Shortly after US President Donald Trump repeatedly advised children to lay off dolls and imposed tariffs on toys made in China and elsewhere, Mattel – the toy giant and creator of the iconic Barbie – plans to raise prices in the US, the company said in a statement on Monday, according to Politico.
The company also cancelled its financial projections for 2025, blaming “the evolving US tariff environment” for making it difficult to “forecast consumer spending”.
Mattel produces about 40% of its toys in China, which the Trump administration imposed 145% tariffs on, claiming Beijing is treating the US unfairly on trade.
The toymaker said on Monday it would move some of its production out of China to diversify its supply chain and weather the tariff storm, while “taking pricing actions in its US business” where necessary.
However, in memorable comments last week, Trump sought to down play concerns that so-called reciprocal tariffs will make goods more expensive and lead to shortages.
“Well, maybe the kids will have two dolls instead of 30 dolls, and maybe those two dolls will cost a few dollars more than usual,” he said. Since then, Trump has doubled down on these anti-materialist remarks.
A survey of 400 US toy companies last month by the trade organisation Toy Association found that almost half of the companies believe Trump’s tariffs could put them out of business.
Barbie dolls become the latest victim of Trump’s tariff war
