As the United States approaches its 250th anniversary in 2026, the “Made in USA” label holds more significance than ever. Consumers increasingly look for domestic products, associating them with quality, reliability, and support for local jobs. Yet, as a recent National Advertising Division (NAD) decision shows, using “Made in USA” claims in advertising, whether explicitly or implicitly, comes with legal responsibilities designed to protect both businesses and consumers.
On December 23, 2025, NAD issued Decision #7520, where the Advertiser had labeled and advertised several products as “Made in USA” leading to questions about whether those claims met the Federal Trade Commission’s (“FTC”) Made in USA Policy Statement and its Made in USA Labeling Rule[1]. The Challenger alleged that the Advertiser’s claims were misleading because the products incorporated numerous foreign components including imported buckles, fibers, and leather.
In reviewing the advertising, NAD looked to the FTC’s standards and guidance, which require that products bearing an unqualified Made in USA claim be “all or virtually all” made in the United States. Applying these standards and guidance, NAD determined that the challenged advertisements reasonably conveyed an unqualified message that the Advertiser’s products were, in fact, wholly Made in USA. NAD further determined that the Made in USA claims were reinforced by the express language on the product labels and webpages, which include images of the Made in USA claim without qualification or disclosure that some products may only be assembled in the USA with foreign parts/components.
As illustrated by NAD’s Decision, the FTC’s “Made in USA” standard can be rigorous and applies to both unqualified and qualified claims. Unqualified claims, like “Made in USA,” without any additional context or wording, imply the entire product is of domestic origin. In practice, this means that to make an unqualified Made in USA claim, the final assembly, significant processing, and nearly all components must originate domestically, with no (or in some cases, negligible) foreign content permitted. Qualified claims, on the other hand, specify the extent of U.S. involvement, such as “Assembled in USA” or “Made in USA of U.S. and imported parts.” But even qualified claims must clearly accurately reflect the proportion and significance of domestic content and processing, and be truthful and substantiated to avoid any implication of more U.S. content than exists.
The NAD’s Decision #7520 underscores the scrutiny surrounding country-of-origin statements. Sellers and advertisers should therefore not simply rely on tradition, reputation, or partial domestic assembly to make sweeping claims, and should generally maintain thorough documentation and transparency about their supply chains and consider adding appropriate qualifiers if their products contain any foreign content. It is also important to remember that regulatory agencies focus on the overall impression that the advertising, label, or promotional material conveys to consumers. This means that, depending on the context, U.S. symbols or geographic references (for example, U.S. flags, outlines of U.S. maps, or references to U.S. locations of headquarters or factories) may convey a claim of U.S. origin either by themselves, or in conjunction with other phrases or images. As always, our advertising team is happy to assist with advising on best practices with making Made in USA claims in advertising.
[1] See Complying with the Made in USA Standard | Federal Trade Commission.
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