Shinola Keeps “Built in Detroit,” Adds Thailand to Its Watch-Parts Disclosure

Detroit watchmaker Shinola said it would keep its “Built in Detroit” tagline but changed its website disclosure about where watch parts come from, the Detroit Free Press reported on Dec. 16, 2015. The company added that about one-third of its watch movement components came from Thailand, not only Switzerland.

The FTC question

In November the FTC closed an inquiry into Kansas City watchmaker Niall after it qualified its “USA Made” claims to disclose Swiss movements (our coverage). An FTC spokeswoman told the Free Press on Dec. 1 that a “Built in Detroit” claim could be treated as a Made in USA claim, which requires a product to be “all or virtually all” made in the USA. The FTC said it does not comment on particular companies.

Where Shinola’s parts came from

• Its quartz movement parts came from Ronda AG, a Swiss company with factories in Switzerland and Bangkok, Thailand.
• Dials, hands, crystals and buckles were made in China, according to Shinola’s website.
• Only the leather and rubber straps were made in the USA.

Shinola’s position

“This is building. For us, it’s not assembling,” Shinola President Jacques Panis said during a tour of the Detroit factory. Earlier the company said in a statement that “Built in Detroit” accurately described its work and that its mission was to be “a job creation vehicle as opposed to a company whose mission is about the technical fine points that are necessary in describing our products as ‘Made in America.’” Founder Tom Kartsotis told Marketplace the slogan was “the closest representation” of what the company does.

The matter came back in June 2016, when the FTC closed a review after Shinola dropped its “Where American is Made” slogan (see our June 2016 coverage).