On May 16, 2025, President Donald Trump publicly suggested a 100% tariff on Mattel, seemingly mistaking the company for a country, as part of his ongoing trade dispute with China. Trump stated, 'Mattel, I don't know, I'm not so sure, they also said, they're the only country I've heard they said, ‘Well, we're going to go counter, we're going to try going someplace else,’ that's okay.'
This direct political pressure highlights the extreme uncertainty surrounding U.S. trade policy and the potential for severe measures against companies perceived to be impacted by tariffs. Such a tariff, if implemented, would drastically increase Mattel's product costs and disrupt its business operations.
The toy industry is heavily reliant on global supply chains, and while Mattel has been diversifying its manufacturing footprint to reduce reliance on China, a 100% tariff would pose an unprecedented challenge. This threat underscores the volatile environment businesses face amid escalating trade tensions.
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