On May 28 this year, Sunrise International Indonesia "PT Early Light International Indonesia" (a subsidiary of Sunrise International Holdings "Early Light International (Holding) Ltd") held a groundbreaking ceremony for its export-oriented toy manufacturing facility in the Kendal Economic Zone (KEK Kendal) in Central Java, Indonesia. The total investment plan for the project amounts to 540 billion Indonesian rupiah (approximately 34 million USD). Early Light International (Holding) Ltd, headquartered in Hong Kong, has been operating since 1972 and is one of the largest toy manufacturers in the world. By successfully building the largest toy manufacturing empire globally and becoming a major supplier for Mattel and Hasbro, its founder Chow Chi Ming has earned the title of "King of Toys." In the Kendal Economic Zone, the factory of PT Early Light International Indonesia will produce various types of toys, including plastic figurines, plush toys, and fashion dolls. All products are aimed at the export market, sold to multiple countries including the United States, Canada, EU countries, and regions in Asia. Juliani Kusumaningrum, the Executive Director of the Kendal Economic Zone, stated that the arrival of Early Light further solidifies the position of the Kendal Industrial Park (KIK) as a globally competitive industrial area. "We welcome Early Light's investment, which is a strategic move to strengthen the toy industry ecosystem in the region. Previously, there have been several similar industry participants in the Kendal Economic Zone, and with the addition of Early Light, we are optimistic that a stronger and more efficient supply chain will be formed," she said. In addition, she also added that the Kendal Economic Zone offers various financial incentives, such as reductions in corporate income tax (PPh Badan) in the form of tax holidays and tax allowances, exemptions from value-added tax (PPN), and import duty exemptions. These undoubtedly further enhance the competitiveness of the area in attracting investment, especially for labor-intensive industries like Early Light that are export-oriented. Early Light President Director Siu Chee Ng expressed the company's long-term commitment to Indonesia. "We are very pleased to start the construction of our new production facility in the Kendal Special Economic Zone, which has a prime location, abundant labor resources, and offers attractive tax-related facilities and incentives. This production facility is expected to employ about 4,400 local workers. We believe Indonesia will become an important production base for our global expansion," he stated. Xurich International Group used to have factories in Shenzhen and Shaoguan. The Shenzhen factory has now closed, while the number of employees in Shaoguan still exceeds 10,000. It was once claimed to have 80,000 employees. The company's main shareholder is Cai Jiamin, daughter of the "Toy King of Hong Kong," Cai Zhiming. It undertakes orders from Mattel, Hasbro, MGA, SSD, and is engaged in contract manufacturing. This factory was once the largest toy contract manufacturer in the country. It encompasses almost all toy production processes, including prototype manufacturing, mold making, injection molding, painting, pad printing, rubber injection, sewing, alloy, electronics (SMD, bonding, PCB assembly), and finished product assembly, with products including electronic, plastic, alloy, tinplate, and sewn toys, among others. In 1994, Cai Zhiming acquired an American alloy toy car company and established Sunrise International Group. More than 20 foreign companies ordered toys from Sunrise International, including some of the world's top toy companies. The company's founder, Cai Zhiming, owns a large amount of property in Hong Kong, including Kowloon City Plaza, parking lots, office buildings, and residential buildings. The income from these properties even exceeds his earnings from toys. He is also a director of the famous hotel in Hong Kong, the Rich Hotel, and a major shareholder in the Hong Kong-listed company Kang Jian International. Recently, he also invested in the listed real estate company Kaisa Group. In the 2018 Forbes Hong Kong Rich List, toy king Tsai Chi Ming ranked 13th with a fortune of 6.5 billion USD. This entrepreneur successfully transformed his hobby into a career: due to his childhood longing for toys that he could not have, he was determined to establish his own toy kingdom. Today, he owns Asia's largest toy manufacturing company, Sunrise Group. This toy king has quietly become a super-rich Hong Kong entrepreneur on par with established tycoons like Li Ka-shing and Lee Shau Kee.

On July 17, Hong Kong stocks related to new consumption continued to decline. As of the time of reporting, Pop Mart (09992.HK) fell by over 2.5%, with a transaction volume exceeding 3.2 billion Hong Kong dollars, and the latest market value is 330.6 billion Hong Kong dollars. According to Caixin, on the first trading day after Pop Mart released a positive profit forecast announcement (July 16), the number of shares sold short surged to 2.4956 million, more than six times the 342,000 shares on the previous trading day (July 15), reaching a new high since June 20. Goldman Sachs pointed out in its latest research report that although Pop Mart's performance exceeded the general expectations of sell-side analysts, it may only "roughly meet" the high expectations that buy-side investors had previously raised to very high levels. JPMorgan noted that the net profit growth forecasted by Pop Mart actually falls at the lower end of the previous buy-side expectation range (approximately 4.5 billion to 5.5 billion yuan). Looking back at the development trajectory of Pop Mart, from January 2, 2024, to now, its stock price has increased by over 1000%, with an increase of nearly 200% in 2025 alone. In the first quarter of this year, Pop Mart's performance has shown explosive growth. On April 22, it announced that its overall revenue for the first quarter of 2025 increased by 165%-170% year-on-year, with revenue in China increasing by 95%-100% and overseas revenue increasing by 475%-480%. In terms of revenue by region, the Asia-Pacific (referring to countries and regions in Asia and Oceania excluding China) increased by 345%-350% year-on-year, the Americas increased by 895%-900%, and Europe increased by 600%-605%. At the annual performance briefing held in April, Pop Mart's Chairman and CEO Wang Ning stated that the company's performance growth in 2024 exceeded expectations, mainly due to the successful implementation of its internationalization strategy, which has become the second growth curve for the company. Looking ahead to 2025, the management team is full of confidence, planning to achieve a year-on-year sales growth of over 50% based on the high base in 2024, with overseas sales expected to grow by over 100%. The goal is to reach an overall sales amount of 20 billion yuan, with overseas sales exceeding 10 billion yuan. The expansion of plastic demand behind the tide of trendy toys. The astonishing growth curve of Pop Mart has directly driven a massive demand for high-end plastic materials. The products rely on materials such as PVC and polypropylene.Safety, plasticity, environmental protectionWith stringent standards, the production of plastic products in China has reached 2024.77.076 million tonsThe export value has surpassed the 100 billion US dollar mark.The rise of high-value-added consumer products like Pop Mart is forcing the upstream materials to upgrade. It is particularly noteworthy that Pop Mart's overseas revenue has experienced explosive growth, and its products must comply with strict standards such as the EU REACH regulations. This directly drives the demand for environmentally friendly plasticizers—medical-grade epoxy soybean oil and citrate plasticizers are growing rapidly in the market.8.5%​The average annual growth rate of the expansion is expected to exceed the scale by 2030.12 billion yuan​。 The growing pains of industrial transformation under high environmental pressure. With the global "plastic restriction order" escalating, traditional plastic enterprises are facing a life-and-death test. ​Policy-driven pressureChina's "Plastic Pollution Control Action Plan" clearly restricts highly toxic plasticizers, while the EU REACH regulation establishes high trade barriers. ​Rising costsIn 2025, the industry average gross profit margin will drop from 18% to 15%, and the net profit margin will fall below 6%, putting significant pressure on small and medium-sized enterprises. ​Technical BreakthroughLeading companies like Wanhua Chemical and Jinhai Technology are seizing the opportunity by developing bio-based materials. Jinhai Technology's net profit in the first half of 2025 is expected to grow by 45% to 71% against the trend. The shortcomings of the plastic recycling system have highlighted the urgency of transformation. Currently, the recycling costs are high and the application rate of recycled materials is low, and the industry's circular economy is still in a state of "The road is long and difficult."the critical stage of the battle"。 The polarized industry differentiation of ice and fire. The performance of plastic enterprises in 2025 shows dramatic differentiation. This differentiation confirms the structural transformation in the industry—high-end products can achieve a gross profit margin of over 30% (such as Wanhua Chemical), while general-purpose plastics are mired in a surplus of production capacity. The operating rate of the polypropylene industry has already fallen below70%​However, specialty materials such as metallocene polypropylene and ultra-high transparency polypropylene are still in short supply. Technological breakthroughs lead to the reshaping of industry chain value. The path to a breakup has become clear. ​Biobased alternativesLiancheng Chemical's bio-based plasticizer production capacity will double to 200,000 tons/year, and Wanhua Chemical is planning a citric acid ester production line. ​Specialized breakthroughThe demand for anti-impact copolymer polypropylene driven by new energy vehicles will see the share of environmentally friendly plasticizers in the automotive sector reach 2030.35%​​ ​Digital cost reductionEnterprises that use AI to optimize production have reduced procurement costs.5%-8%​Relieve the pressure of raw material price fluctuations. The stringent requirements of Pop Mart and others for food-grade safety standards and low-carbon materials are being transmitted through the industrial chain, pushing plastic companies from "Price competition"Turn"Technical competition”。 Future Vision: The Double Helix of Green and High-End When Pop Mart plans to achieve in 202520 billion in salesAt this time, behind it is a demand for high-end plastic materials worth hundreds of billions; as Wanhua Chemical accelerates the development of bio-based polyurethane at its R&D center, the upgrading bottlenecks in industries such as trendy toys, healthcare, and new energy are being broken one by one. The future of the plastic industry depends on whether it can...Environmental compliance Technology premiumFind a balance in between. Just as the polypropylene industry has opened up high-end markets through metallocene materials, China's plastic processing industry is now at a point of...World Factory"toward"Source of Innovation"The critical point of the leap. This green revolution is not only related to the survival of enterprises but will also reshape the competitive landscape of global industrial chains."

