The Federal Trade Commission (FTC) has ordered nine major retailers to release detailed company information as part of an investigation into ongoing supply chain issues that are disrupting the U.S. economy, Nextgov reported Tuesday.
"Supply chain disruptions are upending the provision and delivery of a wide array of goods, ranging from computer chips and medicines to meat and lumber," FTC Chair Lina Khan said in a press release. "The FTC has a long history of pursuing market studies to deepen our understanding of economic conditions and business conduct, and we should continue to make nimble and timely use of these information-gathering tools and authorities."
The information request to the retailers — including Amazon, Walmart, Kroger, and Procter & Gamble — was ordered through Section 6(b) of the FTC Act, which provides the government agency investigative authority over registered U.S. businesses. Each company has 45 days to respond to the FTC.
The probe comes as economists have placed a large part of the blame on supply chain issues for the demand-supply imbalances that have triggered inflation to rise at its fastest rate in decades last month, ABC News reported.
The FTC said the investigation will also try to determine if supply chain disruptions are leading to bottlenecks in specific areas, shortages, anticompetitive practices, or contributing to the rising prices of consumer goods.
The type of internal documents related to the supply chain disruptions the FTC is seeking includes strategies related to supply chains, costs, profit margins, and sales volumes, according to ABC News.
Despite the alarming headlines connected to the global supply chain and the difficulties major retailers have had in finding staff, many large American retailers have reported they are still managing to find solutions in order to bring products to store shelves in time for holiday shopping season.
Brian Freeman ✉
Brian Freeman, a Newsmax writer based in Israel, has more than three decades writing and editing about culture and politics for newspapers, online and television.
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