Senators urge FTC probe into Amazon and Walmart over ‘Made in USA’ claims

Senators Tammy Baldwin (D-Wis.) and Rick Scott (R-Fla.) have requested that the Federal Trade Commission (FTC) investigate Amazon and Walmart for alleged anticompetitive practices regarding ‘Made in the USA’ products.

The senators cited a study from Columbia Law School’s Center for Law and the Economy titled ‘Made in America, Hidden by AI’. The report alleges that the retailers' AI shopping chatbots—Alexa for Shopping and Sparky—possess the technical capability to identify domestic products and detect fraudulent labeling, yet choose not to proactively flag or promote them.

According to the senators, when asked for ‘Made in USA’ information, the chatbots reportedly claimed they lacked access to such data or suggested that providing a filter would redirect sales away from large overseas manufacturer bases. The senators expressed concern that these companies are failing to police fraudulent country-of-origin claims, potentially misleading consumers who prioritize American-made goods.