Barbie is getting more expensive, and parents can thank US President Donald Trump’s sweeping tariffs for the price jump. Toymaker Mattel announced Monday that it would raise prices in the United States, blaming the “evolving US tariff landscape” for disrupting its supply chain and clouding its financial outlook for 2025, Politico reported.
About 40 percent of Mattel’s toys are made in China, and Trump’s administration has imposed a 145% tariff on Chinese imports, part of a broader effort to rebalance trade with Beijing. In response, Mattel said it would begin moving some of its production out of China to limit its exposure, but admitted the company still had to take “pricing action” to keep up with rising costs in its US business.
The toy giant also scrapped its full-year financial forecasts, citing uncertainty around tariffs and consumer spending. “These trade policies make it difficult to predict market conditions,” the company said in a statement.
Trump brushes off concerns
Despite the industry’s alarm, Trump has dismissed fears about rising toy prices. “Maybe the children will have two dolls instead of 30,” he said last week, suggesting Americans should embrace less consumerism. “And maybe the two dolls will cost a couple of bucks more than they would normally.”
The president has repeatedly defended his tariffs as a “reciprocal” measure, accusing China of treating the US unfairly on trade. Yet for American toy companies, which depend heavily on Chinese manufacturing, the new costs are potentially devastating.
Toy industry fears widespread closures
A recent survey by the Toy Association, which represents hundreds of US toymakers, found that nearly half of its 400 members believe the tariffs could put them out of business. Many are small or midsize companies that don’t have the resources to shift production quickly or absorb steep import costs.
Even giants like Mattel and Hasbro are not immune. Though Mattel says it is working to diversify its supply chain, large parts of the global toy manufacturing ecosystem remain deeply rooted in China.
A turbulent season ahead
The timing of the tariff hike is especially troubling for toy retailers, who rely on strong sales heading into the holiday season. With prices on popular brands like Barbie likely to rise, there is concern that families may cut back on purchases or switch to cheaper alternatives.
Mattel’s move is one of the first high-profile examples of how Trump’s trade war is affecting everyday consumer goods in the US And with no clear end in sight, parents — and their kids — may soon be paying the price.
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