Mattel, known for its Barbie Dolls, announced on Monday its strategy to handle the effects of President Trump’s tariffs. The company indicated it might adjust prices to address potential financial losses if needed.
In its first quarter report, Mattel acknowledged the challenging macroeconomic landscape marked by fluctuations in global trade policies and US tariffs.
While the tariffs didn’t impact Mattel’s financial results for the first quarter, the report specified that the company is taking measures aimed at completely offsetting any potential increased costs from tariffs in the future.
Among the steps outlined, the company mentioned “taking pricing actions in US businesses when necessary.”
Additionally, Mattel plans to broaden its supply chain to lessen its reliance on Chinese products and optimize both “product sourcing and product mix.”
The company chose not to release a full-year forecast for 2025, citing the uncertainty surrounding the economy.
“With the unpredictable macroeconomic environment and the changing US tariff situation, forecasting consumer spending and Mattel’s US sales for the upcoming holiday season is quite challenging,” stated the report.
Recently, President Trump faced criticism for his tariffs, with concerns that they may adversely affect families’ living costs, potentially limiting the number of dolls children can receive this year. Trump reinforced his views during a Sunday interview on NBC’s “Meet the Press.”
“I don’t think we need a pretty baby girl doll – it’s 11 years old – we need 30 dolls,” Trump commented. “What we were doing in China was remarkable, so I think they could manage with three or four dolls. We had a substantial trade deficit with China.”
“I’m saying, they don’t need 30 dolls. They can have three. They don’t require 250 pencils. Just five will do,” he added.
