China: Shenzhen Municipal Market Supervision Bureau fined Shenzhen Xiaoe Network Technology RMB 360'000 for failure to verify qualifications of sellers and prevent false advertising

On 28 November 2025, the State Administration for Market Regulation announced that the Shenzhen Municipal Market Supervision Bureau fined Shenzhen Xiaoe Network Technology RMB 360'000 for failure to verify the qualifications of sellers and prevent false advertising. The company operates the "Xiaoe Tong" app, on which several users engaged in false advertising of food products. While the company had established a content management system, the system was not updated to include terms targeting false advertising of health and food products prior to 30 June 2025. The company also failed to verify the qualifications of its platform users.