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Moose Knuckles winter jacket company is facing action from the Competition Bureau for alleged ‘deceptive marketing.’
The jackets are sold in a variety of high-end stores across Canada and typically retail for $595 to over $1,000. The company boasts about their Canadian craftsmanship on their website, stating, “From our tradition-steeped factories in Winnipeg, to our expert furriers in Toronto, to our passionate design team in Montreal, everything we do is Canadian to the core.”
The Bureau says this is not the case, with claims that the products are manufactured mostly in Vietnam and other Asian countries.
"Consumers are willing to pay a premium for 'Made in Canada' products, and manufacturers know this. The Bureau has taken action in order to ensure that consumers – and retailers – have the correct information to allow them to make informed purchases,” said Matthew Boswell, Senior Deputy Commissioner of Competition, in a statement.
They filed an application with the Competition Tribunal alleging that the parkas are falsely marketed as Made in Canada.
The application alleges that only the finishing touches to the jackets, such as adding the trim, zippers and snaps, are done in Canada.
The Bureau is calling for an end to misleading 'Made in Canada' representations, an administrative monetary penalty and restitution for consumers.
The Bureau has guidelines for 'Made in Canada' and 'Product of Canada' claims and companies are not likely to raise concerns under the Competition Act if the last substantial transformation of the product occurred in Canada and at least 51 per cent of the total costs of production and manufacturing were incurred in Canada. 'Made in Canada' claims also have to be clearer, such as "Made in Canada with imported parts" or "Made in Canada with domestic and imported parts.”
This could be as specific as "Made in Canada with 60 per cent Canadian content and 40 per cent imported content.”
The company has a celebrity following with people like Joe Jonas and Khloe Kardashian seen on Instagram wearing Moose Knuckle jackets.
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