Data shows the 'Made in USA' brand still suffered under tariffs

"President Donald Trump's trade war inspired new country-of-origin "Made In" labels this year as shoppers outside the U.S. looked to avoid buying American-made goods and shop local instead. In the U.S., though, the "Made in USA" brand is losing its domestic appeal. Country-of-origin labeling is designed to be a stamp of authenticity and quality. Countries police their own rules to ensure products labeled "made" or "assembled" in their country really were made or assembled there and that they meet national standards. When the Copenhagen-based think tank 21st Century introduced its concept for a possible future "Made in Europe" label, its managing director said it was designed to establish trust, as in, if something was made in Europe, consumers could trust no arsenic would be in it. In the U.S. this year, though, "Made in USA" isn't so much about trust for a growing number of consumers as it is about higher prices. And they don't want to pay them."

"A Conference Board survey released in August found about half of U.S. consumers say knowing a product was made in the U.S. made them more likely to buy it again, an 18% decline since 2022. The report's author blamed the drop on consumers appearing to associate "Made in USA" with being expensive because of high domestic production costs. U.S. consumers today face an overall average effective tariff rate of 16.8%, according to Yale's Budget Lab. That's the highest rate since 1935, and it comes amid wider economic discontent. Half of U.S. adults say they are spending more time than usual looking for the the lowest price for items, according to an Associated Press-NORC Center for Public Affairs Research poll. That's up from 31% in 2021 and helps explain the rise of yuppie, designified generic brands. Value matters to consumers today."

Country-of-origin labeling aims to certify authenticity and quality and requires national rules to ensure labeled products were actually made or assembled domestically and meet national standards. Trade tensions prompted shoppers outside the U.S. to adopt new 'Made In' marks, including symbolic labels in Denmark and Canada, to avoid American-made goods and shop local. A proposed 'Made in Europe' label was presented as a trust signal tied to safety standards. Domestic sentiment toward 'Made in USA' has weakened as many consumers associate it with higher production costs and prices, while tariffs and rising price-sensitivity drive demand for lower-cost and generic-style options.

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