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A new toy for little Jenny or Joey may be pricier very soon as Trump tariffs ripple through a mostly China-based toy supply chain.
“I think for the toy category it’s probably months,” Hasbro (HAS) CEO Chris Cocks told me on Yahoo Finance’s Opening Bid podcast (video above). Cocks — in NYC for the 2025 Toy Fair, where Hasbro showed off the latest for Monopoly, Play-Doh, and Nerf — was referencing when toy prices would go up as a result of fresh tariffs from the Trump administration.
The full episode with Cocks will air this Friday.
A new round of tariffs from the Trump administration started Tuesday, with new duties on the United States’ top three trading partners: Canada, China, and Mexico.
The president imposed 25% duties on Canadian and Mexican imports following a 30-day pause. He also implemented a second round of 10% duties on Chinese imports after instituting 10% in February.
Watch: Trump tariffs may drill retailers
The targeted countries wasted no time hitting back.
China unveiled a 15% tariff on US chicken, wheat, corn, and cotton products and an additional 10% tariff on sorghum, soybeans, pork, beef, seafood, fruits, vegetables, and dairy products. The new tariffs from China are set to go into effect on March 10.
Canada announced a 25% levy on CA$30 billion of US imports, effective immediately. Tariffs on another CA$125 billion in goods will begin in 21 days.
Mexico said it would announce retaliatory tariffs on Sunday.
At close: March 6 at 4:00:01 PM EST
HAS MAT
Trump’s tariffs could materially impact consumer companies, as a sizable portion of their merchandise is sourced from China due to its low production cost. But tariffs could also stunt demand as consumers balk at price hikes.
The tariffs may reduce American consumers’ spending power by $46 billion to $78 billion every year they are in place, estimates the National Retail Federation.
Read more: What Trump’s tariffs mean for the economy and your wallet
Already this week, retailers such as Abercrombie & Fitch (ANF), Target (TGT), and Best Buy (BBY) have warned on the margin and consumer impacts of tariffs. Shares of all three have been pummeled.
Nearly 80% of US toys are manufactured in China, according to industry trade group the Toy Association.
Cocks said toy prices would go up 50% in some cases if more production is brought back to the US. The cost increases reflect the intricate nature of making many toys and the difficulty finding the skilled labor to do so.
