question about the tariffs

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Dominic
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question about the tariffs

Post by Dominic »

*avoid all partisan discussion in this thread.

Does anyone know, of have significant insights about, if the tariffs will impact "Transformers" distribution?

The main line is produced in Viet Nam. But, Bot-Bots are produced in China (as are most things in the toy aisle, including big draws like "Star Wars" and Marvel).

According to reports, anything in transit now will not be affected. Similarly, the assumption is that Chinese made goods are likely to be more expensive in Q4, maybe late Q3.

Christmas may not be affected. But, the spring slump for 2020 is likely to be more severe than normal.

Right now, retail is prioritizing for Marvel figures. And, by Q3, stores are likely to focus on "Star Wars". (This would bother me less if modern Star Wars figures were not utter shit. But, I digress.)

How are stores likely to react? Are stores going to cut back on toys over-all (especially for spring-slump), and focus on what they assume to be big-draws like "Star Wars"? In that scenario, they could be hoping to use higher prices (tariffs be damned) to compensate for lower sales volume.
(In this scenario, fourth wave "Siege" figures might be nearly impossible to find, depending on if wave 4 is already in transit.)

Or, might Target order more non-Chinese product?

I suspect that it will be the former (with decisions being made above the department level).


Any specific insights?
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andersonh1
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Re: question about the tariffs

Post by andersonh1 »

Dominic wrote:*avoid all partisan discussion in this thread.

Does anyone know, of have significant insights about, if the tariffs will impact "Transformers" distribution?
I've been keeping an eye out since you asked the question, and I have seen nothing addressing this. If the price is affected, that's probably when we'll hear something about it.
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Shockwave
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Re: question about the tariffs

Post by Shockwave »

I would hope not, but I suspect it will affect a lot of things, which could include toys. I haven't specifically seen anything confirming that though.
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