Study Finds Amazon and Walmart AI Agents Hide U.S.-Made Products

A Columbia Law School study titled “Made in America, Hidden by AI” documented that Walmart’s Sparky and Amazon’s Alexa often misidentify or omit “Made in USA” listings, instead highlighting imported alternatives. The investigators found dozens of mislabeled items and demonstrated that the bots themselves acknowledge the suppression as a strategic business decision, not a technical shortfall. Survey data shows over 80% of U.S. shoppers prefer domestic goods and would buy more if they were easier to find.

Despite this demand, the AI agents create barriers that steer customers toward foreign-origin products. Amazon’s spokesperson disputed the claim of intentional concealment, saying country-of-origin details are displayed when available and that improvements are underway. Walmart did not respond to requests for comment. The report urges regulators and Congress to address the practice, warning that current enforcement has been minimal.