Trump’s trade war could make national “made in” labels more popular than ever
Plus: When Congress has a message for the president, they’re spelling it out now
Hello, in this issue we’ll look at how “made in” logos and labels around the world are about to become a lot more important thanks to Trump’s tariffs, and why the signs Democrats held up at Trump’s address to Congress are part of a growing trend that Republicans started.
Scroll to the end to see: the best-selling artwork that sold at a recent A.I.-only auction 🖼️
Trump’s trade war could make national “made in” labels more popular than ever
As President Donald Trump’s threats of a trade war with two U.S. neighbors becomes a reality, Canada’s prime minister, Justin Trudeau, is asking Canadians to buy local. The “Made in Canada” label and other local country-of-origin labeling is about to take on a whole new level of significance.
Country-of-origin labels are a helpful way to advertise that a product is locally made, but with the threat of wide-ranging tariffs, these labels could soon also signal to consumers that a product’s price tag isn’t artificially inflated due to Trump’s tariffs and tariffs other countries initiate as a response.
Speaking last month after announcing retaliatory tariffs against the U.S. should Trump go forward with his plans, Trudeau said for Canadians, it was “the time to choose Canada.”
“It might mean checking the labels at the supermarket and picking Canadian-made products,” he said. “It might mean opting for Canadian rye over Kentucky bourbon, or foregoing Florida orange juice altogether.”
Trump said today, just two days after new tariffs went into effect, that he’s pausing tariffs on some products from Canada and Mexico until April. Already, though, “Buy Canadian Instead” signs went up at a B.C. Liquor Store in Vancouver while in Ontario, a province-controlled alcohol wholesaler pulled U.S. liquor from the shelves. There could soon be more to come, and there are signs other countries are looking to protect their own domestic production. On Monday, the Australian government said it would invest in protecting and promoting the country’s “Australian Made, Australian Grown” initiative over the next three years.
There’s a benefit to homegrown goods. A 2023 Morning Consult report found nearly two-thirds of U.S. consumers said they seek out products that are “Made in America” and nearly 50% said they would be willing to pay more. But for some products, like cars, which are made across multiple countries, it isn’t always as simple as slapping on a simple sticker about where it was made. Trump said Wednesday he would delay tariffs on vehicles built in North America for a month.
The Canadian government regulates what claims products can make about being made in the country. Its Competition Bureau requires products that claim to be a “Product of Canada” to have 98% Canadian content while products that claim to be “Made in Canada” must have at least 51% Canadian content and include a qualifying statement that the product is made in part from imported content. In the U.S., “Made in America USA” claims are regulated by the Federal Trade Commission which makes its own allowances for products made across borders, like “Made in U.S. from Imported Parts” for a product assembled in the U.S. with parts from other countries.
The rise of economic nationalism could draw more attention to where our products come from and the varied countries that make up our supply chain. Should patriotic purchasing become a higher priority for consumers, then, country-of-origin labels could carry more weight than ever.
Previously in YELLO:
When Congress has a message for the president, they’re spelling it out now
There are few stages in politics like a joint session of Congress for a president to get their message out to a wide audience, but members of Congress have increasingly attempted to wrest that stage back for themselves. Tuesday’s speech was the latest in a growing trend.