Product compliance is a critical consideration for all sellers, irrespective of their chosen platform. Amazon, in particular, has some of the industry’s most stringent compliance policies, which in certain cases, surpass even the official standards.
Failing to adhere to Amazon product compliance requirements and policies can have serious repercussions, potentially leading to account suspension or even legal actions in severe cases.
To equip you with an understanding of product compliance and avoiding any non-compliance, we have created a guide including all the key aspects that you’ll need to be aware of in 2024.
What Is Product Compliance?
Product compliance is not just a legal necessity, but a cornerstone of successful business operations. It verifies that products align with the pertinent regulations and legal requirements, thereby ensuring the safety and satisfaction of consumers.
At its core, product compliance signifies that products conform to the necessary regulations and legal mandates. These regulations, however, are not uniform and can vary across different jurisdictions and regions globally.
For the purpose of this guide, our focus will be on the United States. Here, the regulatory landscape is comprehensive, with a multitude of government departments issuing specific rules for diverse product categories.
Key Regulatory Bodies Governing Product Compliance in the United States
In the United States, product compliance is governed by an extensive network of regulatory bodies, each with its own specific purview. Below are examples of the main regulatory bodies governing product compliance.
1. CPSC (Consumer Product Safety Commission)
This body regulates consumer goods such as toys, children’s products, home décor, and furniture. The CPSC enforces strict guidelines to ensure product safety, including aspects like chemical composition, physical properties, and labeling requirements. Compliance is verified through testing in CPSC-accredited laboratories.
2. FDA (Food and Drug Administration)
The FDA oversees medical devices, cosmetics, food, and pharmaceuticals. Its regulations are designed to ensure these products are safe for consumer use and accurately labeled.
For instance, medical devices must meet specific performance standards and undergo stringent testing, while food products must adhere to labeling requirements that disclose ingredients and nutritional information.
3. EPA (Environmental Protection Agency)
The EPA regulates products that impact the environment, such as chemicals, pesticides, and appliances. Its regulations aim to protect human health and the environment by controlling the emissions, usage, and disposal of these products.
4. DOE (Department of Energy)
The DOE governs energy-related products, ensuring they meet energy efficiency standards. This includes appliances, lighting, and other products that consume energy. Adherence to DOE regulations not only aids in reducing energy consumption but also contributes to lower operational costs for consumers.
What Are Amazon Product Compliance?
Amazon Product Compliance ensures that all products sold on its platform adhere to the legal and safety standards of the regions in which they are sold. While it often aligns with national and international regulations, such as those enforced by the CPSC, Amazon’s compliance requirements can sometimes go a step further.
For example, it considers additional aspects such as environmental impact and energy efficiency requirements, or it may apply stricter judgments on product compliance where regulatory bodies have not taken a clear stance to protect themselves. Additionally, Amazon maintains a list of restricted item categories that may be more extensive than those identified by regulatory bodies.
What Are the Amazon Product Compliance Requirements?
Different products fall under the jurisdiction of various regulatory bodies, and the applicable laws and standards vary accordingly. For common products like toys, children’s items, home decor, textiles, clothing, furniture, and more.
Examples of Key Regulations:
- CPSIA (Consumer Product Safety Improvement Act): Governs chemical hazards in products.
- CFR (Code of Federal Regulations): Includes a wide range of safety, quality, and other requirements for various products.
- ASTM, UL, ANSI, ISO Standards: When referenced in regulations, these standards become mandatory requirements.
Once you as a seller understand these regulatory requirements, you’ll need to schedule tests, obtain test reports from for example amazon product testing laboratories, and certificates.
Technical Documentation Examples:
- Test Reports: Detailed reports from accredited labs that verify product compliance with relevant standards.
- Certificates: Certificates of compliance, such as CPC (Children’s Product Certificate) for children’s products and GCC (General Certificate of Conformity) for other consumer goods.
These technical documents must be uploaded to the Amazon platform for review by Amazon’s compliance team. Only after successful review can the product be listed for sale. Furthermore, compliance do often extends to labeling, which is another critical aspect.
Common Labeling Criteria:
- Country of Origin: Labels indicating where the product was manufactured.
- Tracking Labels: Required for children’s products to facilitate recall efforts.
- Specific Standard-Based Labels: Labels that meet specific regulatory standards, such as flammability warnings on textiles or electronic product safety labels.
What Are the Challenges with Amazon Product Compliance?
In addition to the serious repercussions that non-compliance can bring to sellers, there are several common challenges that many sellers encounter, including:
- Invest Time and Effort: Sellers often invest a significant amount of time and effort in understanding both US regulations and Amazon’s internal rules, especially for sensitive products such as children’s items.
- Navigate Notifications: Amazon’s compliance notifications frequently lack detail, necessitating sellers to seek external assistance for resolution. Generic messages about compliance issues can be frustrating, time-consuming, and challenging to resolve without expert guidance.
- Address FBA Challenges: Non-compliance results in the removal of products from Amazon’s warehouses, leading to inventory freezes and financial losses. For FBA sellers, non-compliant products not only affect Amazon listings but also impede inventory transfer to other platforms.
Conclusion: Understanding Amazon’s Product Compliance in 2024
Product compliance is key for sellers on Amazon, ensuring products meet necessary regulations and legal requirements. In the U.S., these regulations are extensive and Amazon’s requirements often go beyond, considering aspects like environmental impact and energy efficiency.
Sellers have responsibilities such as conducting tests, obtaining documents, adhering to labeling requirements, and navigating notification systems. Non-compliance can lead to serious repercussions.
Understanding Amazon’s product compliance can be challenging. If you need help, contact the HQTS product compliance experts for a consultation. Our experts can guide you through these complex regulations and help ensure your success on Amazon.
