Upon the passage of California Senate Bill 633 (SB 633), the state of California has revised its legislation on what constitutes “Made in USA,” so it now reflects the standards of the rest of the country. Previously, California law had stipulated that it was illegal to sell goods as being made in the U.S. if any portion of the product was actually made outside the States. The rule referred to the merchandise or its container presenting words such as “Made in U.S.A.,” “Made in America,” “U.S.A.,” or similar words. California's rigid “Made in USA” labeling standard was originally created in 1961 to “prevent foreign firms from taking advantage of ‘buy American' promotions.” After the recent signing of the new bill by Governor Jerry Brown, on Sept. 2, California will now conform with the federal standard used by the other 49 states which states that a product can carry the “Made in USA” label provided the non-U.S. components - all of the articles, units, or parts of the merchandise - do not exceed 10 percent of the product.
The new legislation, which has come after five years of working on this issue, is expected to considerably aid manufacturers of footwear and other products, given the difficulty of sourcing 100 percent of all products domestically in a globalized economy. Several shoe factories are based in the Pacific state, especially in Southern California, with companies such as Calleen Cordero, George Esquivel, Newbark, Anine Bing, Rainbow Sandals and Sbicca. The new legislation will take effect on Jan. 1, 2016.