I have been told that the word "domestic" meant cotton cloth of some sort.

Somewhere I have an note from Howie that discusses imported wool bunting being used by the US Navy in the ante-bellum era and I would assume the US Army. From what I know, the phrase "English Bunting" comes from them pretty much inventing the cloth and having it at loft standards of grade before it can ever carry that name for sale.

The wool taken at the Gosport Navy yard by the Confederates was imported wool bunting. Each of the navy yards took care of the ships that ported with them and this included flags. Each yard probably ordered their wool bunting separately.

Greg Biggs