- Joined
- Dec 5, 2018
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I saw that too, but when you get into the actual exceptions, you need to have a lawyer who will find all the little carve outs that Congress passed for their buddies. There are more holes in the system than Swiss cheese.
For a time there were "content" specifications that were dollar value based. May still be in place. Essentially a product could be completely fabricated abroad, but polished and boxed by an American with a made in USA label. An American's time just to polish and pack, can be more than the cost of expensive work done by slave laborer's abroad.
Percentages and relative costs are relevant to the product categories that require percentages, and for the government procurement threshold, but not for general consumer marketing. For general consumer marketing, standard is very high, and you have to hit all three factors: (1) Final assembly or processing of the product occurs in the United States, (2) all significant processing that goes into the product occurs in the United States, and (3) all or virtually all ingredients or components of the product are made and sourced in the United States.
I'm not sure what "loopholes" you're talking about, since the FTC standard isn't particularly flexible (and it's set by the FTC, not Congress). In your example, only one of the three requirements would be met (final processing), so slapping a Made in USA label on the product would be an FTC violation. I think you might be thinking of the Buy American Act, which covers government procurement, which has a much lower threshold.