On March 13, 2026, to strengthen enforcement against false “Made in America” labeling, President Trump issued an Executive Order entitled, “ENSURING TRUTHFUL ADVERTISING OF PRODUCTS CLAIMING TO BE MADE IN AMERICA” (EO). The EO also provides new emphasis for government contractors, focusing on American country-of-origin claims as they relate to federal procurement.
First, Section 2(d) of the EO is particularly relevant for government contractors. It requires agencies managing Government-wide acquisition contracts (GWACs), multiple award schedules (MAS), or other Government-wide indefinite delivery, indefinite quantity (IDIQ) contracts to review and verify any American-origin claims for products acquired through these contracts. If a contractor or vendor misrepresents a product’s American origin, the EO requires the agency to remove and to refer the contractor or vendor to the United States Department of Justice, which may take action under the False Claims Act.
Second, the EO requires the examination, review, and verification of a contractor’s Buy American Act (BAA) and American country of origin certification. This means that contractors should review how their supply chains are set up and check if there are grey areas that need to be addressed.
Third, the BAA has the COTS (Commercial Off-The-Shelf) exemption, where the domestic content test is waived for items not predominantly made of iron or steel. An item qualifies as COTS if it is “manufactured” in the United States, regardless of the origin of its components. Such items must be readily available for purchase in the United States without customization or modification. Contractors utilizing the COTS exemption may be subject to increased scrutiny to determine whether their products are genuinely “manufactured” in the United States to satisfy the exemption requirements.
Fourth, the EO could affect the Trade Agreements Act (TAA) by requiring further agency review of whether a product was made wholly or predominantly in the United States or substantially transformed into a new and different article of commerce within the United States. The substantial transformation test is determined on a case-by-case basis.
Our recommendation for government contractors is to fully audit existing supply chains to verify certifications for products currently on offer, as well as lower-tier certifications.
Legal issues differ based on situations. If you want to discuss how the federal procurement landscape changes, and impacts you, reach out to the author or to your Centre attorney.
