Deceptive Downsizing Prohibition Act of 2025

The Deceptive Downsizing Prohibition Act of 2025 aims to address "shrinkflation," where manufacturers reduce the quantity or weight of a product while keeping the packaging and price nearly identical. The bill would make it unlawful for companies to sell downsized products in packaging that resembles the original, larger version unless they provide a clear and conspicuous notice to the consumer. This notice would be required to explicitly state both the previous and the new, reduced size of the product on the front of the package.

If enacted, the Federal Trade Commission (FTC) would be responsible for creating and enforcing regulations to ensure companies comply with these transparency requirements. The bill includes a "safe harbor" provision, meaning companies would not be penalized if they proactively and clearly label the size reduction. Violations would be treated as unfair or deceptive acts, potentially subjecting manufacturers to federal penalties.

For everyday citizens, this legislation is intended to prevent hidden price increases at the grocery store and retail outlets. By requiring manufacturers to highlight when a product has been reduced in size, the bill proposes to help shoppers make more informed decisions and protect their purchasing power during periods of inflation.