The world's oldest toy store, Hamleys, recently announced its full-year results for 2024. Despite a challenging environment, company closures, and layoffs, performance has actually improved. Performance recovery in 2024 After a 9.19% drop in sales in 2023, Hamleys finally made a comeback in 2024. As of December 31, 2024, Hamleys' total sales for the year reached £53.3 million (approximately 510 million RMB), an increase of 3.69% compared to £51.4 million in 2023. Moreover, the pre-tax profit soared from a meager £673,000 in 2023 to £3.7 million in 2024 (approximately 35.68 million RMB), growing more than fivefold. In terms of regions, the performance in Europe is good, while the global regions are sluggish. Specifically, the revenue from the UK headquarters increased by £2 million from £43.9 million in 2023, reaching £45.9 million in 2024, accounting for 86.12% of the company's total revenue; the revenue from the rest of Europe surged from £166,000 in 2023 to £832,000 in 2024; however, the revenue from other global regions declined, decreasing from £7.3 million in 2023 to £6.5 million in 2024. The night-time foot traffic at Hamleys' UK store is quite considerable. Efforts to adjust store layout Behind this performance growth is the adjustment of cost reduction and efficiency improvement by Hamleys. In 2024, Hamleys closed 29 underperforming stores worldwide throughout the year, but during the same period, it also opened 22 new stores, indicating its adjustment in store location strategy. Currently, there are 11 stores operating in the UK and a total of 176 franchised stores globally. According to Hamleys' official website, there are 8 stores in China. At the same time, the company made personnel adjustments, laying off 34 people, and the current number of employees is 401. The Hamleys board stated in a statement: "The revenue growth in 2024 is mainly driven by franchise fees, and we are optimistic about the introduction of new areas and the growth in existing regions." Hamres will open a flagship store in 2024 in collaboration with local partners in Italy. Entering 2025, the Hamleys board believes that the UK retail market remains challenging as consumer spending continues to be affected by inflationary pressures. Therefore, the company maintains a cautiously optimistic outlook on business growth and continues to focus on cost optimization to ensure the group's profitability. At the same time, the Hamleys board stated: "We will continue to strive to improve various forms of customer experience and propositions to ensure the long-term sustainability of the business. We remain focused on finding future growth opportunities, and implementing a robust digital strategy is a key growth driver for the UK in 2025." Destined for misfortune, experienced multiple changes of hands. Hamleys is the oldest toy store in the world, founded in 1760. It has withstood global economic recessions and the ravages of world wars, boasting a history of 265 years, though it has changed hands multiple times. In 2003, the Icelandic investment firm Baugur Group privatized Hamleys for £47.4 million. In 2012, it was transferred to Groupe Ludendo for 60 million pounds. In 2015, it was acquired by the Chinese company Qianduoduo for 100 million pounds. In 2018, it was sold for £70 million to Reliance Industries, the largest in India and the second-largest private enterprise in the world, transforming from an authorized operating partner in India to the parent company, continuing to this day. Currently, India is also the country with the most Hamleys stores globally. According to the official website, there are over a hundred stores of all sizes combined.

In recent days, many places across the country have been experiencing high temperatures, making it unbearably hot. After sweating, clothes stick to the body, making it extremely uncomfortable. Is there a magical fabric that can make a person feel instantly cool when worn? Some brothers are there! It is——polylactic acid (PLA) fiber, a magical fiber from nature, known as "breathable fiber" by people. Today, let's have a good talk about polylactic acid (PLA) fibers and see how they bring us coolness in the scorching summer. Where does polylactic acid fiber come from? The raw materials for polylactic acid fibers are starchy agricultural products such as corn, wheat, and sugar beets. These agricultural products undergo fermentation to produce lactic acid, which is then processed through a series of complex techniques such as polymerization and melt spinning, ultimately transforming into the polylactic acid fibers we see. It can be said that polylactic acid fibers are fibers "grown" from the fields, and their birth process is filled with the wonders and wisdom of nature. From the perspective of sustainable development, the raw material sources for polylactic acid fibers are very abundant and can be continuously obtained through cultivation. When polylactic acid fibers are discarded, they can completely decompose into carbon dioxide and water in nature, unlike traditional chemical fibers, which impose a heavy burden on the environment. This characteristic of coming from nature and returning to nature makes polylactic acid fibers truly deserving of the title "green and environmentally friendly fibers." Why can polylactic acid fibers bring a cool feeling? Polylactic acid fibers have excellent moisture-wicking and breathability, which is one of the key reasons they can keep people feeling cool in the summer. Its surface has many tiny grooves and holes, and these microscopic structures act like countless tiny "highways," quickly guiding the sweat from the skin surface to the fabric surface, allowing the sweat to evaporate rapidly.   In comparison, ordinary cotton fabrics can absorb sweat, but the diffusion speed of sweat on cotton is relatively slow, and the evaporation is not fast enough, so wearing it often feels damp. In contrast, clothing made from polylactic acid fibers can quickly diffuse and evaporate sweat, keeping the fabric dry and making people feel particularly cool.   The thermal conductivity of polylactic acid fibers is also relatively low. Simply put, it is like building an insulating barrier for our body, effectively blocking the invasion of external heat. At the same time, when our body generates heat, polylactic acid fibers can promptly dissipate this heat, keeping our body temperature within a comfortable range. Antibacterial, mite removal, allergy prevention In addition to providing coolness in the summer, polylactic acid fiber has many other amazing properties. It has natural antibacterial, anti-mite, and anti-allergic capabilities. Polylactic acid fibers are weakly acidic, similar to the pH of the skin, and can slowly release lactic acid, which helps to remove dead skin cells, promote epidermal metabolism, and aid in collagen growth. In the clothing field, the application of polylactic acid (PLA) fibers is becoming increasingly widespread. Many sports brands have launched athletic apparel containing PLA fibers, such as T-shirts, shorts, and sports underwear. These sports garments not only possess excellent sweat-wicking and quick-drying properties, allowing athletes to stay dry during exercise and improve performance, but they also offer good comfort and breathability, making athletes feel more at ease while exercising. In the home textile field, polylactic acid (PLA) fiber also performs excellently. Quilts made from PLA fiber have good warmth retention and breathability, keeping you warm and comfortable in winter and preventing stuffiness in summer. Additionally, the natural antibacterial properties of PLA fiber help keep the quilt clean and hygienic, reducing the growth of dust mites, making it particularly suitable for individuals with allergies. How to choose products made of polylactic acid fiber When selecting products made from polylactic acid fiber, we can confirm by checking the product label. Generally, legitimate products will clearly state the composition on the label, and those containing polylactic acid fiber will be explicitly marked as "Polylactic Acid (PLA)" or "Corn Fiber" (polylactic acid fiber is also commonly referred to as corn fiber). Additionally, we can feel the texture of the product by touch and observation. Polylactic acid fiber products typically have a soft, smooth feel, and the fabric has a certain degree of luster. Although polylactic acid fibers have many advantages, they are not without flaws. Currently, the price of polylactic acid fiber products is relatively high, which somewhat limits their popularity. However, with the continuous advancement of technology and the expansion of production scale, it is believed that in the near future, the prices of polylactic acid fiber products will become more affordable, allowing more people to enjoy the comfort and health benefits they bring.

