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Regulators probe false claims on 'imported' goods

By YANG ZEKUN | China Daily | Updated: 2026-04-03 09:47
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Chinese authorities have launched a joint investigation into the operator of the health supplement brand YouthIt after media reports raised concerns over allegations related to false claims about product origin and misleading advertising.

The State Council's food safety office, the State Administration for Market Regulation, and the General Administration of Customs said they had instructed local regulators and customs authorities to verify the facts and crack down on illegal activities. The move follows reports alleging that some cross-border e-commerce products sold under the "imported" YouthIt brand involved false origin labeling and deceptive promotion.

According to the China Media Group, the brand's lutein supplements, marketed as Australian products, rank among the top imported lutein products on several e-commerce platforms. Some were shipped from bonded warehouses in Guangzhou, Guangdong province, and labeled as being made in Australia. The brand's full lutein line has reportedly sold more than 4 million bottles across the country.

The case drew wider attention after consumers questioned whether the products were genuinely imported. One consumer said an iron supplement purchased under the brand turned out to be domestically made. A product traceability screenshot shared online identified the manufacturer as a Chinese company based in Anhui province. The platform later responded that while the brand was Australian, the product itself was made in China.

Reports also raised doubts about the brand's claimed Australian origin. One product carried an English-only label naming "Australia Yarra Vibe Health Group" and listing an address in Melbourne. Reporters found the address corresponded to an auto repair shop in Melbourne and not a health supplement facility.

YouthIt's official website lists a company in Guangzhou as its operator in China.

Market regulators in Guangzhou have opened a case after finding suspected illegal advertising on the company's online stores. During an on-site inspection, enforcement officers found the company employed more than 100 employees, operated a livestreaming studio and stored large quantities of related products in its warehouse. Officials collected evidence, reviewed documents related to product sources and conducted spot checks.

Authorities said the company's online stores were suspected of publishing illegal advertisements and that a formal investigation had been launched. Customs officers and police have also examined some of the company's import and export documents and business activities.

The reports cited a representative of a Hangzhou marketing planning company as saying the brand and products were essentially from Guangzhou but packaged as Australian. The strategy reportedly included using overseas experts and international awards to boost both product and brand credibility.

In Hangzhou, market regulators have launched a parallel investigation into the marketing firm, obtaining materials related to its services and fund transfers and questioning relevant personnel. Investigations have also been opened into two other companies over suspected advertising violations.

Several celebrities and livestreamers on major e-commerce platforms had promoted the products. After the reports emerged, a number of them reportedly issued public apologies and promised refunds.

Zhang Xin, a law professor at the University of International Business and Economics, said such cases typically involve false labeling and false advertising. Under Chinese law, imported prepackaged food must carry standardized Chinese labels and instructions, clearly stating the true place of origin as well as the name, address and contact details of the domestic agent.

Zhang said current rules define how a product's country or region of origin should be determined, making origin a legally verifiable labeling item rather than a marketing claim. Merchants found to have engaged in false promotion may face administrative penalties, civil liability and, in serious cases, criminal punishment.

She added that e-commerce platforms should establish full-chain compliance systems covering qualification checks, monitoring, risk screening and rapid response, tailored to food safety risks.

From a regulatory perspective, Zhang said curbing fake imported health supplements requires strict enforcement of existing laws through coordinated oversight among customs, market regulators and other authorities, along with tighter scrutiny of platform responsibilities in merchant verification and risk control.

She advised consumers to protect themselves by verifying product categories, requesting registration or filing documents, preserving evidence such as product pages and receipts, and reporting suspected violations to platforms or regulators.

The State Council's food safety office, the State Administration for Market Regulation and the General Administration of Customs called in operators of e-commerce services providers Douyin, Alibaba's Taobao and Tmall, and Xiaohongshu following the report by the China Media Group that raised concerns about the promotion of the imported YouthIt brand.

Regulators told the companies to strictly comply with laws including the Anti-Unfair Competition Law, the Consumer Rights Protection Law and the Food Safety Law, and to fulfill their responsibilities as platform operators.

They were also instructed to strengthen vetting of cross-border e-commerce merchants, tighten management of products sold on their platforms, step up efforts to curb harmful or misleading information, and improve channels for consumer inquiries, complaints and reports.

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