According to China's state news agency, Xinhua, Carrefour could be fined up to 500,000 Yuan ($80,000 US), for allegedly misleading customers over prices at an outlet in Northwestern China.
Dai Wei, vice president of Carrefour China is said to have apologised after customers were charged more at the checkout than was advertised on the shelves.
Xinhua said last week inspectors had found that one of Carrefour's stores was engaged in price gouging.
"The outlet was also found to have used misleading advertising, failed to provide accurate information regarding sales and allowed goods to be produced in areas that were inconsistent with the company's specifications," Xinhua said.
