Mandatory Labeling to Inform Consumers About Product Size Reduction (Shrinkflation).
This law requires manufacturers to clearly label consumer product packaging if they have reduced the size or quantity of the product without a corresponding price decrease. This measure aims to increase transparency, helping citizens make better-informed purchasing decisions and protecting them from hidden price increases. The Federal Trade Commission (FTC) will enforce these new labeling rules, treating non-compliance as a deceptive business practice.
Key points
Manufacturers must add specific labels to packaging when they reduce the size or amount of a product without proportionally lowering the price.
The Federal Trade Commission (FTC) will enforce these rules, treating non-compliance as an unfair or deceptive business practice.
Consumers will benefit from mandatory transparency, making it easier to spot hidden price hikes and compare product value accurately.
Status:
Expired
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