US’ 145% tariff hits China toy industry

Made-in-China toys have been exempted from tariffs since US President Donald Trump’s first term, but that is no longer the case.

Last month, Trump raised tariffs on Chinese goods to 20%, delivering a major blow to the toy industry.

Weeks later, he also imposed an additional 34% “reciprocal” tariff followed by yet another round of increase.

Now, imports from China face a staggering tariff of up to 145%, and that figure may keep rising, as Beijing pledges to retaliate and Trump threatens further measures.

For US families, affordable toys could soon become luxury items, as around 80% of all toys sold in the US are made in China, according to the Toy Association, one of the industry’s leading trade groups.

“We have no choice but to raise our prices by a high double-digit percentage,” said Isaac Larian, CEO of California-based MGA Entertainment, the maker of Bratz and L.O.L. Surprise! dolls. “My 46-year-long business is on the line,” he added.