H&M Fined For Misleading Customers In China
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- The Swedish multinational was ordered to pay over US$40,000 over adverts that claimed certain products were only available in China
- The company came under fire earlier this year after it said it did not use cotton from Xinjiang
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The Swedish multinational clothing retailer H&M has been fined 260,000 yuan (US$40,200) in China for “misleading customers” in its advertisements.
AdvertisementThe market regulation administration in Shanghai said the company had deceived customers with advertisements that claimed some products were only available in China, according to a decision published on August 23.
The authorities said they started the investigation in February after receiving six reports last December.
They also confiscated 30,000 yuan in what was described as illegal income from selling substandard products.
The regulator ordered the company to stop publishing the illegal advertisements, and producing and selling products that do not meet quality standards.
AdvertisementH&M’s office in China and its headquarters in Sweden have been asked for comment.
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