FTC-PR-240126-2
Date Released: 
January 26, 2024
Headline:
FTC-PR-240126-2 – FTC Action Leads to $2 Million Penalty Against Kubota for False Made in USA Claims – Penalty is largest ever in Made In USA case
Excerpt:
Tractor maker Kubota North America Corporation will pay a $2 million civil penalty as a result of a Federal Trade Commission action against the company for falsely labeling some of its replacement parts as being “Made in USA.”
Under a stipulated court order filed by the Department of Justice on the FTC’s behalf and agreed to by the company, Kubota will be prohibited from making deceptive claims in addition to requiring them to pay the penalty, which is the largest ever in a Made in USA case.
“Today’s settlement includes the largest civil penalty assessed for violating the Made in USA Labeling Rule,” said Samuel Levine, Director of the Bureau of Consumer Protection. “The FTC will continue cracking down on deceptive Made in USA claims that cheat consumers and honest businesses.”
The complaint filed in the case charges that since at least 2021, Kubota has labeled thousands of replacement parts for its tractors and other agricultural equipment as Made In USA, even though they were made entirely overseas. In addition, after the company moved manufacturing for some parts to other countries, it failed to update the products’ labeling to reflect that change, leaving them labeled as “Made in USA,” according to the complaint.
https://www.ftc.gov/news-events/news/press-releases/2024/01/ftc-action-leads-2-million-penalty-against-kubota-false-made-usa-claims
[Date Accessed: 3/5/2024]
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