The “stickers” of the “sticker industry” are on the way out.
In a letter sent to the head of a California bike manufacturer, the Federal Trade Commission says it will hold a public hearing to examine the viability of the industry.
Bike manufacturers say they have been forced to cut costs and shift production to Asia because of the lack of safety regulations in the U.S. The industry argues that the regulations were put in place by the Obama administration to help protect consumers.
In its letter to California’s two largest manufacturers, the FTC said it has not been able to determine whether the companies’ manufacturing operations are compliant with the rules.
The letter says the companies have not provided sufficient information about their compliance and will be required to comply with the order if they do not do so by May.
“We are committed to enforcing our laws and protecting consumers and workers, and we expect the companies that make the products we use to protect us,” said FTC Chairwoman Edith Ramirez.
The FTC is also expected to announce a new enforcement action on June 1.
