HR5226-119

What This Bill Does

The Deceptive Downsizing Prohibition Act addresses shrinkflation-style packaging. Congress finds that manufacturers reduce consumer-product size while using packaging designed for the same or similar larger product, that consumers often do not notice the size change until after purchase, and that clear front-panel notice is needed. The bill defines deceptive downsizing as selling a reduced-size consumer product in the same or substantially similar packaging used for a larger prior version of the same or similar product. A manufacturer may not engage in deceptive downsizing. A manufacturer avoids liability only if it provides conspicuous, clear, easy-to-understand notice on the principal display panel stating both the larger size and the reduced size. FTC may issue implementing regulations under the Administrative Procedure Act, and violations are treated like FTC Act unfair or deceptive acts or practices with the Commission's ordinary jurisdiction, powers, penalties, privileges, and immunities preserved.

Who Benefits and How

Consumers benefit because reduced product sizes must be clearly disclosed on the principal display panel instead of hidden in ordinary net-weight text. Consumer protection advocates benefit because shrinkflation packaging becomes enforceable as an unfair or deceptive practice. Retail shoppers comparing prices benefit from clear larger-size and reduced-size notices. FTC enforcement staff benefit from explicit statutory authority to police deceptive downsizing.

Who Bears the Burden and How

Consumer product manufacturers must redesign packaging or principal display panel notices when selling reduced-size products in similar packaging. Food manufacturers face compliance risk when package size stays visually similar while product quantity falls. FTC rulemaking staff must issue any needed regulations and enforce violations under FTC Act procedures. Packaging designers must create conspicuous, clear, easy-to-understand reduced-size notices that state both old and new sizes.

Key Provisions

• Prohibits deceptive downsizing by consumer-product manufacturers.
• Provides a liability safe path only when principal display panel notice clearly states the larger and reduced sizes.
• Defines reduced size by volume, size, mass, weight, or quantity compared with a prior version.
• Authorizes FTC implementing regulations and FTC Act enforcement.