State law could kill ‘Made in USA’ label

WND

‘Joblessness and dysfunctional government go hand in hand’

author-imageDrew Zahn About | Email 
If a company wants to label its product “Made in the USA,” it had better  beware of selling it in California, which may allow people to sue the company  for using the label.

While the other 49 states adhere to federal standards allowing a product to  carry the “Made in the USA” label if it is substantially manufactured in the  U.S., California alone requires a product be 100-percent American made. Not a  pin, not a screw can be made anywhere else.

In fact, in 2011 California’s Supreme Court affirmed in Kwikset v. Benson  that the company Kwikset could be sued for using the label on one of its locks  because the screws in it were manufactured in Mexico.

Far from protecting American manufacturers and consumers, however, even the  Made in USA Foundation is warning California’s law is placing a chilling effect  on American companies everywhere.

“In our new global economy it is virtually impossible to manufacture a  high-tech product 100-percent in the USA,” explained Joel Joseph, chairman of  the Made in the USA Foundation, in support of a California Assembly bill that  would amend the law and bring the state into line with federal guidelines.

“The fact that California is the only state in the nation to have such rigid  standards is a barrier to business,” added California Assemblyman Brian Jones,  R-Santee, sponsor of the bill, AB 890, which was blocked in committee June 25  but has been granted reconsideration. “The inconsistency in law has resulted in  difficulties for manufacturers because products legally labeled as ‘Made in  America’ in the other 49 states can’t legally be sold here. This places the  retailer and manufacturer at risk, and increases costs to separately label  products for sale in California.”

After a similar bill was passed unanimously in the California Assembly last  year, only to be killed by three Democrats in a State Senate committee,  California manufacturer Mag Instrument Inc. – manufacturer of the popular  Maglite flashlight – released a statement explaining how California’s current  law effectively discourages companies anywhere from using the “Made in  the USA” label.

“Unless they want to undertake the expense and risk of having one package for  the other 49 states and a special package just for California, American  manufacturers have no choice but to produce a 50-state package that complies  with California’s unreasonably strict standard, under which it is almost never  permissible for a product of any complexity to affix a ‘Made in USA’ label,” the  company said. “This can mean foregoing the right to lawfully mark its product  ‘Made in USA’ in the other 49 states.”

“It’s another example of the state legislature making it as difficult as  possible to do business in California,” argued Tony Maglica, founder and owner  of Mag Instrument Inc. “We now have another example why this state is such a  terrible place to operate a business. … There are some state legislators who  just don’t understand the realities of manufacturing in the age of the global  supply chain. Some parts and materials you just can’t get domestically.”

“As law it makes no sense,” Jones said. “It’s a barnacle on the side of  manufacturing in California.”

But laws hampering American businesses are not unique to California, notes  Joseph Farah, co-founder of WND and a new project called American  Made Stores.

“Joblessness and dysfunctional government go hand in hand,” said Farah.  “Washington hasn’t done a single thing to improve the economic climate in  America in years. So it’s time for Americans to act collectively to help each  other.”

That’s the concept behind his American Made Stores, a  partnership between WND and REKO, WND’s heralded online shopping fulfillment  company – the one noted for its top-notch customer service at the WND  Superstore.

The company was founded with this mission: “To rebirth American manufacturing  while educating Americans about the importance of a strong and vibrant  U.S.-based manufacturing economy by offering a unique, convenient, cost-saving  and fun shopping experience for those wishing to find American-made products in  one place. By rewarding companies who employ Americans working in factories on  American soil, you can direct your purchasing power in a way that will not only  benefit you and your family, but stimulate a manufacturing renaissance that will  benefit your descendants and your country.”

Farah said it’s “a simple fact that American jobs requires American  manufacturing.”

“You can’t expect one without the other,” he said. “Government places no  value on American manufacturing. In fact, it does everything in its power to  hinder the creation of manufacturing jobs and to place roadblocks in the paths  of companies that would like to make things and sell things in America. American  Made Stores, however, is about empowering Americans to support American  manufacturing and to keep and create jobs right here at home.”

In addition to making it easy to find U.S.-made products of superior quality  and with excellent pricing, which is no easy task in most stores today, goods in  American Made Stores are graded  and sorted by the percentage of American content and a manufacturers’  certification standard ensures against false claims. Through customer feedback,  testimonials and ratings systems, American Made Stores can provide  you with up-to-date consumer reports on American-made goods.

Read more at http://www.wnd.com/2013/06/state-law-could-kill-made-in-usa-label/#M0yXFODrm0Ic4sFT.99

This entry was posted in Company News, In the news, made in america, Made in USA, Made in USA NEWS, Movement, Product of USA and tagged , , , , , , , , , , . Bookmark the permalink.

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