GSA Uncovers China-Made Tech Mislabeled as "Made in USA" in Federal Disability Employment Program

A federal audit has found technology products sold to U.S. government agencies through a program meant to employ blind and disabled Americans were falsely marked as American-made, even though they were manufactured in China. The General Services Administration has ordered the U.S. AbilityOne Commission to review roughly 18,000 items on its mandatory purchasing list and report back by mid-November. The case has drawn attention from Vice President JD Vance's anti-fraud task force and adds to growing scrutiny of Chinese-origin goods inside federal supply chains.

Aug 15, 2026 - 09:56
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GSA Uncovers China-Made Tech Mislabeled as "Made in USA" in Federal Disability Employment Program

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A Program Meant to Help Disabled Workers

The AbilityOne program was created to give people who are blind or have significant disabilities steady jobs. Federal law generally requires government agencies to buy certain products from nonprofits that participate in the program, rather than shopping on the open market.

That system now faces a credibility problem. The General Services Administration (GSA), the agency that runs much of the government's procurement, says it found technology products on federal purchasing platforms labeled "Country of Origin: USA" that were actually made in China.

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GSA Demands a Full Audit

In a draft letter to AbilityOne Commission Chair Christina Brandt, GSA Administrator Edward Forst ordered the commission to verify the country of origin for every one of the roughly 18,000 items on its Mandatory Procurement List. He also demanded a broader audit covering pricing, sourcing and legal compliance across the program.

"Federal tax dollars spent on the AbilityOne program should support jobs for blind and disabled Americans, not foreign competitors," Forst said in a statement, according to Fox News, which first obtained the letter. He added that several of the program's offerings "raise serious national security concerns" about its ability to fulfil its mission.

The commission has until November 12 to respond, correct mislabeled listings, and explain how it plans to prevent similar problems going forward, independent outlet Just The News reported, noting the review follows directly from two Trump administration executive orders on truthful "Made in America" claims and on rooting out federal fraud.

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Part of a Broader Trump Push on "Made in America" Claims

The audit builds on an executive order President Trump signed on March 13, 2026, titled "Ensuring Truthful Advertising of Products Claiming to be Made in America." The order, published in the Federal Register as Executive Order 14392, directs the Federal Trade Commission to prioritize enforcement against false American-origin claims and asks agencies overseeing large government contracts to periodically review compliance.

Legal analysts who tracked the order at the time noted it did not change existing labeling standards, but signaled that scrutiny would extend beyond manufacturers to retailers, marketplaces and, as this case shows, federal procurement channels themselves.

The AbilityOne review also connects to a separate Trump order creating a task force to eliminate government fraud, an effort Vice President JD Vance has taken a personal interest in.

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Questions Beyond Country of Origin

GSA's letter raises concerns that go further than mislabeling. According to the letter, nonprofits selling through AbilityOne can mark up products by as much as 55 percent, while some items reportedly provide little real employment benefit to disabled workers. The agency contrasted that with an average annual salary of about $33,000 for blind workers in the program, citing National Industries for the Blind figures, while some nonprofit executives reportedly earn between $500,000 and more than $1 million a year.

GSA also cited two earlier False Claims Act settlements involving AbilityOne-affiliated nonprofits: a $1.9 million settlement by a Wisconsin nonprofit in 2020 over false claims and kickback allegations, and a $600,000 settlement by a Connecticut nonprofit in 2021 over falsely certified labor compliance. Those cases predate the current country-of-origin findings but add to the pattern of oversight concerns GSA is now citing.

A GSA policy called "Essentially the Same," which lets certain substitute products join the mandatory list without full review, has reportedly allowed foreign-made goods to quietly replace American products while still benefiting from preferential government purchasing rules.

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Independent Watchdog Shares the Concern

The National Council on Disability (NCD), a federal advisory body independent of AbilityOne, has separately criticized the program for years. NCD Acting Chair Neil Romano called AbilityOne a "policy relic" that has failed to keep pace with the needs of Americans with disabilities, and said the new findings are "another example of that overall failing."

AbilityOne has not yet publicly responded to the specific allegations in GSA's letter.

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Outlook

With a November 12 deadline now set, the coming months will show whether AbilityOne can clean up its product listings and satisfy GSA's demands, or whether the dispute escalates into a wider fight over the program's future. Given the administration's broader campaign against Chinese-linked goods in federal supply chains and against waste in government contracting, this case is likely to be one of several similar reviews across federal agencies in the months ahead.


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Sources

  1. Just The News – "GSA to crack down on Chinese products slipping into America-made only supply chain" – https://justthenews.com/government/federal-agencies/gsa-asks-abilityone-verify-origin-products-it-sells-government-over
  2. Federal Register / White House, Executive Order 14392 (govinfo.gov, Administration of Donald J. Trump, 2026) – https://www.govinfo.gov/content/pkg/DCPD-202600172/pdf/DCPD-202600172.pdf
  3. Wiley Law – "President Trump's 'Made in America' Executive Order Seeks to Enforce Accuracy of U.S.-Origin Claims" – https://www.wiley.law/alert-President-Trumps-Made-in-America-Executive-Order-Seeks-to-Enforce-Accuracy-of-US-Origin-Claims
  4. Holland & Knight – "Executive Order Signals Heightened Enforcement of 'Made in USA' Advertising Claims" – https://www.hklaw.com/en/insights/publications/2026/03/executive-order-signals-heightened-enforcement-of-made-in-us

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