in part from foreign countries and mislead consumers.