The General Services Administration caught a federal jobs program selling China-made tech to the government under fake “Made in USA” labels — and GSA Administrator Edward Forst just ordered a sweeping audit of all 18,000 products on the program’s list.
The U.S. AbilityOne Commission — which runs a federal purchasing program meant to employ blind and disabled Americans — allegedly listed foreign-made products as American, including technology manufactured in China. GSA found multiple examples of AbilityOne tech products labeled “Country of Origin: USA” on federal procurement platforms that are actually from China.
“FEDERAL TAX DOLLARS SPENT ON THE ABILITYONE PROGRAM SHOULD SUPPORT JOBS FOR BLIND AND DISABLED AMERICANS, NOT FOREIGN COMPETITORS.”
Forst’s draft letter to AbilityOne Commission Chair Christina Brandt demands the commission verify the country of origin of every product on its Mandatory Procurement List and conduct a comprehensive audit of products, pricing, sourcing, and compliance with federal law.
Federal agencies are generally required to buy products placed on AbilityOne’s mandatory list from participating nonprofit organizations. The fake labeling means taxpayer dollars meant to help disabled American workers went to Chinese manufacturers instead.
“Many of AbilityOne’s product offerings raise serious national security concerns and cast doubt on its ability to carry out its mission,” Forst said in a statement. “GSA will not allow questionable products to undermine the security of the federal marketplace.”
The audit follows President Trump’s March 2026 executive order requiring truthful “Made in America” advertising across federal procurement. Vice President JD Vance’s anti-fraud task force is also watching the case.
GSA gave AbilityOne until Nov. 12 to respond with corrected country-of-origin information for products offered through the Federal Acquisition Service Verified Product Portal, address products with unclear origin designations, and explain how it will conduct ongoing reviews.
The letter goes beyond mislabeling. GSA alleges AbilityOne-affiliated nonprofits sell products to the government with markups as high as 55% while nonprofit executives pull in compensation reaching more than $1 million annually. Meanwhile, blind workers in the program earn an average of $33,000 a year, according to National Industries for the Blind data.
“GSA SAID ABILITITYONE-AFFILIATED NONPROFITS CAN SELL PRODUCTS TO THE GOVERNMENT WITH MARKUPS OF AS MUCH AS 55%, DEPENDING ON PRICING ARRANGEMENTS. THE AGENCY ALLEGED THAT SOME PRODUCTS PROVIDE ‘LIMITED OR NO MEANINGFUL EMPLOYMENT OR VALUE ADDED TO THE TAXPAYER’ WHILE NONPROFIT EXECUTIVES RECEIVE COMPENSATION REACHING MORE THAN $1 MILLION ANNUALLY.”
GSA also pointed to past fraud cases involving AbilityOne nonprofits. Industries for the Blind and Visually Impaired, a Wisconsin nonprofit, agreed to pay $1.9 million in 2020 to resolve federal allegations involving false claims and kickbacks on government contracts. Connecticut-based CW Resources paid $600,000 in 2021 to resolve allegations that it falsely certified compliance with AbilityOne labor requirements.
The National Council on Disability called AbilityOne a “policy relic” that is “failing” in its mission — another example of government waste, fraud, and abuse being rooted out by the Trump administration’s anti-fraud task force led by Vance.
“For years, NCD has reported that AbilityOne is a policy relic that hasn’t kept up with the needs of Americans with disabilities,” NCD Acting Chair Neil Romano said Friday. “This is just another example of that overall failing.”
GSA is also scrutinizing an AbilityOne policy called “Essentially the Same,” which allows certain products to be substituted for items already approved for the mandatory list. According to the draft letter, foreign-made goods have quietly displaced American products through that process, undercutting domestic manufacturers while continuing to benefit from preferential federal purchasing rules.
Forst’s letter concluded with a directive: “To ensure we apply the same rules to the AbilityOne Program, I’m instructing my Senior Procurement Executive to promptly take appropriate action to eliminate the exception that permits the Commission to offer items originating in China and other non-allied nations.”
AbilityOne has not yet responded to Fox News Digital’s request for comment.
