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Kmart investigated and warned by ComCom for greenwashing advertising

The Commerce Commission issued a warning to Kmart NZ Holdings Limited for potentially breaching the Fair Trading Act by making unsubstantiated '100% sustainably sourced cotton' claims. Kmart admitted its 'Better Cotton' was mixed with conventional cotton, making the absolute claim misleading. Kmart removed the claim after the investigation.

Commerce Commission

Date Added

15 April 2026 at 16:59:30

Why it matters

This action highlights the need for businesses to ensure environmental claims are accurate and substantiated to avoid breaching consumer protection laws. The Commission emphasizes that unsubstantiated claims are unfair to both consumers and compliant businesses.

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