What Walmart and 12 other companies have said about Trump’s tariffs
Both Mattel (MAT) and Hasbro (HAS) have said they may need to raise prices in the face of Trump’s tariffs on Mexico and China.
Mattel, the company behind toy lines like Barbie and Hot Wheels, produces about 40% of its toys in China, compared to the industry average of 80%, Mattel’s head of finance, Anthony DiSilvestro, said on an earnings call. Less than 10% of its toys are made in Mexico, with no exposure to Canada.
“Certainly against the tariff, we have a range of mitigating actions,” DiSilvestro said, according to a transcript. “We don’t want to necessarily disclose our playbook, but they are in response to the tariff, they do leverage the strength of our global supply chain and they also include potential price increases.”
Hasbro CEO Chris Cocks told Yahoo! Finance on Feb. 20 that the company is ready to raise prices to offset pressure from new tariffs.
“When we look at the current kind of guidance that we’ve given, which factors in the 10% on China tariffs, pricing will be a variable that we play with, but I think it will be very targeted,” he said.
Hasbro, which already makes Magic the Gathering cards and board games in the U.S., wouldn’t be able to quickly reshore other production. “[B]ringing back manufacturing jobs to the US would require us to do very heavy automation, and it would be a pretty heavy lift and take multiple years,” Cocks said.