International News Digest Raw Materials News - Adnoc bids $18.7 billion to acquire Australian energy giant after acquiring Covestro Packaging News - Danone Canada invests C$9 million in PET yogurt cup production, leading green revolution in dairy packaging with 30% recycled plastic Automotive News - BMW develops natural fiber composites: performance comparable to carbon fiber, carbon emissions reduced by 40% Macro News - Qatar sets the premium for June-loading Al-Shaheen crude oil contracts at the highest level in a year Price Information - RMB/USD central parity rate reported at 7.1761, down 15 pips   Details of International News   EU unilaterally announces cancellation of high-level economic dialogue with ChinaThe Financial Times reported on June 17, citing informed sources, that the EU has canceled important economic and trade talks with China ahead of the China-EU Leaders' Summit due to the lack of progress in multiple trade disputes. The newspaper stated that the China-EU economic and trade talks originally scheduled for July 24-25, which were to serve as the foundation for future dialogue between Beijing and Brussels, were called off. The cancellation may lower expectations for any concrete outcomes from the summit. After acquiring Covestro, Adnoc bids $18.7 billion to acquire Australian energy giant SantosShortly after completing the acquisition of German chemical giant Covestro, Abu Dhabi National Oil Company (Adnoc) has taken action again. This time, it has set its sights on Santos, Australia's second-largest natural gas producer. Santos confirmed on June 17 that it has received an all-cash acquisition offer worth $18.7 billion (approximately A$27.4 billion) from an international consortium led by Adnoc, at A$8.89 per share, representing a 28% premium over the previous trading day's closing price. Including net debt, the transaction values Santos at A$36.4 billion, making it the largest all-cash corporate merger and acquisition (M&A) case in Australian history and the third-largest M&A deal overall. The acquisition is initiated by Adnoc through its investment arm XRG, in conjunction with Abu Dhabi Developmental Holding Company (ADQ) and private equity giant Carlyle, aiming to expand its global natural gas and liquefied natural gas (LNG) business footprint. INEOS Phenol announces plans to close site in Germany INEOS Phenol, the world’s largest producer of phenol and acetone, announced today its intention to permanently stop production at their site in Gladbeck, Germany. High European energy costs alongside Europe’s punitive CO2 tax policy have combined to leave Europe uncompetitive against imported Chinese production and a global oversupply. Monopoly maker Hasbro cuts 3% of total workforce amid higher tariff costs Toy seller  has cut 3% of its global workforce in its latest cost-cutting effort amid higher U.S. tariffs on toys from China. The job cuts amount to about 150 employees. According to its fiscal 2024 annual filing, the company had roughly 4,985 employees globally. VAUDE's new bicycle backpack uses BASF's innovative zero-carbon footprint polyamide materialVAUDE, a leading German brand in sustainable outdoor clothing and equipment, has partnered with BASF to launch the new TRAILCONTROL ZERO 20+ bicycle backpack, setting a new industry benchmark. The backpack uses BASF's innovative Ultramid® ZeroPCF material—a polyamide 6 (PA6) product with a zero carbon footprint. Danone Canada invests C$9 million in PET yogurt cup production, leading green revolution in dairy packaging with 30% recycled PETDanone Canada, a French food and beverage giant, announced an investment of C$9 million (approximately US$6.7 million) to upgrade its production base in Boucherville, Quebec, to launch a production line for independent cup yogurt packaging made from PET resin. This move aims to fulfill its sustainable development goals, planning to incorporate 30% recycled PET material (rPET) into the packaging, and has secured distribution support from supermarkets nationwide in Canada. New guidelines published for best practices in chemical recycling / Framework spells out clarity and recommendations for companiesBrussels-based waste management group Chemical Recycling Europe (CRE) has announced the publication of a framework that it says will help a wide range of stakeholders assess the environmental performance of chemical recycling processes. BMW develops natural fiber composites: performance comparable to carbon fiber, carbon emissions reduced by 40%Technology media carscoops reported in a blog post today (June 18) that BMW has partnered with Swiss clean technology company Bcomp to develop new natural fiber composites using flax as raw material, with performance comparable to carbon fiber but 40% lower carbon emissions. Franciscus van Meel, CEO of BMW M Division, pointed out that the material is key to lightweight innovation in racing and production vehicles and plans to include it as an optional configuration in future M series models.   Overseas Macro Market Information   Qatar sets the premium for June-loading Al-Shaheen crude oil contracts at the highest level in a yearQatar set the premium for June-loading Al-Shaheen crude oil contracts at $2.48 per barrel, the highest level in a year. Monetary Authority of Singapore (MAS) survey: Most respondents expect further policy easing in JulyA survey by the Monetary Authority of Singapore (MAS) shows that most respondents expect further monetary policy easing at the July policy review. Economists forecast a 2025 growth rate of 1.7%, lower than the 2.6% in the first-quarter survey, with 2026 growth also expected to be 1.7%. The overall CPI inflation forecast for 2025 is 0.9%, lower than 1.7% in the first quarter, and 1.5% for 2026. The core inflation rate is expected to be 0.8% in 2025, lower than the first-quarter survey's 1.5%, and 1.5% in 2026. Economists expect the economy to grow 3.0% year-on-year in the second quarter of 2025. Brent crude oil premium over Dubai crude hits a 2-year highData shows that the premium of Brent crude oil over Dubai crude oil has reached the highest level since September 2023. Japan's exports to the US fell sharply year-on-year in MayOn June 18, Japan's Ministry of Finance released the latest trade statistics. According to the results, Japan's exports to the US fell 11.1% year-on-year in May, once again resulting in a large trade deficit. The report shows that due to reduced exports of automobiles, steel, and mineral fuels to the US, exports fell 1.7% year-on-year to ¥81.4 trillion in May; benefiting from lower energy prices, imports fell 7.7% year-on-year to ¥87.7 trillion. Japan's trade deficit in May was ¥63.76 billion, far higher than ¥11.58 billion in April. By country and region, Japan's exports to the US fell 11.1% year-on-year to ¥15.1 trillion in May, with automobile and auto parts exports down 24.7% and 19%, respectively. The 25% tariff imposed by the US on automotive products has had a huge impact on Japan's exports.   Price Information RMB/USD central parity rateThe central parity rate of RMB against the US dollar was reported at 7.1761, down 15 pips; the previous trading day's central parity rate was 7.1746, the previous trading day's official closing price was 7.1838, and the overnight session closed at 7.1874. Raw materials prices in USD Ethylene Asia: CFR Northeast Asia at $810/ton, up $10/ton; CFR Southeast Asia at $850/ton. Propylene Northeast Asia: FOB South Korea average at $720/ton, up $10/ton; CFR China average at $760/ton. North Asia frozen cargo CIF price: Propane $577-579/ton; Butane $547-549/ton. South China frozen cargo July CIF price: Propane $598-608/ton; Butane $540-550/ton. Taiwan region frozen cargo CIF price: Propane $577-579/ton; Butane $547-549/ton. LLDPE prices in USD Film: $915/ton (CFR Huangpu); Injection molding: $960/ton (CFR Dongguan); HDPE prices in USD Film: $910-915/ton (CFR Huangpu); Hollow: $860/ton (CFR Huangpu); LDPE prices in USD Film: $1,035/ton (CFR Xiamen); PP prices in USD Homopolymer: $890-970/ton (CFR Huangpu), up $5/ton; Copolymer: $965-990/ton (CFR Huangpu); mixed trends Film grade: $1,025-1,090/ton (CFR Huangpu); Transparent: $1,065/ton (CFR Huangpu), down $20/ton; Pipe grade: $1,160/ton (CFR Shanghai).

