The phrase "Made in Germany" has become associated with quality craftsmanship. You may see it printed on your latest pair of kitchen knives or under the hood of your car.

While the "Made in Germany" logo appears on a wide range of products, many people do not know the history behind the phrase or the real meaning behind it. Here is a closer look.

When Was "Made in Germany" Introduced?

Foreign companies would tout that their products came from Germany when produced abroad. The "Made in Germany" seal, introduced in 1887, prevented foreign manufacturers from claiming that their products came from Germany when they did not.

The label directly responded to the "Merchandise Marks Act 1887," an Act introduced by the UK Parliament. At the time, Britain was the leading producer of goods across Europe. The popularity of British goods led many manufacturers outside of the country to claim that their products were British-made.

The Merchandise Act protected British businesses, initially designed to stigmatize products produced in Germany; however, the Merchandise Act backfired. Germany was already the world leader in mechanical engineering and the production of cutlery. Due to the superior quality of German-made goods, the "Made in Germany" label quickly became an indicator of high-quality products.

German-Made Goods Gain Worldwide Recognition

Germany joined other countries in 1922 in agreeing to the terms of the Madrid Agreement. The "Madrid Agreement Concerning the International Registration of Marks" was officially developed in 1891, with 55 member countries.

The Madrid Agreement allowed organizations to register trademarks in multiple jurisdictions around the globe. The agreement, updated in 1989 by the "Protocol Relating to the Madrid Agreement," is now recognized by 120 different countries.

Under the protocol, organizations can obtain international trademark registrations based on pending applications. It helps protect entities against fraud and trademark theft in other countries by simplifying gaining international trademarks.

Court Rulings Help Define the Designation of Origin Label

The label was initially introduced to protect manufacturers but is not controlled or regulated by a central body; however, the status of the "Made in Germany" seal has been evaluated by the courts several times over the years.

In 1973, a German federal court ruled that the phrase did not allow consumers to distinguish whether the product was made in West Germany or East Germany. Until 1990 and the reunification of Germany, each side used separate designations. While this ruling's details no longer apply, it introduced the requirement that the title indicates the country of origin.

In 1995, the Oberlandesgericht, a high court in Germany, ruled that the phrase can be misleading. The courts ruled that the phrase may violate the German Fair Trades Act if the largest part of the product is not produced in the country.

The 1995 ruling helped solidify the phrase's meaning, ensuring that only German companies benefited from the designation. Companies that relied on foreign materials or parts for the most extensive product components could no longer use the seal. Products that are assembled in Germany using foreign parts may still contain the designation. However, all significant manufacturing processes, such as assembly, must be completed in Germany.

Requirements for Using the "Made in Germany" Seal

As there is no regulatory body that controls the phrase, it does not include any specific standards or practices. However, there are particular manufacturing requirements related to the previous court rulings.

Germany's high courts ruled that only products that are assembled in Germany using primarily German-made parts qualify to use the designation. If the most considerable amount is sourced from another country, the product cannot feature the designation. This aligns with the legal requirements outlined by the European Union (EU).

According to the EU, companies may only use the country of origin designation when the country's last substantial processing steps take place. This allows most of the materials needed for the product to be produced abroad.

For the past decade, EU commissioners have attempted to introduce legislation to restrict the use of the designation. For example, in 2012, an EU commissioner proposed that products contain at least 45% of domestic materials. This would prevent some manufacturers in Germany from using the label.

Lobbyists in Germany have helped prevent the EU from restricting the definition of country of origin designations. Germany is the leading exporter of goods in the EU and does not want to jeopardize its worldwide reputation for manufacturing and engineering excellence.

The manufacturing requirements remain simple – the largest part of the product needs to be assembled or produced in Germany to contain the designation. All major manufacturing processes must also be completed in the country.

What Does "Made in Germany" Mean for Consumers?

Over 130 years after introducing the "Made in Germany" seal, it remains the world's highest-ranked designation of origin label.

According to a survey completed by over 43,000 consumers from 52 countries, German-made products are considered more reliable than products made in the UK, Sweden, Italy, Japan, Canada, France, and the USA. Consumers across the globe recognize the seal as

an indicator of the following:

● Quality craftsmanship

● Compliance with safety standards

● Authenticity

Quality craftsmanship is the first characteristic that people associate with German goods. German products are often considered the most reliable option, from dishwashers and kitchen knives to automobiles and electronics. German manufacturers are known for their precision and strict quality control measures.

While the seal does not require companies to adhere to specific standards, many consumers associate it with safety. For decades, German car manufacturers were the leaders in car safety measures. Vehicles produced by German manufacturers frequently received the highest safety awards.

The seal also designates authenticity. When consumers see the logo, they know that they are buying a genuinely made product in Germany.

In the end, the "Made in Germany" phrase is one of the most significant indicators of quality. It was created to protect manufacturers from claiming that their products were made in other countries. It now acts as a symbol of precision and durability.

Where does the Phrase, "Made in Germany" Come From?