Disclosure of foreign country where textile products are assembled

No. 358. Disclosure of foreign country where textile products are assembled.

The Commission advised two manufacturers of textile fiber products that it would not be necessary to disclose the name of the foreign country where certain finishing operations are performed. In both cases, the fabric is of domestic origin. In one case, the company wil ship its American-made fabric and findings to the Dominican Republic where the fabric wil be cut, sewn , finished and returned for resale to the industrial rental laundry industry. Labor services performed in the foreign country wil represent approximately 30 percent of total production costs. Tbe other company, which is engaged in the manufacture and sale of ladies' undergarments , wil cut the material in the United States and then ship it to Haiti where it wil be sewn and finished. The company s foreign labor costs will represent approximately 20 percent of total production costs. Both companies were advised by the Commission that it would not be necessary to disclose in the labeling the nature and extent of the foreign operations performed on the textie products either under Section 5 of the FTC Act or Section 4(b) (4) of the Textile Fiber Products Identification Act.