Consumer Affairs Victoria Launches Bid to Shut Down Panda Mart Stores

Consumer Affairs Victoria (CAV) has launched legal action seeking to shut down two Panda Mart stores in Victoria after inspectors allegedly found a series of unsafe and non-compliant products.

The consumer watchdog is asking the Supreme Court of Victoria to impose a stronger and longer-term injunction against Panda Mart’s stores in Cranbourne and Preston.

The action follows previous warnings, inspections and court proceedings involving the retailer. According to CAV, further inspections uncovered products that allegedly failed to meet Australian safety and labelling requirements.

Why Is Consumer Affairs Victoria Targeting Panda Mart?

The latest legal action follows a series of concerns raised by Victorian consumer safety authorities.

CAV says its officers found products that were allegedly incorrectly labelled, unsafe or subject to Australia’s permanent product bans.

Among the products identified were scented candles with decorative materials that could catch fire, light-up keychains containing button batteries that were not adequately secured, and portable pools and flotation products that did not carry required warning labels.

The regulator is particularly concerned about products containing button batteries because they can pose a serious danger if swallowed by young children.

Previous Enforcement Action

This is not the first time Panda Mart has faced action from Consumer Affairs Victoria.

The retailer has previously been warned about product-safety requirements, while authorities have carried out inspections of its stores.

In December 2025, an urgent court injunction resulted in the Cranbourne and Preston stores being temporarily closed for several days.

Further enforcement followed, including criminal charges relating to alleged product-safety breaches at the Cranbourne store.

However, CAV says subsequent inspections found additional products that raised safety concerns.

The latest Supreme Court application therefore represents an escalation in the regulator’s approach.

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What Does CAV Want the Court to Do?

Consumer Affairs Victoria is seeking an injunction that would prevent the two Panda Mart stores from continuing to trade until the retailer can demonstrate that it is complying with Australia’s product-safety laws.

The proposed measures go beyond simply closing the stores.

If the court grants the application, Panda Mart could be required to take a number of steps before reopening.

These include notifying customers about the closure, allowing authorities to remove unsafe or banned products, providing product-safety training for employees and introducing a formal compliance programme.

The retailer would also need to demonstrate that it has addressed the concerns raised by the regulator.

What Products Are Causing Concern?

The products identified by inspectors cover several different categories.

Children’s Products

Products containing button batteries are among the most concerning because of the serious injuries that can occur if a child swallows one.

Australian safety rules require certain button-battery products to have secure battery compartments and appropriate safety measures.

Candles

Some scented candles were allegedly decorated with materials that could catch fire.

Products designed to burn must be manufactured and sold in a way that does not create an unreasonable fire risk.

Pools and Flotation Products

CAV also raised concerns about portable pools and flotation devices that allegedly lacked required warning information.

Safety warnings are particularly important for products involving water because consumers need clear information about their limitations and potential risks.

Why Are Product Safety Rules Important?

Australian consumer laws place responsibility on retailers to ensure that products they sell comply with relevant safety standards.

A product does not become safe simply because it is inexpensive or popular.

Retailers are expected to understand the safety requirements applying to the products they sell and take action when a product is found to be unsafe or banned.

For consumers, these rules provide an important layer of protection, particularly when products are designed for children or involve potential fire, electrical or drowning hazards.

Is Panda Mart Being Permanently Shut Down?

Not yet.

This is an important distinction.

Consumer Affairs Victoria has applied to the Supreme Court for an injunction. The court will determine whether the requested orders should be granted.

Therefore, Panda Mart has not been permanently closed simply because CAV launched the legal action.

The final outcome will depend on the court proceedings and whether the retailer can satisfy the required safety and compliance conditions.

What Could Happen Next?

The Supreme Court will consider CAV’s application and the evidence presented by the regulator.

If the court grants the requested orders, Panda Mart could face significant restrictions on its operations at the affected stores.

The retailer could then be required to improve its product-safety systems before being allowed to resume normal trading.

This could include removing unsafe products, improving staff training and implementing stronger procedures for checking products before they reach customers.

What Does This Mean for Panda Mart Customers?

Customers who have purchased products from Panda Mart should remain alert to product recalls and safety warnings.

Anyone who believes they may have purchased a recalled or unsafe product should stop using it where appropriate and check the latest information from the retailer or relevant Australian consumer-safety authorities.

Parents should take particular care with products containing button batteries, children’s toys, electrical items and products designed for use around water.

The Bigger Issue for Discount Retailers

The Panda Mart case also highlights the challenges faced by discount retailers selling a wide variety of imported consumer products.

Large product ranges can include toys, household goods, electronics, children’s products, decorations and seasonal items. Each category can have different Australian safety requirements.

For retailers, maintaining compliance across such a broad range of products can be complex.

For regulators, the priority is ensuring that consumers are not exposed to products that fail mandatory safety requirements.

Conclusion

Consumer Affairs Victoria’s latest action against Panda Mart represents a significant escalation following previous enforcement measures and inspections.

The regulator alleges that unsafe, banned and incorrectly labelled products continued to be found at the retailer’s Cranbourne and Preston stores.

CAV is now asking the Supreme Court of Victoria to impose stronger restrictions and require Panda Mart to demonstrate that it has established effective product-safety and compliance procedures.

However, the legal action should not be confused with a permanent shutdown. The court still has to consider the application and determine what orders, if any, should be made.

For consumers, the case serves as an important reminder to check product-safety notices and recalls, particularly when purchasing children’s products, electrical goods, candles and water-related items.