International News Digest: Raw Material News - Mitsui Chemicals Considers Splitting off Basic & Green Materials Business Auto News-China's auto export value in April reached $19.39 billion, up 6.9% month-on-month and 5.3% year-on-year Electronics and Electrical News- Sony Moves Manufacturing of High-End Xperia Phones to Third-Party OEMs Toy News - Pop Mart Suspends Labubu Sales in the UK Macroeconomic News - Trump team considers “Plan B”as reciprocal tariffs are blocked Price information - CFR Northeast Asia $780/ton; CFR Southeast Asia $850/ton   The following is the detailed international news:    1. Tariffs, a major variable! U.S. Court of Appeals: Approved! According to the CCTV News, on May 29th local time, the U.S. Court of Appeals for the Federal Circuit approved the request from the Trump administration to temporarily suspend the previous ruling made by the U.S. Court of International Trade, which prohibited the execution of the Trump administration's executive order to impose tariff measures on many countries based on the International Emergency Economic Powers Act. The U.S. Court of Appeals for the Federal Circuit also ordered both parties to submit written arguments on the issue of blocking the imposition of tariffs, with relevant documents to be submitted by early next month. The court will then decide on the next steps. U.S. government data released Thursday showed that U.S. economic activity contracted at a 0.2% annual rate in the first quarter of this year, marking its first decline in three years, disrupted by the trade war initiated by former President Trump. Additionally, affected by tariffs, an increasing number of U.S. retailers are planning to raise prices. A survey report released by Germany's Allianz Group shows that 54% of American companies are addressing the cost increases caused by U.S. tariff policies by raising prices.   2. Mitsui Chemicals Considers Splitting off Basic & Green Materials Business Mitsui Chemicals, Inc.  has begun to consider splitting off its Basic & Green Materials business ("B&GM"), which is primarily engaged in petrochemicals, in order to transition to a more robust business structure and promote the shift to green society, with a view to pursuing collaboration with other companies as well as integration and transformation. Scope of the consideration：Phenols, Industrial Chemicals, Sustainable Feedstocks, Licensing, Prime Polymer Co., Ltd. (Polyolefins), Polyurethanes While we will strive to realize the ideal vision as early as possible, we will split off B&GM and establish the business entity—which will serve as a core in future integration and transformation—by around 2027.    3. ExxonMobil to sell French subsidiary Esso S.A.F.  ExxonMobil France Holding has entered into exclusive negotiations with North Atlantic France SAS for both the proposed sale of its 82.89% majority shareholder interest in Esso Société Anonyme Française SA (Esso S.A.F.), as well as the proposed sale of ExxonMobil Chemical France SAS.With the exception of those part of the previously announced redundancy plan, all of the approximately 1,350 employees in France will be retained and remain on the same employment terms and conditions.   4. The production of the rubber and plastics industry in Russia decreased by 1.6% year-on-year from January to April, with a drop of 4.7% in April alone According to the data from the Federal State Statistics Service of Russia (Rosstat), the production of rubber and plastic products in Russia decreased by 1.6% year-on-year from January to April 2025. The industrial production index in April 2025 increased by 1.5% compared to the same period in 2024, and the cumulative index from January to April 2025 was 101.2% (a year-on-year increase of 1.2%). Compared to March 2025, the industrial production index fell by 4.2% month-on-month, dropping to 95.8%. Business managers pointed out that the shortage of personnel is still one of the main factors hindering the completion of production plans. The negative evaluations are dominant in the mining industry (-24.1%) and processing and manufacturing industry (-18.3%). Nevertheless, most managers are neutral, showing a cautious attitude towards the current business situation, demand, and production growth potential.   5. Star Plastics® offers PC/ABS FR compounds as a cost-effective alternative to ABS FR Star Plastics® is helping manufacturers navigate ongoing supply chain disruptions and cost volatility associated with ABS flame retardant (FR) materials. In response to the scarcity and rising prices of antimony – a key component in ABS FR – Star Plastics is offering its high-performance PC/ABS FR compounds as a dependable and cost-effective alternative.   6. Sony Moves Manufacturing of High-End Xperia Phones to Third-Party OEMs Sony already uses third-party manufacturers to produce its phones. This has been a strategy adopted for the mid-range smartphones so far. However, a new report indicates that the brand will now expand the strategy to its high-end devices. According to a Japanese news outlet, this is not a temporary move. It is likely a long-term strategy. You can no longer find “smartphones” on the list at Sony’s production sites in Thailand. Historically, three manufacturing sites were involved in Sony’s smartphone production. Two are in Thailand and one is in China. None of them lists “smartphones” anymore. This means that the company is completely obliterating the smartphone production of its sites. This does not mean an end, as it is now relying on third-party OEMs for such a process.   7 China's auto export value reached 19.39 billion US dollars in April, increased by 6.9% month-on-month and 5.3% year-on-year. According to data from the General Administration of Customs compiled by the China Association of Automobile Manufacturers, in April 2025, the total value of automobile imports and exports was $23.09 billion, up 6.8% month-over-month and down 2.2% year-over-year. Among these, the import amount was $3.7 billion, up 6.3% month-over-month and down 28.6% year-over-year; the export amount was $19.39 billion, up 6.9% month-over-month and up 5.3% year-over-year. From January to April 2025, the cumulative value of national automobile imports and exports was $81.88 billion, down 5.2% year-over-year. Among these, the import amount was $13.27 billion, down 34.5% year-over-year; the export amount was $68.61 billion, up 3.7% year-over-year.   8. Pop Mart suspends Labubu sales in the UK Recently, Pop Mart's latest LABUBU 3.0 series has sparked a buying frenzy in various global locations such as the United States, the United Kingdom, and Italy. Amidst the intense demand, a "major brawl" reportedly broke out at the Westfield Stratford shopping center in London. To prevent the situation from escalating, Pop Mart announced that, out of safety concerns, the Labubu series products will be temporarily removed from all UK stores.   Overseas macro market information:   【The Japanese government announced the lifting of partial sanctions on Syria】On May 30, Japan's Chief Cabinet Secretary Yoshimasa Hayashi stated that the Japanese government has lifted some sanctions on Syria. Currently, there are no detailed announcements regarding the specifics of the lifted sanctions on the official websites of various Japanese government departments. 【The United States plans to increase arms sales to Taiwan】 According to Reuters, the United States plans to increase arms sales to Taiwan, and Trump focuses on arms sales to Taiwan beyond his first term. 【Iranian Foreign Minister: Iran "Not Sure" About Approaching Deal with US】In response to recent media speculation about an upcoming agreement between Iran and the US, Iranian Foreign Minister Araghchi said on the 29th that Iran was "not sure if we have reached that point." Araghchi posted on social media that day, stating that Iran sincerely seeks a diplomatic solution that benefits all parties. However, achieving this goal requires an agreement that comprehensively lifts all sanctions against Iran and safeguards Iran's nuclear rights, including uranium enrichment. The path to reaching an agreement lies at the negotiating table, not in the media. 【Trump team considers “Plan B”as reciprocal tariffs are blocked】This plan may proceed in two steps: in the short term, the administration could invoke Section 122 of the Trade Act of 1974 to impose a maximum 15% tariff on a wide range of global economies for a period of 150 days. The second step would involve using Section 301 of the same law to establish customized tariffs for each major trading partner within those 150 days. 【Delta Air Lines to Resume Direct Flights Between Shanghai and Los Angeles】Bringing Weekly China-US Flights to 17 Delta Air Lines announced today that it will resume direct flights between Shanghai and Los Angeles starting June 2, operating three times a week. This will increase Delta’s weekly China-US flights to 17. Currently, the recovery of China-US routes is slow, with the number of flights restored being less than 30% of pre-pandemic levels. 【China-US shipping is recovering, but signs of a slowdown in container booking volumes are emerging】 This is attributed to the mutual tariff reductions that began earlier this month. The shipping price for a standard 40-foot container from Shanghai to Los Angeles has increased by nearly 17% to $3,738, marking the largest weekly relative increase this year. As of the week ending May 29, the shipping rate per container is still nearly one-third lower than the peak value in January of this year, but higher than the low point of $2,487 before Trump announced the "liberation day" tariffs at the end of March. However, the volume of container bookings has declined somewhat. Data from Vizion and Dun & Bradstreet show that the total bookings for the first three days of this week equated to approximately 106,000 twenty-foot equivalent units (TEUs). This is a decrease from 137,000 TEUs during the same period last week. Globally, the week starting May 19th was the highest booking week of the year so far. 【Volkswagen CEO stated that the company is in direct negotiations with the U.S. government regarding tariff issues】 According to reports, Volkswagen CEO Oliver Blume mentioned in an interview that the company is directly consulting with the U.S. government to resolve the tariff dispute. Blume stated that if the tariff dispute is resolved, Volkswagen is willing to make "additional, large-scale" investments based on its existing investments in the U.S.   Price information: 【Central parity rate of RMB against USD】 The central parity rate of the renminbi against the US dollar was reported at 7.1848, up 59 points; the previous trading day's central parity rate was 7.1907, the previous official closing price was 7.1916, and the overnight closing price was 7.1865. 【 Upstream raw material US dollar market prices】 Ethylene Asia: CFR Northeast Asia $780/ton; CFR Southeast Asia $850/ton. Acrylic Northeast Asia: FOB Korea average price 750 USD/ton; CFR China average price 785 USD/ton. North Asia cryogenic cargo, propane at $550.5-$552.5 per ton; butane at $520.5-$522.5 per ton. South China frozen cargo CIF prices for June: Propane 623-633 USD/ton; Butane 563-573 USD/ton. The CIF price for frozen goods in Taiwan is propane $550.5-$552.5/ton; butane $520.5-$522.5/ton. 【LLDPE US Dollar Market Price】 Film: $880/ton (CFR Huangpu); Injection molding: 970 USD/ton (CFR Dongguan); 【HDPE USD market price】 Film: $905-925 per ton (CFR Huangpu). Hollow: USD 865-870 per ton (CFR Huangpu); 【 LDPE USD market price】 Film: 1025-1040 USD/ton (CFR Huangpu); 【PP USD market price】 Homopolymer: $905-$950/ton (CFR Huangpu); Copolymer: $955-$1060/ton (CFR Huangpu); Material: $1025-$1090/ton (CFR Huangpu); Transparent: $1095/ton (CFR Huangpu) Pipe material: 1160 USD/ton (CFR Shanghai).  

