ComCom action halts car seat sales at PD Mart over safety concerns
The Commerce Commission has issued a ‘Stop Now’ letter to PD Mart (formerly trading as Panda Mart) due to concerns about the safety of car seats sold by the retailer.
The Commission is investigating potentially misleading labelling that may have falsely claimed the products complied with car seat safety standards.
Competition, Fair Trading, and Credit General Manager Vanessa Horne says when safety is at risk, the Commission acts swiftly and decisively to protect consumers using the tools it has available.
“The Commission has zero tolerance for risks to children’s safety. Product safety is one of our enduring priorities under the Fair Trading Act, meaning we will prioritise product safety issues that have the potential to cause serious harm to people, particularly children,” Ms Horne says.
The Commission has an ongoing investigation into PD Mart following safety concerns about multiple products.
“During this investigation, we also identified issues with car seats, which feature labels claiming compliance with recognised safety standards – claims the Commission believes may be false or misleading.
“We consider this likely to be a breach of the Fair Trading Act, and consumers may have been misled into believing the products were compliant with safety standards, when that is likely not the case.
“When making such an important purchase like a car seat for your child, you should be able to trust that any claims made are accurate and truthful,” Ms Horne says.
Initial assessments indicate the car seats do not meet all requirements of the safety standards. Some car seats lacked clear or complete installation instructions – a critical omission that can jeopardise a child’s safety if the seat is not properly installed.
“When critical information regarding installation and use is not provided, the consequences can be serious. Whānau must be provided with the guidance they need to use products safely.
“PD Mart has publicly stated its aim is to offer products at prices up to 30% lower than major competitors. We are particularly concerned that these lower-cost products sold with potential safety concerns may disproportionately affect families with limited financial means, who will be relying on the car seats to keep their children safe,” Ms Horne says.
The Commission’s action has resulted in PD Mart initiating a recall of all the car seats the Commission identified concerns with, and offering a refund to affected consumers.
Recalls (and images of the car seats) are published by the Ministry of Business, Innovation and Employment (MBIE), who have advised that at present a total of 176 car seats units sold are affected across the seven models which have been recalled.
If you own a recalled car seat from PD Mart, please visit MBIE’s websiteopen_in_new for guidance on what steps to take.
The Commission is continuing to investigate the sale of these car seats and how many seats are affected.
Background
PD Mart has stores in Auckland and Christchurch and sells more than 50,000 products.
Previous action by the Commission has led to product recalls to stop the sale of items that could be unsafe, including children’s toys, baby rattles, bikes, and baby walkers sold at PD Mart.
‘Stop Now’ letters
Read our ‘Stop Now’ letter to PD Mart on our case register.
The ‘Stop Now’ letter is a tool that allows the Commission to immediately signal our concerns and request that potentially harmful conduct is stopped while we continue our investigation. It provides early warning to the recipient and an opportunity to change their behaviour. It does not rule out further enforcement action.
Car seat safety
Car seats sold at PD Mart claimed to comply with the European Safety Standard.
For information on the recognised standards in New Zealand, see NZ Transport Agency (NZTA) Waka Kotahi’s fact sheetopen_in_new.