The toys, dubbed the 'Princess Catherine Dolls', have high levels of the toxic compound DEHP. It is used to soften plastic, but has been banned across Europe because of its risk of causing cancer.
The properties of the chemical compound - known as phthalate - can also lead to children being born with deformities and could make children infertile later in life.
The dolls were seized in the Czech Republic, but there are still concerns that some may have made it to the UK and already been bought by parents for Christmas.
A safety alert about the dolls has been issued by EU watchdogs after customs officials seized the dolls for not complying with regulations which monitor the use of chemical substances in products sold in EUrope.
The dolls have long dark hair and a sequined gold dress. They come in a pink box emblazoned with a crown which says "Kate Princess" and "Souvenir" on the back.
Chief of product safety at at the Chartered Trading Standards Institute, Robert Chantry-Price, told the Daily Star: "It is frightening that large quantities of phthalates are still being used in children's toys, especially as it can cause serious long term consequences to a child's health."
He said that phthalates can cause problems as they can cause cancer and reproductive issues, but they can still be found inn a "wide range" of toys and childcare products despite legislation to the contrary.
He added: "If these toys fall into the hands of young children or babies, it's more likely they will chew on the plastic and consume the chemicals.
"Trading standards services are continuously working to tackle this issue but it is vital that consumers remain vigilant too.
"Parents should be cautious when buying toys and not go for the first deal they see."
Officials have warned about a string of other killer toys bound for the UK and Europe, including a children's frog watch, a rattle, a police set containing small parts that could choke a child and a laser toy that could damage eyesight.
(Daily Mirror)
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