Mattel considers raising prices on toys to mitigate tariff impact
Published On Feb 6, 2025, 2:18 PM
Mattel is considering raising prices on its toys to counteract the impact of new tariffs imposed by the Trump administration on imports from China, Mexico, and Canada. The company's CFO explained that they are analyzing various strategies to manage costs while ensuring consumer interests are considered. Only about 20% of Mattel’s global toy production is exposed to these tariffs. Mattel is predicting a modest growth in sales and earnings for 2025.
Stock Forecasts
MAT
Positive
If Mattel successfully raises prices without losing consumer demand, it could offset the cost of tariffs and maintain profit margins. However, if consumers react negatively to price increases, it might hinder sales growth. Overall, their diversified production strategy can mitigate risks associated with these tariffs.
Related News
Barbie maker Mattel warns Trump tariffs may drive up prices
Feb 4, 2025, 7:29 PM
The firm says it could raise prices and make changes to its supply chains to deal with new import taxes.
Nearly half of toys sold under £15 as parents cut costs
Jan 21, 2025, 8:47 AM
An "unsettled economy" is blamed for falling sales of toys for the third consecutive year.
Wicked movie: Mattel 'deeply regrets' porn site misprint on dolls
Nov 10, 2024, 3:25 PM
Recently-released dolls tied to the new Wicked movie inadvertently carry the address of an adult website.