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A large number of substance is already banned from being used in toys. However the Chinese simply don't care. The chance of the product being analyzed at import is so miniscule, it's just a risk they're willing to take.
Then the law should go after the intermediaries (i.e. Amazon, Wish, AliExpress) who are making available those products in Europe.
(And you can be sure even the likes of AliExpress will comply: when the EU enacted a "Everything imported by consumers now has VAT" rule with a "Foreign sellers can register in an EU system were they charge the country-appropriate VAT at the time of sale and send the VAT themselves to that EU country" they immediatly adopted that system to avoid having everything they sold stopped at the border and held until VAT was paid)
Today the importers are legally responsible. however the chance to get caught is miniscule. Reading EU's rapex reports, often it is even unknown where the product was sold.
Even the responsible importers can be caught off guard if the samples are good quality, but after some time the supplier switches to toxic quality.