Commerce Commission sues PD Mart for selling non-compliant products

Budget retailer PD Mart faces legal action after the Commerce Commission alleged the company repeatedly sold non-compliant products, including children’s toys and baby walkers. Formerly known as Panda Mart, the discount store operates two 6,000-square-metre locations in the Auckland suburb of Pakuranga and the Christchurch suburb of Belfast, offering 50,000 products at low prices while marketing itself online as a budget Chinese shopping mall.

The commission’s case centres on thousands of low-cost items offered across the retailer’s two physical outlets and its online presence, with the regulator alleging PD Mart offered 57 different non-compliant products.

Safety Allegations and Recalls Across Auckland and Christchurch Stores

Regulatory scrutiny began when commission staff visited the Auckland and Christchurch stores multiple times starting in October 2024. Investigators identified numerous items that failed to meet New Zealand product safety requirements, with the commission noting its concerns did not arise from a single visit or isolated incident.

In September 2025, the commission issued a formal stop-now letter targeting seven models of children’s car seats. The commission alleged that PD Mart misrepresented those car seats as complying with an international safety standard when they did not.

Commerce Commission Demands Better Systems and Training

Commerce Commission general manager of competition and fair trading Rebecca McAtamney stated that consumers should not have to compromise on safety when purchasing affordable goods. Regardless of what something costs or what shop you buy it from, businesses must comply with the New Zealand product safety requirements that apply to the goods they sell, she said, adding that selling products that don’t meet those standards puts New Zealand consumers, particularly young children, at risk.

The regulator alleged that PD Mart lacked adequate internal systems, policies, and staff training to ensure legal compliance, while McAtamney noted that it was the scale and recurring nature of the issues we identified that are a serious concern for the commission. The commission also accused the retailer of misleading consumers regarding their statutory return rights under the Consumer Guarantees Act.

PD Mart Signed Undertakings Before Current Legal Action

The legal action follows previous compliance measures initiated by the regulator. In 2026, PD Mart signed court-enforceable undertakings agreeing to withdraw specific non-compliant merchandise and halting sales in flagged product categories for at least six months. The Press reported that PD Mart declined to comment on the court action, while the commission stated it would not offer further interviews while the case remains before the court.