(Yicai Global) May 19 -- Shanghai authorities has reprimanded Swedish fast fashion giant H&M’s local operator, Hennes and Mauritz Shanghai Commercial, for failing to include on labels the materials used in products.

Huangpu district’s market regulator ordered the company to make corrections on May 8, but did not impose any fines, according to information on corporate information platform Tianyancha.

Hennes and Mauritz Shanghai, a wholly owned unit of H&M Hennes and Mauritz Holding Asia, was established in November 2006 with registered capital of EUR5 million (USD6.1 million).

The company has had 20 administrative penalties since October 2018, most of which were for selling substandard products and false advertising. It also faced an angry backlash from Chinese consumers earlier this year amid controversy over Xinjiang cotton.

H&M had 502 stores in China at the end of the first quarter of this year. Quarterly sales were SEK2.4 billion (USD289.2 million), making China its third-largest market. 

Editor: Tom Litting