Walmart (WMT) and Amazon.com (AMZN) are allowing deceptive "Made in USA" claims to remain on their shopping platforms, according to a Columbia Law School report.

The 46-page report said both companies' AI shopping chatbots can detect mismatches between "Made in USA" labels and product details and can research whether origin claims are credible.

Despite these capabilities, the report said the companies do not consistently use them to flag or remove misleading claims.

"The concern is not only that a shopper can't trust a 'Made in USA' label but also that a shopper has no way to know whether they are seeing the platform's best answer or its most profitable one," the report said.

Walmart and Amazon.com didn't immediately reply to requests for comment from MT Newswires.

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