Mattel To Raise U.S. Prices As Tariffs Hit Toy Industry

Mattel, the maker of Barbie, said it would raise prices on some of its U.S. products and withdrew its full-year financial forecast due to escalating tariffs, Juveria Tabassum reported for Reuters.

About half of Mattel’s global sales come from the U.S., and roughly 20% of its U.S.-bound products are imported from China.

The company cited “a volatile macroeconomic environment and evolving U.S. tariff landscape” as key reasons for the uncertainty surrounding consumer spending and its U.S. holiday sales outlook.

Mattel shares dipped slightly in premarket trading on Tuesday following the announcement.

About half of Mattel’s global sales come from the U.S., and roughly 20% of its U.S.-bound products are imported from China—a figure it now aims to reduce to below 15% by 2026.

The toy industry has been heavily impacted by the ongoing U.S.-China trade war, with tariffs exceeding 100% on many goods.

“There’s no question that tariffs are creating disruption in the industry,” said Mattel CEO Ynon Kreiz. “Many companies have stopped production and shipping to the U.S. as a result. We support the Toy Association’s advocacy for zero tariffs on toys.”