A wave of lawsuits is sweeping through American retail as household-name brands face accusations of playing on patriotism with misleading product labels—just as President Trump's 2025 tariffs reshape manufacturing priorities.
In a scramble to win over consumers, more than 50 lawsuits have been filed since January, targeting alleged misrepresentation of US-made claims. At the centre of the legal blitz is California-based Kazerouni Law Group, which is taking on corporate giants including Procter & Gamble, Unilever, and PepsiCo, claiming they've misled shoppers about where their products are actually made.
Patriotism or Profit? Decoding the Labels
The 'Made in America' stamp still holds massive sway—especially now that Trump's tariffs have added an estimated £25 billion ($34 billion) in import costs. Some consumers are willing to pay an extra £15 ($20) per product to support domestic jobs.
But according to Federal Trade Commission guidelines, a product must be 'all or virtually all' made in the US to carry that label.
Companies such as Dude Wipes and Mielle Organics are under fire for allegedly using foreign components while marketing themselves as American-made. The Daily Mail reports that these practices allow companies to inflate prices by up to 20%—while consumers are left questioning whether their money truly supports US workers or just lines corporate pockets.
Major Brands Scramble As Legal Threats Mount
This isn't just about niche players. Even top brands like Mielle Organics are under legal scrutiny for allegedly stretching the truth.
Since 9 January 2025, Kazerouni has launched lawsuits at an unprecedented rate, outpacing all previous years. These claims argue that misleading labels violate consumer protection laws, with plaintiffs demanding refunds and financial damages.
Public reaction on X has been divided. Some users cheer the lawsuits as overdue crackdowns, while others see them as opportunistic. Regardless, pressure is mounting: Unilever is reportedly auditing its supply chain in response to the litigation.
The stakes are steep. Industry analysts estimate legal costs could top £7.6 million ($10 million) per case—before even factoring in reputational damage.
Pricey Pitfalls: What Shoppers Should Watch For
With Trump's tariff policies raising import prices, Walmart and Target have already increased prices by 5–10% since 15 April 2025. In this climate, shoppers need to stay alert.
Look out for phrases like 'Assembled in the US' or 'Designed in the US', which often mask foreign manufacturing. The FTC's website allows consumers to verify claims, and tools like Entrupy can authenticate high-end items.
Some smaller brands, such as New Balance, are showcasing their domestic facilities to earn consumer trust. For buyers, it's about cutting through patriotic marketing to ensure their money truly supports American jobs.
The Real Cost of Misleading Claims
This litigation surge marks a critical turning point for transparency in consumer goods. Legal outcomes could set new standards across multiple sectors.
Shoppers are more informed and demand proof—not just promises. The reputational risk for brands now rivals the financial cost of misleading labels.
As the lawsuits unfold, they reveal regulatory blind spots exposed by recent trade policy shifts. They also show how quickly the marketplace can weaponise both patriotism and legal systems for or against brands.
With tariffs reshaping the retail landscape and consumers hungry for authentic domestic goods, the battle over 'Made in America' labels is far from over. The question now is whether these lawsuits will restore faith in the label—or deepen scepticism among increasingly wary shoppers.
