FTC imposed penalty on Kubato for making false U.S. origin claims

The Federal Trade Commission (FTC) in the United States (US) has directed Kubota North America Corporation (Kubota) to pay $2 million in penalties – the highest penalty amount ever imposed by FTC, for false labelling of the replacement parts as “Made in USA”. According to FTC, since at least 2021, Kubota has been labelling many of its products as “Made in USA”, when in reality all of them were imported as finished products from overseas. FTC further prohibited Kubota from making any such unqualified claims, unless, it is made with domestically sourced parts and its principal assembly takes place in U.S.