AAM Asks FTC to Probe AI Shopping Tools Over 'Made in USA'

AAM's request to the FTC follows a specific incident from late July: a report from a Columbia University Law School program alleged that AI chatbots on Amazon and Walmart suppress American-made products. The report goes further, claiming these systems could identify "Made in USA" fraud but choose not to, framing this as a design choice rather than a technical limitation.

The AAM letter grounds its request in existing law, noting the FTC's Made in USA standard requires claims to be truthful and that the Commission has broad authority under Section 5 of the Federal Trade Commission Act. This suggests the group sees a legal basis for action, not just a policy preference. The political context may also be relevant: the AAM cites December 2025 polling showing public concern about AI's effect on manufacturing jobs.

AAM explicitly ties this issue to a pending legislative fix, the COOL Online Act. The group argues the Columbia report's findings strengthen the case for the bill, which would mandate country-of-origin labels for online products. This positions the FTC request as part of a broader push for regulatory and legislative changes to address how AI tools handle product sourcing information.