Let's be real since you want the law to read your way, as compared to how it's worded and understood.
First: IF one took a flag, then created a t-shirt from said flag ...your post would be spot on.
Second: IF one took a t-shirt then created/replicated the pattern/design of the US flag into the material....your post is 100% wrong.
The law references the flag......hence you would first need a flag THEN use it as clothing. The law says nothing about using a t-shirt that has the appearance/design of the flag as part of it's material.
I am not attempting to get the law to read my way. You do, indeed, make a good point that if one were to fabricate an article of clothing that "created/replicated the pattern/design of the US flag into the material," that would not be illegal.
That doesn't mean that I like it. It would not be illegal.
In the photograph that I criticized it doesn't appear that she is wearing an article of clothing patterned after the US flag.
It certainly looks like a flag that has arm holes cut into it and draped across her body.
So I stand by my earlier statement.