Hasbro CEO Warns Toy Prices May Rise This Fall Amid Tariff Pressures
Toy prices in the U.S. could begin climbing as early as August due to rising tariffs on imported goods, Hasbro CEO Chris Cocks has warned.
Speaking on CNN’s The Assignment podcast, Cocks pointed to newly imposed and anticipated tariffs on goods from China and Vietnam – two of Hasbro’s key production hubs – as a looming pressure point for the toy industry. He said that while the company hasn’t yet raised its prices, increases could be on the horizon as production costs swell.
“If there’s going to be a change in price, consumers will likely start to feel it between August and October,” Cocks said, explaining that toy manufacturing typically operates on a three-to-five-month timeline from order to shelf.
Currently, Chinese imports face a minimum 30% tariff, and a 20% tariff on Vietnamese goods appears likely. Though significant, Cocks said Hasbro has weathered similar challenges before.
“We’ve been around for a while,” he said. “Our view is to stay nimble, but don’t overreact.”
Founded in 1923, Hasbro is behind household-name brands such as Transformers, Candy Land, Play-Doh, and Dungeons & Dragons. In recent years, the company has moved to reduce its dependence on Chinese manufacturing by expanding operations in Vietnam, India, Turkey, and the U.S., where around half of its production now takes place.
Board games like Monopoly and Magic: The Gathering are already produced in North Carolina, Texas, and Massachusetts. Play-Doh, made primarily from wheat, is another product Cocks believes could shift more easily to U.S. production.
However, scaling up American manufacturing across the board comes with steep costs. Toys often require intricate hand-finishing, making automation difficult and labor expenses high. According to Cocks, producing a toy domestically could push labor costs to 80–90% of the total, nearly doubling its retail price.
“A toy that sells for $10 today might need to be priced at $18 to maintain the same margin if made in the U.S.,” he said.
President Donald Trump, who has championed tariffs as a tool to bring jobs back to American soil, told NBC he was unaware of Hasbro’s potential price changes. “I don’t care about their prices,” he said, adding: “If they made their toys here, they wouldn’t have a price increase.”
Cocks challenged suggestions from U.S. officials that foreign producers absorb the brunt of tariffs. Most overseas suppliers, he said, operate on razor-thin margins of 2–3% and can’t realistically shoulder double-digit levies. Instead, U.S. businesses are typically the ones footing the bill.
Still, Cocks expressed confidence in Hasbro’s ability to navigate the current climate better than many of its competitors. The company’s games division, less reliant on overseas factories, remains strong. Meanwhile, Hasbro’s licensing arm – which has grown 60% in three years – continues to generate high-margin revenue.
“That gives us a lot more cushion,” Cocks said. “I feel more for my peers in the toy industry than I do for our own challenges right now.”