While the Trump administration was wielding the tariff baton, American toy giants were not only diversifying their production bases but also quietly launching a "cost revolution"! The "American Girl" dolls from Mattel's American Girl brand are on display at the American Girl Place in Manhattan, New York. The Trump administration escalated the trade war: imposing a 10% base tariff on almost all countries and adding heavy taxes on dozens of countries including China and Vietnam. As the two pillars of U.S. toy imports, Chinese products face a 54% overall tax rate (with an additional 34%), while Vietnamese toys are hit with a 46% tariff. According to the U.S. Toy Association, 77% of imported toys in the U.S. come from China, with Vietnam following Mexico in third place. Industry experts warn that tax rates far exceeding expectations will lead to a surge in toy prices, with the initial impact likely coinciding with the back-to-school season this fall. "The entire industry is in chaos," said Greg Ahearn, president of the Toy Association. "This will have a huge negative impact on both consumers and the industry." The Dilemma of Enterprises in Supply Chain Earthquakes Toy giants Hasbro and Mattel had predicted in 2025 that the impact of a 20% tariff on China would be included in their plans to shift production to Vietnam, Indonesia, and India. However, the new tariff policy has resulted in rates of 46%, 32%, and 26% for these three countries, respectively. Eric Handler, an analyst at Roth Capital, pointed out: "The transfer of production has lost financial feasibility, and consumers will soon see price increases." "Hey Buddy Hey Pal" company's "Magic Egg Decorator" relies on the Asian supply chain. However, in reality, China announced on Friday that it will impose a 34% retaliatory tariff on the US, exacerbating trade tensions. The capital market "votes with its feet" in advance. The tariff shockwave has swept through Wall Street: Mattel's stock plummeted 16.5% on Thursday, Hasbro dropped 12%, and Funko plunged 18%. Analysts predict that toy giants releasing quarterly reports this month may lower their profit guidance. This tariff storm is reshaping the global toy industry landscape. After Mattel and Hasbro transferred part of their production capacity to Vietnam in two years, production in China has significantly decreased, while new factories in Vietnam hesitate due to tariffs. US toy giant's strategy of diversifying manufacturing locations Mattel has also been diversifying its manufacturing operations away from China, currently sourcing products from seven countries. China accounts for about 40% of its procurement volume, down from the previous 50%. Due to the United States accounting for about half of the global toy sales, China's tariff risks are about 20% of the global cost of goods sold. UBS says this means that according to a 10% China tariff, Mattel's gross margin will be affected by 100 basis points, equivalent to about 12 cents per share. Mattel said that by 2027, the output of any country will not exceed 25% of its total output. Hasbro has been expanding its manufacturing operations to countries like Vietnam and India to reduce its dependence on China. The company's management has indicated that Indonesia may be the next stop. Hasbro, headquartered in Pawtucket, Rhode Island, currently sources products from eight countries, with China accounting for 50%, down from the previous 60%. The company aims to reduce this proportion to 40% by 2026. In comparison, the average for the entire toy industry is 80% to 85% of revenue coming from China. Mexico also imposes tariffs on certain goods, representing 2% of Hasbro's production. The company does not source any products from Canada. Reduce manufacturing costs Despite efforts by companies to reduce costs through renegotiating supplier contracts and simplifying packaging (such as Basic Fun’s release of trayless packages), Basic Fun********: "The 54% tariff could lead to a direct price increase of 50% at the consumer level, especially for toy products with single-digit profit margins. Cost passthrough is inevitable." Behind the hustle and bustle of the New York Toy Fair, buyers are frantically seeking alternatives. An unnamed Guangdong OEM factory manager revealed: "Walmart has asked us to reduce the thickness of plastic parts by 0.2 millimeters, but this can only offset 3% of the cost." Battery-free electronics, minimalist packaging toys, self-assembled daily necessities... These seemingly regressive consumer trends are actually the wisdom of businesses surviving in the global trade war. In the workshop of Abacus Brands, a Los Angeles-based educational toy company, CEO Steve Rad is showcasing a new matte packaging box: replacing the 30-cent plastic liner with a cardboard that costs only 7 cents. "Saving 3-4 cents at each spot can accumulate to offset the $10 increase in retail price," the company also plans to reduce the thickness of the paper used in the instruction manual, and expects to complete the supply chain adjustments this fall. Steve Rad, who designs science kits and other educational toys for older kids, is showcasing a newly improved matte box (left), which will replace its black molded plastic packaging with an improved cardboard material to help offset the cost of future tariffs. The plush toy giant Aurora World has tapped into the color economy. "Reducing the number of paint colors not only cuts material costs but also simplifies the labor process," admitted Gabriel Horikawa, general manager of the toy division. While these changes may not fully offset the impact of tariffs, they serve as a necessary buffer. Aurora was founded in Korea in the 1980s, and by going green, it has saved more than 3 million pounds of recycled plastic. Packaging Slimming: A Win-Win for Environmental Protection and Cost The classic toy brand Basic Fun has designed three packaging options for Tonka trucks: a traditional box with a display window, a tray without a box, and a minimalist paper price tag. The latter two options can save costs of $1.25 and $1.75 respectively, but CEO Jay Foreman admits, "This will reduce the product's appeal and is far from offsetting the tariffs on goods from China." The Art of Survival in the Fog of Policy Michael Matthias, CFO of American Eagle Outfitters, revealed that the company plans to reduce the production capacity ratio in China and Vietnam from 15%-20% each to single digits. CEO Jay Schottenstein admitted, "We faced similar challenges eight years ago, and we must remain flexible— you never know where the next round of tariffs will be aimed." Facing policy uncertainty, Peter Baum of Baum Essex in New York lamented, "This is the beginning of a global depression. An 80-year-old business run by five generations could be ruined." The company, which relocated its production capacity from China in 2019, is now facing another****in several Southeast Asian countries. In this trade war without gunpowder, enterprises are adopting meticulous "subtraction strategies" to find a niche in the tariff storm. When innovation becomes a forced choice, the evolution of consumption patterns may reshape the commercial landscape in the post-tariff era.

On the afternoon of April 2, local time, President Trump of the United States signed two executive orders on the so-called "reciprocal tariffs" at the White House, announcing the establishment of a "minimum benchmark tariff" of 10% for all trade partners, and at the same time, higher tariffs are imposed on dozens of other countries and regions, including China, on the basis of 10%. Among them, the "reciprocal tariff" rate imposed by the United States on China is 34% - the overlapping rate will rise to 54%. The toy industry is facing yet another major challenge. According to reports from the White House website and U.S. media such as The New York Times, this is the largest-scale new tariff policy announced by Trump since taking office in January this year, wielding the tariff stick against the world, including allies, under the guise of "preventing other countries from exploiting the United States." According to the new policy announced by Trump, China's "reciprocal tariff" rate will be 34%, Vietnam's tariff will be as high as 46%, Thailand's tariff will be 36%, Indonesia's tariff will be 32%, India's tariff will be 26%, Japan's tariff will be 24%, South Korea's tariff will be 25%, and the EU countries' tariffs will rise to 20%. According to U.S. media reports, 34% of the reciprocal tariffs on China will be added to the original 20% U.S. tariffs on China, resulting in a total tariff rate of 54% on imports from China. This rate is expected to take effect on April 9. Additionally, the White House announced that starting from May 2, it will terminate the duty-free treatment for small packages (valued at $800 or less) imported from mainland China and Hong Kong, effectively removing the de minimis threshold. Trump's advisers insist that tariffs will bring vital strategic manufacturing capabilities back to the US. However, economists warn that tariffs could slow the global economy, increase the risk of recession, and add thousands of dollars to the cost of living for ordinary American families. If the new tariff policy is implemented, it will be another major challenge for the toy industry. Previously, Hasbro CEO Chris Cocks said in an interview with the media that a 10% tariff could be negotiated and absorbed internally, but a 20% tariff would be unbearable and would definitely be passed on to consumers. It is expected that the toy industry may see a wave of price increases in a few months. Overseas media also believe that the impact of the tariff increase on toy prices will start to become apparent this fall. Recently, a total of 19 toy industry associations from North America, Europe, Asia, and South America signed a joint statement calling for the exclusion of toys from tariff policy formulation and negotiations by the United States and its trading partners. The Vietnamese stock market plummeted threatened with a 46% increase in tariffs. To reduce dependence on Chinese manufacturing, several major toy manufacturers have already adjusted their supply chains in recent years, relocating some production capacity to Southeast Asian countries such as Vietnam and Malaysia. Trump's announcement of the so-called "reciprocal tariff" executive order imposes a tariff rate as high as 46% on Vietnam, significantly higher than that on other countries. After the market opened on Thursday, the Vietnamese stock market fell across the board. Economist and former vice president of the Vietnam Institute for Economic Management, Vo Tri Thanh, stated that tariffs are a shock to the global economy and to Vietnam, and that Vietnam will experience significant negative impacts. The United States has consistently been Vietnam's largest export market. In 2024, Vietnam's exports to the U.S. reached $142 billion, accounting for 30% of Vietnam's GDP. However, for Trump, Vietnam's trade surplus with the U.S. exceeding $123 billion in 2024 represents "a tremendous trade unfairness." Sports brand Nike has about half of its shoe products and 28% of its clothing produced in Vietnam, while its competitor Adidas relies on Vietnamese factories for 39% of its shoes and 18% of its clothing. According to calculations, the average tariff rate for Vietnamese shoe products in the United States was previously 13.6%, and the clothing product rate was 18.8%. According to the latest tax rate announced by Trump, Nike and Adidas's products from Vietnamese factories will need to pay more than three times the tariff when entering the United States. At the same time, some toy manufacturers also rely on Vietnam. Several American companies, such as Hasbro and Mattel, collaborate with the Southeast Asian toy manufacturer GFT to import and sell toys produced by the company. GFT has five production factories in northern Vietnam and employs over 15,000 workers.

