CPSC Issues Guidance on Label Tracking Requirements

TRADE ALERT

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CPSC Issues Guidance on L= abel Tracking Requirements

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(July 27, 2009)

The Consumer Product Safety Commission (CPSC) recently issued guidance on the tracking label requirements that are scheduled to go into effect on August 14, 2009. The law will require that companies have certain information permanently attach= ed to products and packaging to enable manufacturers and consumers to quickly identify products that may be a safety concern or are part of a recall.   CPSC states that the purpose = of the tracking label is to establish a way for identifying sources of children’s products to improve the safety of the products and assist = in recalls.

Section 103 of the Consumer Product Safety Improvement= Act of 2008 requires markings on children’s products that allow the manufacturer to determine the location and date of production, batch or run number, or other identifying characteristics that allow the manufacture to determine the source of the products. The markings also allow the ultimate purchaser to easily find the manufacturer or private labeler, location and date of production, and the b= atch or run number.

Below is a summary of some of the key points:

·         Applies to all goods that are manufactured o= n or after August 14, 2009. It doe= s not apply to products produced prior to August 14, 2009.

·         All children’s products and their packaging are required to comply.

·         The manufacturer of the product is responsib= le for compliance with this requirement. 15 USC 2052(a) definition of manufacturer includes the manufacturer = and the importer, so importers must work with foreign manufacturers to ensure compliance.

·         “Permanently marked” is consider= ed to be a mark that will remain on the product during the useful life of the merchandise. The markings on = the packaging must last long enough to reach the end consumer. If the markings on the product are visible through the packaging, then the packaging does not need to be marked.

·         CPSC has not released a specific format that must be followed, it is expected that companies will use their best judgmen= t to develop the markings for the specific product. The information does not necessari= ly have to be in one single location. Multiple locations or permanent labels can be used as long as they a= re visible, legible, and contain all the required information.

·         If the product is sold as a set or in pairs, such as socks or toy blocks, only one item of the set or integral part of t= he set needs to be marked.

·         The location (country, city, and state or administrative region), date of production, and cohort information (batch number, run number, or identifying characteristics) must be marked or ascertainable.

·         The commission expects that in most instances the packaging and products will be marked.= However, they recognize there may be instances where that is not feasible. Such as, if a produ= ct is too small to be marked or the mark would weaken or impair its utility.

·         The CPSC will require compliance with this requirement in the context of recalls and will exercise discretion with reg= ards to penalties for noncompliance.

For full details on the Consumer Product Safety Improv= ement Act of 2008 please see:

http://www.cpsc.gov/about/cpsia/cpsia.html

For a frequently asked questions section on label trac= king please see:

http://www.cpsc.gov/about/cpsia/sect103.html#103q8

To determine if your products fall under the new requirements, please seek legal counsel or speak to a trade consultant.

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About Deringer

A.N. Deringer,= Inc. is a leading provider of international logistics services including Freight Forwarding, Warehousing & Distribution, Customs Brokerage, Logistics Consulting, Cargo Insurance, Duty Drawback, and Meat Inspection. Deringer combines over 30 US offices with a global agency network to facilitate the movement of cargo throughout the world.