The American Apparel & Footwear Association has asked the U.S. Trade Representative to place Meta's Facebook and Instagram on the 2026 Review of Notorious Markets for Counterfeiting and Piracy. In comments submitted on October 8, the trade group also flagged Alibaba.com, Ali Express, and DHgate, but its sharpest criticism was aimed at Meta's handling of fraudulent advertising.
According to the AAFA, the scale and persistence of ads that impersonate its member brands is the biggest problem across Meta's platforms. The group said Meta only bans advertisers when it is 95% certain they are committing fraud; for ads that are merely likely to be illicit, the company's main response is to charge higher advertising rates.
The USTR's Notorious Markets list is an annual review that identifies online and physical markets reported to engage in substantial counterfeiting or piracy. The AAFA's comments are part of that process, and the outcome could shape how U.S. trade officials pressure foreign platforms to police fraudulent content.