The Federal Trade Commission filed suit against Chemence, Inc., an Ohio corporation, alleging that the company is deceiving consumers by making Made in USA claims for their strong, fast-acting glues such as Kwik Frame, Kwik Fix, and Krylex, which are produced using a significant amount of imported chemicals.
“For many shoppers, a claim that a product is made in the USA is a big selling point,” said Jessica Rich, Director of the FTC’s Bureau of Consumer Protection. “Companies should not overstate the amount of U.S. content their products actually contain.”
According to the complaint, Chemence’s unqualified “made in the USA” or “proudly made in the USA” claims tell consumers that its cyanoacrylate glue products are all, or virtually all, made in the United States. However, the FTC alleges that a significant proportion of the costs of the chemical inputs to Chemence’s glues – approximately 55 percent – is attributable to imported chemicals that are essential to the glues’ function. Therefore, the complaint alleges that Chemence’s unqualified claims are deceptive.
The FTC also alleges that Chemence assists others in deceiving consumers by distributing its Made in USA marketing materials to private-label sellers and other retailers who promote these glues.
Chemence Product Packaging:
The FTC is seeking a court order permanently prohibiting Chemence from making claims that would violate the FTC Act and seeking appropriate monetary relief.
The FTC’s Enforcement Policy Statement on U.S. Origin Claims provides further guidance on the Made in USA standard.
The Commission vote authorizing the staff to file the complaint was 4-0. The complaint was filed in U.S. District Court for the Northern District of Ohio on February 1, 2016.
NOTE: The Commission files a complaint when it has “reason to believe” that the law has been or is being violated and it appears to the Commission that a proceeding is in the public interest. The case will be decided by the court.
The Federal Trade Commission works to promote competition, and protect and educate consumers. You can learn more about consumer topics and file a consumer complaint online or by calling 1-877-FTC-HELP (382-4357). Like the FTC on Facebook, follow us on Twitter, read our blogs and subscribe to press releases for the latest FTC news and resources.
Office of Public Affairs
Julia Solomon Ensor
Bureau of Consumer Protection