Core Viewpoint - The company Dexter, known for its baby care products, is under investigation for misleading advertising claims regarding its baby lip balm, which included phrases like "food-grade lip balm" and "safe if licked by babies" [1][3]. Group 1: Company Overview - Dexter is a maternal and infant daily chemical brand under Wuxi Dexter Biotechnology Co., Ltd. [5] - The brand is endorsed by Liu Tao and has sold a total of 29 million units of its baby lip balm, ranking first in sales and positive reviews on Tmall [3][11]. - The founder and chairman, Zhang Xiaojun, holds a 21.35% stake in the company and has been recognized in Forbes China and Hurun's lists of entrepreneurial elites [11][14]. Group 2: Regulatory Issues - The company is facing scrutiny due to violations of the "Regulations on the Supervision and Administration of Children's Cosmetics," which prohibits labeling children's cosmetics with terms like "food-grade" or "edible" [3]. - The Wuxi New District Market Supervision Administration has officially launched an investigation into Dexter [5]. - Previous violations include misleading claims about products suitable for pregnant women and children, leading to fines and orders for correction [10][11]. Group 3: Consumer Reactions - Following the controversy, multiple consumer complaints have emerged, with some customers feeling misled by the "food-grade" claims and seeking refunds [8]. - There are reports of adverse reactions to other Dexter products, further impacting consumer trust in the brand [8][14]. - The company's advertising practices have raised concerns about consumer confidence and brand reputation [14].

Core Viewpoint - The children's care brand "Dai Kesi" is under investigation for allegedly misleading advertising regarding a children's lip balm claimed to be "food-grade," violating regulations on children's cosmetics [1][6]. Group 1: Company Response - On January 22, Dai Kesi issued a statement clarifying that the "food-grade" claim was a misunderstanding by promotional staff and was not approved by the company, and the content was only displayed on a single platform [1][6]. - The company emphasized that the controversy pertains only to advertising language and does not involve the safety or quality of the product itself [6][7]. - Dai Kesi has committed to improving the review process for advertising content to prevent similar incidents in the future [6][7]. Group 2: Regulatory Actions - On January 19, the Wuxi Market Supervision Administration decided to investigate Dai Kesi after confirming that the case met the criteria for filing [6]. - The company had previously faced regulatory penalties in December 2025 for false advertising related to other products, including claims about suitability for pregnant women and unsupported benefits [7]. - Dai Kesi was fined 5,000 yuan for these violations and was ordered to correct its advertising practices [7].