While many parents and grandparents wait until the holidays to shop for toys, new tariffs on goods from China may encourage some shoppers to buy toys much earlier in the year.
“The toy industry is a business where about 80% of the product comes out of China,” said James Zahn, senior editor at The Toy Insider.
Industry insiders have gathered recently to unveil some of the hot new toys to expect this year at shows like the annual Toy Fair in New York City.
Zahn said the talks haven’t been all fun and games.
“The hot topic with everyone, of course, was the tariffs. Because you're seeing all the manufacturers, the retailers, the distributors, the licensors, the licensees, they're all coming together and they're all dealing with this in different ways,” he said.
Toy prices are already starting to rise
Marci Harman, the owner of Flying Pig Toys, said she has heard from vendors that higher prices are on the horizon.
"I have received a couple of emails saying the prices are going up, prices for wholesale are increasing,” Harman said.
To help soften the blow of price hikes on toys, Zahn recommends shopping early and often. He suggests shopping around at value retailers like T.J. Maxx, Marshalls, or Ross Dress For Less.
“I've seen some $25 toys selling for under $5 at these retailers,” he said. “Think action figures, dolls, that type of thing.”
He suggests closeout retailers such as Ollie’s Bargain Outlet or discounters like Dollar General and Five Below.
“But even those discounters, when it comes to this tariff situation, they're going to start feeling the squeeze,” Zahn said, “because to sell low, the margin is not really high.”
See some of the toys where prices may rise from tariffs:
Local over big box stores
Zahn also advocates shopping at local independent toy stores over big box retailers when possible.
“They're staffed by people that genuinely know the product they sell. They believe in it. They care about it,” he said.
Harman tells us her store is doing its best to keep prices consistent. Working in her favor, Flying Pig Toys has a limited stock of toys made in China.
“Here, we try to focus more on European brands and U.S. brands. We have some Canadian brands as well,” she said.
Zahn said toy manufacturers are increasingly outsourcing some business out of China and moving production to countries like India, Vietnam, and Indonesia.
“There's nothing that says that our administration won't slap a tariff on those countries,” he said.
Hot toy trends in 2025
Despite the anticipation of higher prices, there is still much to look forward to in the world of toys in 2025 and beyond. Among some hot trends this year, Zahn sees a strong lineup of toys in the gardening and botanical space.
“Miniature greenhouses for kids, or there's a Play-Doh potting set coming out," he said.
Other trends include dinosaur and dragon products, food play, racing and many outdoor toys.
“Not just for this year, but for next year,” Zahn said. “We've seen some early ‘26 products, and it's great to get not just kids but the entire family outside and playing.”
While tariffs may take some of the sparkle out of toy buying this year, Zahn reassures consumers the impact won’t be felt on a single toy purchase.
However, if you’re buying several toys for multiple children, “The total bill, it's going to be like you're getting less for more,” he warned.
So don’t rule out toy shopping in the spring or summer, so you don’t waste your money.
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