Several U.S. toy companies are witnessing increased domestic production in response to import tariffs imposed by the Trump administration. Simplay3, based in Ohio, is among those expanding their operations. According to a report by FOX Business journalist Lauren Simonetti, Simplay3 is enhancing its workforce by 10% and operating continuously to meet production demands. The company manufactures slides, playhouses, and other children’s toys through a “rotational molding” method at its northeastern Ohio facility.
Simplay3’s decision to manufacture domestically allows the company to maintain competitive pricing amid the tariffs, preventing additional costs from being passed to consumers, said Matthew Murdough, the company’s E-commerce Director. John Hradisky, Vice President of Product Development at Simplay3, noted that the company strategically designs products priced under $100 to increase sales through volume rather than pricing, aligning with current consumer preferences.
Cra-Z-Art is another company bolstering its U.S. manufacturing, with plans to expand its production space by 50% to counteract tariff-related costs associated with imports from China and other nations. This expansion will increase the company’s domestic manufacturing space to 1.5 million square feet with facilities in Tennessee and Florida. Lawrence Rosen, Chairman of Cra-Z-Art, emphasized the benefits of the expansion for retail partners and consumers in terms of quicker and more cost-effective product market introductions.
In early March, the Trump administration implemented new tariffs, raising the import levy on Chinese goods to 20%. Additionally, Canada and Mexico encountered 25% tariffs, although exemptions were later granted under the United States-Mexico-Canada Agreement for specific goods until early April.
The Toy Association reports that Chinese-made toys comprise nearly 80% of U.S. toy purchases. CEO Greg Ahearn of the Toy Association has expressed concern that tariffs might result in higher prices for American consumers. The Toy Association, alongside international trade partners, advocates for exempting toys from tariffs while seeking improved trade agreements.