Major Toy Company CEO Says 80% of Toys Will Be 'Twice as Expensive' by Christmas Due to Tariffs

Donald Trump, his tariffs and Tonka Trucks. Photo: Demetrius Freeman/The Washington Post via Getty; John Greim/LightRocket via Getty

Many toys and possible children's gifts are on track to cost almost double by the winter holidays, a major toy manufacturer claims.
Basic Fun! CEO Jay Foreman appeared on the Today show to discuss what may be the lasting impact of President Donald Trump's aggressive global tariffs plan.
Though the president paused almost all of his "reciprocal tariffs" from April 2, he has remained steadfast on one — China, which now incurs a 125% tariff on imports, and which has long been the primary source of children's toys in the United States.
With Trump doubling down on China's tariffs, toy manufacturers anticipate a tougher holiday season. Foreman said Basic Fun! has halted its orders of Carebears and Tonka Trucks — two brands within the roughly 80% of U.S. toy imports made in China.
"That means 80% of the toys will be twice as expensive this Christmas as they were last Christmas," Foreman said. "There likely ... will be a shortage of toys this Christmas. I mean, even a short-term disruption will upset the flow of goods — but we still have time."

Toy store. Photo: MARK RALSTON/AFP via Getty

Foreman added that the current tariff on China would insist on a $30 item to be sold, now, for $70 — so even if the toys are available in the United States, they'll be less accessible.
And it's not just toys, either — most faux Christmas trees and holiday lights are also manufactured in China.

Barbies in a toy store. Photo: TIMOTHY A. CLARY/AFP via Getty

Greg Vander Veer, co-owner of The Christmas Loft in New Hampshire, told Today that the store's inventory is about 85% from China. The shop sells Christmas items all year round, meaning they're already feeling the effects of the trade war.
"The Loft will absorb some of the cost, but I imagine we'll have to raise the prices, you know, at least 50 percent," Vander Veer said.
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"It scares the devil out of me," the owner of a Minnesota hobby shop also told the outlet. "We have a choice: We can either pay the bills and raise prices, or try and absorb them and go out of business."