Recently, the U.S. government unilaterally announced further tariff increases on goods exported from China to the U.S. American toy brand owners, retailers, and Chinese toy manufacturers have all reported to our association that the U.S. government's unilateral tariff increases will severely harm the interests of people in both countries. In this regard, our association calls on the U.S. government to consider maintaining Sino-U.S. economic and trade cooperation, protecting consumers, and safeguarding the interests of Chinese and American enterprises, and to continue implementing the WTO agreement’s zero-tariff commitment on toys.Toys are essential for children's happy growth, providing global children with opportunities for play, learning, healthy development, and a joyful childhood. Since joining the WTO, China has implemented a zero-tariff policy on toys with major trading countries. I will join the American Toy Association and other key members of the International Council of Toy Industries in urging the U.S. government to continue adhering to the WTO agreement's zero-tariff provisions for toys.The US government's unilateral imposition of tariffs has triggered a series of new issues and fluctuations in international trade, with both Chinese and American companies being victims. We call on all American brand owners and retailers to work with Chinese suppliers to resolve issues of mutual concern through friendly consultations and in a spirit of equality and mutual benefit, jointly address the current difficulties, and avoid unilaterally using market advantages to disrupt the stability of the supply chain.The toy associations of 21 countries and regions around the world jointly signed the "Initiative to Maintain Zero Tariffs on Toys."

Recently, Pop Mart released its full-year financial report for 2024. The report shows that Pop Mart achieved revenues of 13.04 billion yuan (RMB, hereinafter) in 2024, a year-on-year increase of 106.9%, and an adjusted net profit of 3.4 billion yuan, a year-on-year increase of 185.9%. All operating data indicators far exceeded expectations.Behind this number lies not only the myth of a 106.9% year-on-year growth rate but also the hidden code of how Gen Z's consumer power is reshaping business logic. The Data Code Behind the Billion-Dollar MapChannel Revolution MatrixThe number of offline stores has exceeded 300, with a single store's sales per square meter reaching 28,000 yuan/m²/year (three times the industry average).The robot store network has expanded to 2,150 units, creating a '15-minute reach circle' covering 85 cities.WeChat Mini Program's annual GMV exceeds 2.8 billion yuan, with a private domain traffic pool accumulating 32 million members.IP Empire Evolution TheoryThe Molly series has an annual sales of 1.6 billion and continues to lead the market, while SKULLPANDA has emerged strongly, contributing 23% to revenue. The proportion of overseas IP procurement has dropped to 18%, and the in-house designer team has expanded to 47 groups.The joint matrix covers 52 luxury brands including Gucci and Lancôme, with a premium rate of 300%.New Paradigm of Technology EmpowermentThe blockchain traceability system covers 100% of products, with secondary market circulation exceeding 12 million units.The AR collection game has increased the repurchase rate of derivative products to 67%.The unit price of 3D printing customization services is 8 times that of conventional products.The Business Philosophy of the Game Changer"We are not selling toys, but rather building emotional connection spaces," said Si De, CMO of Pop Mart, at the 2023 annual strategy meeting. He revealed that 58% of the users in the company's membership system are aged 18-24, with an average annual consumption frequency of 9.2 times, which confirms the success of its 'interest social currency' strategy.Notable is Pop Mart's supply chain revolution:Dongguan Intelligent Manufacturing Base Introduces AI Quality Control System, Boosting Yield Rate to 99.97%The 72-hour rush sample system compresses the new product launch cycle by 60%.Dynamic inventory algorithms keep the stale sales rate below 2.3%.Three, the strategic deep water zone after tens of billionsWith a 23.4% revenue contribution from overseas markets, Pop Mart is launching the 'Dual-Turbine Plan'.Cultural Export InitiativeDeveloping Eastern superhero IP in collaboration with MarvelBuilding a global designer co-creation platformTechnology Integration PlanInvest 580 million yuan to build a Metaverse laboratory.Develop wearable trendy toys.Testing the waters with AI generative designAccording to iiMedia Research data, China's trendy toy market size is expected to exceed 80 billion yuan by 2025, but Pop Mart needs to be wary of the "innovator's dilemma."The expiration of the blind box model patent triggered a wave of imitation.The Compliance Challenges of Digital CollectiblesCore user age layer migration risk"The real challenge is not how to reach 10 billion, but how to make 10 billion a new starting point." Wang Ning revealed in the shareholder letter that the company has established a 2 billion yuan innovation fund, focusing on areas such as materials science and human-computer interaction. This battle for the discourse power of China's trendy toy industry may have just entered an exciting chapter.

The fast-food giant McDonald's is considering reintroducing plastic toys in its popular Happy Meal in the UK and Ireland. Four years ago, McDonald's announced that it would reduce the use of plastic in such products by the end of 2025.Photo: McDonald'sIn 2021, McDonald's announced plans to reduce the amount of plastic used in Happy Meal toys by the end of the year and revealed that it was exploring alternatives, such as 3D cardboard toys or board games made from plant-based or recycled materials.However, earlier this month, McDonald's acknowledged that while the aforementioned attempts have yielded some results, there are limitations to plastic alternative materials. The company is currently testing other materials. McDonald's stated that in cases where plastic remains the best option, it plans to explore usable types of plastic and establish partnerships when necessary to enhance the recyclability of plastic.McDonald's currently uses two ISCC Plus-certified plastics in the UK and Ireland: one is mass balance plastic, part of which is made from bio-based materials such as used cooking oil; the other is green PE, a bio-based polyethylene partly made from sugarcane.Given that both types of plastic are recyclable, McDonald's has collaborated with the environmental education center Wastebuster to launch the "Recycle to Read" program. This program encourages children to recycle or properly dispose of their small hard plastic toys once they become old or damaged.Ben Fox, Chief Marketing Officer of McDonald's UK and Ireland, said, "The new scheme we are testing means we can continue to offer kids a great experience through a range of toys made from different recyclable materials, allowing them to enjoy these toys for longer."

table of contentsYesterday, Mattel announced layoffs, with 120 people being laid off in the United States, including two vice presidents, multiple global brand marketing directors and management, as well as positions such as designers, engineers, and project managers. Following the closure of Dongguan Lideka and Foshan Sino-American Toy Factory, and the announcement of plans to move OEM factories to Southeast Asia, it is clear that Mattel China will not be spared from layoffs. In addition, Jazwares (Jizhi), which is invested by Buffett, has also carried out another round of layoffs, with dozens of employees in mainland China and Hong Kong being let go. Colleagues reported that there were no prior signs, and they were directly asked to process their departure, but all received a compensation of 2N times their salary.As early as early April 2024, the toy and consumer goods company Jazwares laid off 60 employees at the Saint Laurent office. Jazwares LLC is a company known for its plush toy series, owned by the investment holding company Berkshire Hathaway.In March 2023, Berkshire Hathaway acquired Alleghany Corp., the owner of Jazwares, for $11.6 billion. Jazwares is one of the fastest-growing toy manufacturers in the country, generating over $1 billion in sales from Squishmallows and other brands including Fortnite and Poksamon.After Warren Buffett invested in Jazwares (primarily through the acquisition of Kellytoy, the parent company of Squishmallows), the company's revenue significantly increased. The report points out that Jazwares is a standout in Berkshire Hathaway's consumer goods division, mainly due to the popularity of Squishmallows.Jazwares expanded the Squishmallows brand into different product categories, such as apparel, games, and more, through extended licensing agreements, further increasing the brand's influence.Jazwares was named one of Time Magazine's 100 Most Influential Companies of 2024, maintaining continuous growth over more than a decade despite the overall decline in the toy industry in 2023 and the first half of 2024.foreign toy company relocation planAmerican toy giant Hasbro is reducing its dependence on Chinese manufacturing, aiming to decrease the proportion of products from China from 50% to below 40% within the next two years, and plans to shift production to Vietnam, India, and Indonesia.Hasbro, known for brands such as "Monopoly," "Dungeons Dragons," "Play-Doh," and "Mr. Potato Head," said that the company would lay off nearly 100 people by the end of last year. According to the Providence Business News list, Hasbro's full-time employees decreased from 1,400 in 2023 to 1,000 in 2024. In December 2023, the company announced in a corporate filing that it would cut 1,100 jobs, accounting for 20% of its workforce. These layoffs were in addition to the 800 layoffs made last year as part of an effort to save up to $200 million and reinvest in the business.Yesterday, Wizards of the Coast, a subsidiary of Hasbro, has laid off 30 employees responsible for their recently released virtual tabletop experience game, Sigil. This layoff leaves only three people to support the application.In October 2023, Spin Master announced the acquisition of Melissa Doug, the world's largest wooden toy brand, for $950 million in cash. In March of last year, some employees of Melissa Doug were laid off, marking the first personnel adjustment after the acquisition. Of course, Spin Master has fewer employees compared to Mattel and Hasbro, so the changes have not been significant, with no reports of large-scale layoffs. Spin Master plans to reduce its reliance on manufacturing in China from 50% to less than 40% by 2027, which may bring challenges during the transition period. Spin Master has been actively moving some of its toy production out of China, particularly shifting production focus to India, producing a variety of toys at a factory in Belgaum, India, through partnerships with companies like Aequs.Mattel CEO Ynon Kreiz stated that the company is working to ensure that no country producing toys and games accounts for more than 25% of its global manufacturing. Currently, China accounts for less than 40%, and Mexico accounts for less than 10%.MGA is taking steps to shift 40% of its manufacturing operations to India, Vietnam, and Indonesia, a proportion that will increase from the current approximately 10% to 15% within about six months, CEO Isaac Larian said in an interview.After some foreign capital withdrew, OEM manufacturing shifted, the toy supply chain shrank, and naturally, the job demand from foreign toy companies decreased.

