You’ve placed your order for knit hats, added your brand’s woven label, and now your forwarder asks—should that label be included in the customs value?
Yes, woven labels can affect the customs value of knit hats if they are branded, sewn-in, and intended for retail display. Generic or compliance-only labels are typically excluded.
At AceAccessory, we help our U.S. and EU buyers correctly classify hats, label products to meet legal requirements, and avoid overpaying customs duties due to labeling misunderstandings. In this article, we’ll cover what customs cares about, what the FTC requires, and what’s truly optional.
What are the rules for textile labeling?
Labeling rules go beyond style—they’re legally enforced, especially for international trade.
Textile labeling must include fiber content, country of origin, and manufacturer identification. These labels must be permanent, accurate, and readable in English.
Why is proper labeling important for knit hats?
Most countries—including the U.S.—have specific textile labeling laws to protect consumers and ensure product transparency. Knit hats fall under these rules if they’re made from fibers like acrylic, polyester, cotton, or wool.
Here’s what must be included:
- Fiber content: e.g., 100% Acrylic
- Country of origin: e.g., Made in China
- Manufacturer or RN number: For U.S. entry
- Label durability: Must withstand normal washing and wear
| Required by Law | Label Location Recommendation |
|---|---|
| Fiber composition | Sewn into interior seam or crown |
| Origin statement | Adjacent to fiber or standalone tag |
| RN or Importer ID | On same or secondary label |
We typically use folded woven labels, stitched inside the seam, with bilingual printing for clients selling in multiple markets. These help hats meet customs and retail compliance at the same time.
What are the FTC textile labeling rules?
For hats imported into the U.S., labeling rules are enforced by the Federal Trade Commission (FTC).
The FTC requires that textile products sold in the U.S. display accurate, durable labels identifying fiber content, origin, and responsible party (manufacturer or importer).
What are the main FTC labeling requirements for knit hats?
Here’s a breakdown of what your U.S.-bound hats must have:
| Label Element | Mandatory? | Example |
|---|---|---|
| Fiber content | Yes | "100% Acrylic" or “80% Cotton, 20% Nylon” |
| Country of origin | Yes | "Made in China" |
| RN or company name | Yes | "RN123456" or "Imported by XYZ LLC" |
| English language | Yes | All key info must be in English |
| Permanently affixed | Yes | Stitched or heat-sealed |
FTC labeling rules apply at point of sale, meaning the label must still be there when the customer buys the hat. If you remove or cover the labels for display, you may be out of compliance.
We also provide RN number application guidance for our U.S. buyers. If you don’t have one, you can use ours if we’re the declared manufacturer.
What information is voluntary on garment labels?
Not everything needs to be on a label. Some elements are helpful but not mandatory.
Voluntary information includes branding, logos, sizes, QR codes, slogans, or care symbols—as long as they are truthful and don’t conflict with required disclosures.
What can you include on your knit hat label that’s optional?
Many of our clients want to enhance their brand visibility. Here’s what’s commonly added:
| Voluntary Detail | Purpose | Note |
|---|---|---|
| Brand logo | Branding | Doesn’t affect customs value unless part of price |
| Tagline/slogan | Marketing | Must not mislead |
| Website URL | Customer engagement | Fine if factual |
| Wash care symbols | Customer-friendly guidance | Not required in U.S., required in EU |
| Sizing (e.g., OSFM) | Retail clarity | Optional in most markets |
| QR code or social link | Digital engagement | Increasingly popular |
What matters most to customs is whether the label:
- Adds retail or branding value
- Is included in the price paid or payable
- Is sewn or glued into the product vs. detachable packaging
We help you separate branded and non-branded labels in invoice declarations—so you don’t pay tariffs on something that doesn’t need to be taxed.
What does "exclusive of elastic" mean?
You’ve probably seen the phrase on tags. But what exactly does it mean—and is it required?
“Exclusive of elastic” means that the fiber content declared on the label does not include minor components like elastic threads, bands, or trims.
When should this phrase be used on hat labels?
Knit hats often contain small amounts of elastic for a better fit—especially around the brim. If that elastic is:
- 5% or less of the total weight, and
- Used only for function (not decoration)
Then the FTC allows you to list fiber content like this:
“100% Acrylic (exclusive of elastic)”
This avoids having to say:
“95% Acrylic, 5% Spandex”, even if that 5% is in a narrow band.
Here’s when the phrase is useful:
| Use of Elastic | Label Example | Allowed Use of Phrase? |
|---|---|---|
| Small stretch band | “100% Polyester (exclusive of elastic)” | Yes |
| Decorative elastic | “98% Acrylic, 2% Spandex” | Better to list composition |
| Main fabric contains spandex | “85% Acrylic, 15% Spandex” | Must list full breakdown |
At AceAccessory, we weigh and verify each production batch. If elastic is minor, we label using the “exclusive of” format—saving label space while staying legal.
Conclusion
Woven labels matter—but only when they affect product value or compliance. For knit hats, labeling must meet FTC requirements, but branding elements like logos or elastic notes are often optional. At AceAccessory, we label every hat legally, pack them properly, and guide our clients through customs valuation—so nothing gets delayed or overcharged.
