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AI Knows Fake Made in USA Labels | US News

AI shopping assistants from Amazon and Walmart can detect fake “Made in USA” labels, but new research reveals these tools aren’t being used to enforce truth in advertising—because retailers prioritize business over compliance. A study led by former FTC chair Lina Khan found AI bots cite corporate strategy as the reason for inaction, with Walmart’s Sparky even noting the FTC typically targets manufacturers, not retailers. Despite FTC rules requiring products to be mostly made in the U.S. and a 2025 directive to Amazon and Walmart to crack down on misleading claims, progress remains stalled…

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