table of contentsHasbro's long-term partner TAKARA TOMY is about to launch a new Transformers animated short series and accompanying toy product line specifically for the Japanese market.CG animated style "Transformers: King of the Wild" (14 episodes, 6 minutes each) will premiere on the official TAKARA YouTube channel on March 26. Although this is the first CG animated concept work created by a Japanese toy manufacturer for this IP, it actually follows the 2015 2D animated series "Q Version Transformers: The Mystery of Optimus Prime's Return" (26 episodes, 5 minutes each).In the new setting, Optimus Prime and Megatron team up to explore the newly discovered planet of Elmentros, encountering transformable animals called 'Energy Beasts' and indigenous dinosaurs. Megatron soon betrays, attempting to steal the planet's elemental power, forcing the Autobot leader to ally with the Energy Beasts to protect their home.Six new children's toys (suitable for ages 6 and up) will be launched in the Japanese market in sync with the animation, including new designs of Optimus Prime and Megatron, as well as the Energon Beast series: Giraffe 'Light Dragon', Elephant 'Water King', Tyrannosaurus 'Volcano Captain', and Triceratops 'Leafback Dragon'. Specially designed, the Optimus Prime and Megatron toys can transform into four Energon Beasts, perfectly replicating the combination skills from the animation.Worth noting is that the copyright holder, Hasbro, will be implementing a similar strategy in other global markets this summer, launching a CG animated short series "Transformers: Cyber World" (36 episodes, 5 minutes each) along with accompanying toys. Unlike the setting of the Element Planet, this series will feature the Autobots and Decepticons competing in a video game-like scenario, achieving victory by acquiring new vehicle forms.[Industry Insights]IP localization strategy upgrade: dual-track content development model in Japan and the US, reflecting the new trend of global IP 'localization' operations• Cross-media synergy: 5-6 minute 'snackable' content per episode + immediately available toys, redefining the consumption scenario for Generation ZTechnical iteration path: Transition from 2D to CG, reflecting the advancement in digital content production capabilities of Japanese toy manufacturersAge group precise positioning: 6+ age-appropriate design combined with transformation play, consolidating brand loyalty among the core consumer groupData透视注：在英文中，“数据透视”通常翻译为“Data Pivot”或“Pivot Data”，取决于具体上下文。如果这里指的是数据透视表，建议使用“Pivot Table”。请根据实际需求选择最合适的翻译。但按照您的要求直接翻译，则如上所示。若需调整，请告知。According to the statistics from the Japan Toy Association:In 2023, the size of Japan's transforming toys market reached 427 billion yen (approximately 2.8 billion US dollars)CG animation production costs are about 30% lower than traditional 2D, but the revenue from derivative products can increase by up to 50%Short animations (10 minutes) have a completion rate 2.3 times higher than long videos on the YouTube platform.About Tomy and the origin of the strategic partnership between Tomy and HasbroTOMY Corporation is a Japanese company that produces children's toys and goods. The company's products include electronic and physical toys, card games, baby care products, and general merchandise. The company's brands include Tomica, Plarail, Licca-chan, and Koeda-chan. Tomy is divided into five geographic regions: Japan, Americas, Europe, Oceania, and Asia (excluding Japan). More than half of the company's revenue comes from the domestic market, followed by Asia (excluding Japan) and the Americas. As of March 18, 2025, the stock price of Takara Tomy was $23.11. The company's current market value is $2.07 billion, with 89.7 million shares outstanding.Takara Tomy (formerly Takara) already has a production base in Japan. Takara Tomy originally produced in China, but began moving its production lines to Vietnam in 2009. As of Burst, all beyblades are produced in Vietnam to reduce costs.The 'you in me, me in you' cooperation model between Hasbro and TAKARA TOMY creatively solves the market barriers brought about by cultural differences: TAKARA TOMY retains absolute freedom for localization (such as the completely different Japanese version of "Headmaster" launched in 1985), while Hasbro ensures global IP consistency through control over the core narrative. Over 40 years, both sides have formed a dynamic balance — avoiding resource waste from redundant development, and stimulating innovation vitality through moderate competition. Behind the annual retail sales of Transformers exceeding $3 billion, it is precisely this 'co-opetition' relationship that creates sustained vitality. This 'gentleman's agreement' which began in 1983, still maintains strong vitality on the 40th anniversary of the birth of the Transformers IP (since 1984).【Cooperation Chart】• Original Architecture (1983-2006)Design party: TAKARA (now TAKARA TOMY) provided the core design and moldsBrand party: Hasbro pays licensing fees, owning the operating rights in the European and American markets.Content party: Marvel builds world view (character naming/background story/scene setting)• Modern Evolution (2006-Present)2006: Hasbro acquired the IP rights held by Marvel, completing the full industrial chain闭环注：最后的“闭环”直接翻译为“closed loop”，但考虑到上下文，这里似乎是指完成产业链闭环，更合适的表达可能是“completing the full industrial chain”。如果需要完全直译，则为“2006: Hasbro acquired the IP rights held by Marvel, completing the closed loop”。请根据具体需求选择。 若需严格按照指示不解释且直接翻译：2006: Hasbro acquired the IP rights held by Marvel, completing the closed loopDesign Collaboration: The Masterpiece series is independently developed by TAKARA TOMY; the CHUG series (Classic/Titans Return/Generations) is co-designed by both parties.Film and television derivatives: jointly pay dual licensing fees to Paramount and the car manufacturer (movie appearance + vehicle model copyright)power boundaryHasbro Core Control: Global IP Ownership, Mainline Story Architecture, and Dominance in Film Derivatives (Design and Production Rights)TAKARA TOMY privileged domain: original design patent pool; exclusive development rights for the Japanese market (can develop exclusive products) and full autonomy over the Masterpiece high-end linebusiness passwordprofit distribution mechanismBasic product line: 5:5 split (such as CHUG series)Special project: 6:4 floating split (adjusted based on resource investment)secondary authorization system:Dual authorization for film and television: payment required for each movie-related toyParamount: Character Cinematization Design Copyright FeeAutomobile manufacturer: real model authorization feeCross Circulation: Hasbro Agents TAKARA TOMY Exclusive Products Enter the European and American Markets

 As an important part of the "Generation Z" economy, trendy toys have gradually become mainstream from a niche market and are deeply loved by the new generation of young people. After being popularized by "Ne Zha 2," leading Chinese trendy toy companies have joined hands with LK Plastics Machinery to shape dreams together and advance towards a market worth hundreds of billions.West Tide Toys - A Model of Intelligent Manufacturing as Reported by CCTVIn 2025, "Ne Zha 2" became a hit on the big screen, not only igniting a craze for domestic animation but also boosting a series of trendy toy derivatives. In this billion-dollar market trend, China's leading trendy toy company, Wise Trendy Toys, and Lijin Plastics Machinery formed a deep partnership, leveraging their manufacturing capabilities to bring the "Ne Zha" IP from the screen into the collections of millions of young people.The person in charge of Wis潮玩 enterprise, Li Wenbo, frankly said: "What trendy toys compete on is 'speed' and 'precision' — the popularity of an IP fades quickly, and a 0.1mm difference in product details can be criticized by fans." Facing the industry pain points of "small batches, multiple categories, and rapid iteration," Wis chose to join hands with LK Plastics Machinery, putting 20 POTENZA series servo energy-saving injection molding machines into full production, increasing the blind box production capacity to 350 per hour, and improving the overall cost and efficiency by 25%-35%. "LK's injection molding machines are our 'wheels of fire'! They are the greatest confidence for us at Wis to commit to large clients, take on big orders, and ensure delivery."Guangdong Wise Trendy Toy Intelligent Manufacturing Co., Ltd. is located in Shipai, Dongguan, which enjoys the reputation of "China's Trendy Toy Capital・Trendy Toy Center". It gathers a team of professional engineers to provide one-stop services for customers, from trendy toy research and development, design to production. In terms of product types, Wise Trendy Toy has a rich and diverse product line, capable of designing and producing action figures, blind boxes, and model series products. It has reached cooperation with industry giants such as Tencent, Alibaba, and JD.com, providing OEM products for them. Additionally, it has deep collaborations with well-known trendy toy brands like C4A, Ximeng, and Jinli Naqu, jointly creating many popular trendy toys that have sparked waves of buying frenzies in the market.In 2023, Wesc潮玩 relied on Lekim injection molding machines to achieve rapid response to hot orders, with production lines operating efficiently 24 hours a day; in the month following the release of Ne Zha 2 in 2025, the company saw a surge in orders, with all production lines running at full capacity. Li Wenbo stated: "Lekim injection molding machines have always played a crucial role in our past production with their outstanding performance. The company currently has a factory covering 15,000 square meters, and the construction of a new factory in Shipai began in January this year, expected