This week, I checked in with Julie Zerbo, attorney and founder of the legal publication “The Fashion Law,” to better understand a wave of lawsuits in California that question the validity and legality of “Made in America” marketing claims for brands that source ingredients or packaging outside the U.S. Additionally, the E.U. bans a common ingredient in gel nail polish, Chantecaille gets a new CEO, and Macy’s Inc. sees an earnings rebound fueled by Bloomingdale’s and Bluemercury.
A California court is challenging which beauty and wellness products can be marketed as “Made in the U.S.A.”
The benefits of re-shoring manufacturing to the United States may soon lose part of its luster. A California court is challenging several beauty brands that market themselves as “Made in the U.S.A.” while using a small amount of imported ingredients, components or packaging.
“This has always been a hot button issue for the FTC, but I think the stakes are even higher now, in light of the evolution of U.S. trade law,” Julie Zerbo, attorney and founder of the legal publication “The Fashion Law” told Glossy.
There are many reasons why a beauty brand’s marketing team would lean into its domestic manufacturing claims, many of which have been amplified in the current political environment. This includes environmental issues surrounding global shipping, the promotion of American jobs and transparency into its supply chain.
According to a March survey by Mintel market research company, 65% of U.S. consumers plan on purchasing more domestically or locally-made products to avoid higher prices due to tariffs. According to the firm, 23% of U.S. consumers prioritize purchasing goods made in America.
Brands like Mielle Organics, John Paul Mitchell Systems and Paula’s Choice have been under fire in recent months.
“The FTC has a strict rule that governs when companies can make marketing claims with regard to ‘Made in U.S.A.’ products,” Zerbo told Glossy. “It basically says you can’t market a product as ‘Made in the U.S.A.’ unless all, or virtually all, of its components are made in the U.S.A.”
According to the Federal Trade Commission, which regulates marketing claims, this also includes expressly made claims, such as “American-made,” “U.S.A.,” “Manufactured in U.S.A.” or “Built in U.S.A.”, and implied claims, like U.S. flags, outlines of U.S. maps, or references to U.S. locations of headquarters or factories.
The latest case is against hair-care brand It’s a 10. The case was brought by a California woman who reported being deceived by the “Made in the U.S.A.” claim because some ingredients, like palm oil and hydrolyzed silk, were imported. On July 31, a federal judge allowed part of the case to proceed.
Zerbo told Glossy that the case is based on an allowance in California for 5-10% international ingredients or components for things that cannot be made or sourced domestically. “The court said, ‘Both of these standards can co-exist,’ so companies will essentially have to observe both the FTC rule and the California state statute [allowing up to 10% in certain circumstances], if they want to label products as ‘Made in the U.S.A.,'” Zerbo said.
However, it’s still early days in many of these cases. “The reality of [these ‘Made in U.S.A.’ laws] is straightforward on paper,” she said. “But it’s not necessarily super simple when you get to court.”
Executive moves:
- Tennille Kopiasz is the new CEO of color cosmetics and skin-care brand Chantecaille. Her CV includes Fekkai, Coty and LVMH-owned Fresh and Dior. She succeeds Emily Coleman who served as CEO for two and a half years and has since taken on the CEO role at Manzanita Capital-owned Malin+Goetz. Chantecaille is owned by Beiersdorf, parent company to skin-care companies like Nivea and Aquaphor.
- Philipp Navratil is the new CEO of Nestlé, parent company to wellness companies Vital Proteins and Garden of Life. Former CEO Laurent Freixe has been fired from service for failure to disclose a romantic relationship with a subordinate, according to Reuters.
News to know:
- On Wednesday, Macy’s reported its best comparable sales growth in 12 quarters to reach net sales of $4.8 billion during its Q2 2025. This included 0.8% growth overall and 3.6% for Bloomingdale’s. Bluemercury continued to be a bright spot: It reported its 18th consecutive quarter of gains, reaching 1.2% comparable sales growth during the quarter.
- Erewhon, the Southern California luxury grocery store known for its celebrity-created smoothies and sky-high prices, is opening its first shop-in-shop location in New York City later this week. Unlike the full-size grocery stores in California, this mini location will be located within retailer Kith’s new Kith Ivy, a members-only West Village wellness club set to open on September 10.
- A new law banning TPO, a common ingredient in gel nail polish, went into effect on September 1 in the European Union. This caused a wave of social media posts last week inaccurately stating that all gel polish was now banned in Europe, despite many brands having reformulated in time to meet last week’s deadline. TPO is shorthand for trimethylbenzoyl diphenylphosphine oxide, an ingredient that helps the polish to harden under UV light. According to the E.U., the ingredient is “carcinogenic, mutagenic or toxic for reproduction.”
- Melanie Bender — former executive at Rhode, Versed and Merit — has partnered with Mazdack Rassi, co-founder of Milk Makeup, and Youth To The People-founders Joe Cloyes and Greg Gonzalez to launch a new fragrance brand called Lore. The brand will sell its $88 perfume and $28 mini fragrance roll-ons DTC and at Sephora.
- Social shopping app Flip, which was valued at $1 billion in 2024, has shuttered. As reported by Beauty Independent, the app raised around $240 million since it launched in 2021. The abrupt closure has reportedly left creators and brands with unpaid earnings.
Stat of the week:
- U.K.-based beauty brand and retailer Lush — known for its colorful, cruelty-free bath bombs, soaps and face masks — reportedly lost around $400,000 in revenue from a one-day closure on September 3 to protest the ongoing war in Gaza, co-founder Mark Constantine told LBC Radio. The retailer closed its U.K. shops and factories, as well as its global e-commerce platform, which was populated by the message, “Stop starving Gaza, we are closed in solidarity.”
In the headlines:
Shaquille O’Neal unveils new business venture in beauty industry. ‘Millions of dollars in lost profit’: Brands are mourning the death of de minimis. Amazon reverses its Google Shopping retreat, making life harder for performance buyers.
Listen in:
What does it take to successfully reinvent a heritage beauty brand? Industry veteran Dawn Hilarczyk joins the Glossy Beauty Podcast to discuss the total reinvention of 68-year-old beauty brand Borghese. She’s 18 months into her tenure as chief operating officer and has already overseen sweeping changes to the Borghese team, digital strategy and distribution, as well as packaging, formulation, SKU count, marketing and much more. So far, it’s working: The brand is currently on track for 200% revenue growth in three years.
Need a Glossy recap?
With tennis fandom on the rise, the U.S. Open and sponsoring brands put the focus on fans. Can Printemps New York revitalize the department store perfume counter? Victoria Beckham’s beauty-led growth sets the stage for longevity, strategic options. L’Oréal-owned Essie’s sports partnership has generated 4 billion organic impressions. Jessie Pegula and Cameron Brink headline Gorjana’s new Sports Club ambassador program. Ulta Beauty CEO: Target partnership revenue was ‘below 1% of sales’.