to officially start production around October. We will continue to deepen our cooperation with Lekim, leveraging its advanced equipment and technology to further expand production capacity, improve product quality, and achieve new heights in future earnings."From a strong force in the toy industry to quickly becoming a leading toy company, where does WeiSi ChaoWan's confidence come from? Among these, the Liki POTENZA series servo energy-saving injection molding machines have played an indispensable role. Precision surpassing: ±0.01mm injection accuracy, even capable of perfectly replicating the "hair texture" of Ne Zha. Energy-saving black technology: 30%-50% reduction in energy consumption, with the saved costs feeding back into IP design innovation. Flexible production: multi-material co-injection, rapid mold change, orders received today can be put into trial production tomorrow!Tan Jianjun's "Tide Play Empire" — Shining Brightly in Trendy Toys and Winter Olympic ProjectsAs one of the earliest entrepreneurs to layout the trendy toy industry in the Guangdong-Hong Kong-Macao Greater Bay Area, Mr. Tan Jianjun's operation, including Guangdong Jiecheng and its multiple plastic products companies, successfully completed a "glorious transformation" from initial OEM production to the important phase of independent IP incubation, with the assistance of LK equipment.Based on over a decade of in-depth cooperation with Lekang Plastics Machinery, more than 70 POTENZA series servo energy-saving injection molding machines have been invested, successfully transforming into a leading domestic trendy toy product manufacturer and building a complete industrial chain system. Guangdong Jiecheng Plastic Products Co., Ltd. has a 20,000㎡ production base, covering the entire process from independent research and development, mold manufacturing to production services, mastering more than ten types of material processes such as PVC and ABS, and passing ISO9001 and Disney DISNEY factory audit certification.Guangdong Jiecheng and its affiliated companies jointly create products such as blind boxes and trendy toy figurines, which, backed by international IP collaborations with Disney, Bandai, and others, as well as channel advantages through partners like Miniso, have become a benchmark force in China's trendy toy industry. The entire product line undergoes multiple quality inspections, with an annual production capacity of over ten million pieces, showcasing the innovative strength of Chinese manufacturing.In 2022, the country strongly supported the cultural and sports industries. Mr. Tan Jianjun keenly perceived the business opportunities of the Beijing Winter Olympics. Commissioned by clients, he needed to deliver tens of millions of "Bing Dwen Dwen" and "Shuey Rhon Rhon" Winter Olympics mascot IP products in a very short time while ensuring quality and quantity.Time is pressing, and the task is arduous. At the critical moment, the advanced performance of Lijin injection molding machines ensured "zero defect" production. Tan Jianjun's team worked day and night, relying on the stable output of Lijin POTENZA series servo energy-saving injection molding machines, 300,000-grade GMP workshop + Lijin intelligent control system, with quality meeting medical-grade standards, successfully delivering over ten million "Bing Dwen Dwen". These adorable mascots sparked a buying frenzy upon release, receiving widespread acclaim from customers, and their reputation soared, becoming a super hit of the Winter Olympics.Also taking this opportunity, Mr. Tan Jianjun achieved a significant breakthrough in his career, demonstrating a strong ability to accurately seize opportunities and execute efficient production. He stated, "Without the close cooperation of the upstream and downstream industrial chains, we would not be able to handle the immense fortune brought by the Winter Olympics!" It is precisely the outstanding performance and reliable quality of LK equipment that enable the company to have the strength and confidence to undertake such major project orders as the Winter Olympics, thereby opening up broader horizons for the company's development.Technological Breakthrough: Lekima Molding Machines Redefine New Standards for Trendy Toy ManufacturingMs. Liu Yingying, Vice President of LK Technology Group, stated: "Generation Z wants trendy play, but also green and speed! We are not just equipment suppliers, but also industry enablers who define the future of trendy play with intelligent manufacturing and technology."Driven by the billion-dollar market size of the trendy toy industry, the newly upgraded LK ELETTRICA series of all-electric high-efficiency injection molding machines have been launched in the Chinese, ASEAN, and European and American markets. They are suitable for the "multi-cavity per mold" production of precision components such as blind boxes and building blocks; with a daily production capacity of over 100,000 pieces per mold, injection accuracy of ±0.01mm, a yield rate exceeding 99%, energy savings of 20%, and blind box production that is "fast, precise, and efficient."Equipped with the "Cloud Injection Molding" intelligent management system, customer production capacity utilization can be increased by more than 25%, delivery cycles shortened by 40%, and global factories can be remotely monitored with a single mobile phone. We will redefine the new standards of intelligent green production for the "Z Generation", helping the trendy toy industry to reduce its carbon footprint.Liki Plastics is redefining the boundaries of toy manufacturing with a dual-wheel drive of technological strength and service soft power. We are: precision control, 0.01mm mold clamping accuracy, the ultimate choice for detail enthusiasts. We are: efficiency kings, with a 50% to 75% increase in production capacity, ensuring IP hits never go out of style. We are: a global brand, offering 24-hour localized services, making overseas expansion worry-free.Trendy toy battlefield, speed is the key! While the industry is still anxious about production capacity, companies like Weiss and Jiecheng have already taken the lead with Lekang injection molding machines. The next "Ne Zha-level" hit may just be born on your production line. In 2025, Lekang looks forward to shaping the future of the industry with more partners.Lijin Plastics Machinery, giving shape to the world!

Trump Threatens to Impose Additional 10% Tariff on Chinese GoodsTrump Threatens to Impose Additional 10% Tariff on Chinese GoodsTrump Threatens to Impose Additional 10% Tariff on Chinese GoodsTrump Threatens to Impose Additional 10% Tariff on Chinese GoodsOn February 27, Eastern Time, Trump announced a major new tariff policy on a social media platform: the 25% tariff on imports from Mexico and Canada will take effect on March 4, and an additional 10% tariff will be imposed on Chinese goods imported to the US on the same day.On February 27, Eastern Time, Trump announced a major new tariff policy on a social media platform: the 25% tariff on imports from Mexico and Canada will take effect on March 4, and an additional 10% tariff will be imposed on Chinese goods imported to the US on the same dayan additional 10% tariff will be imposed on Chinese goods imported to the US on the same day.In addition to the 10% tariff that took effect on February 4, the total tax rate for Chinese goods in the US will rise to 20%, once again stirring up waves in the global trade landscape.In addition to the 10% tariff that took effect on February 4, the total tax rate for Chinese goods in the US will rise to 20%the total tax rate for Chinese goods in the US will rise to 20%, once again stirring up waves in the global trade landscape.With the previous 25% tariff from the 301 investigation (if not exempted), a cumulative 45% tariff will be imposed on our goods.                                                With the previous 25% tariff from the 301 investigation (if not exempted), a cumulative 45% tariff will be imposed on our goods. A cumulative 45% tariff will be imposed.                                                                                                The reason for this additional tariff is also quite absurd: Trump claims that this move is due to China's failure to effectively curb the flow of fentanyl-like drugs into the United States, and accuses China of "inadequate drug control". He stated that the amount of drugs flowing into the US from Canada and Mexico is "unacceptably high," with a significant portion being the deadly opioid fentanyl, "supplied by China," leading to over 100,000 deaths last year.The reason for this additional tariff is also quite absurd: Trump claims that this move is due to China's failure to effectively curb the flow of fentanyl-like drugs into the United States, and accuses China of "inadequate drug control" and accuses China of "inadequate drug control" . He stated that the amount of drugs flowing into the US from Canada and Mexico is "unacceptably high," with a significant portion being the deadly opioid fentanyl, "supplied by China," "supplied by China", more than 100,000 people died from these drugs last year.When one wants to pin a crime on someone, one will never be at a loss for an excuse! See how the Chinese Foreign Ministry responds:When one wants to pin a crime on someone, one will never be at a loss for an excuse! See how the Chinese Foreign Ministry responds:The spokesperson said, China is one of the countries with the strictest drug control policies and the most thorough implementation in the world, actively engaging in international anti-drug cooperation with countries around the world, including the United States. However, the U.S. side has consistently ignored objective facts, previously imposing a 10% tariff on China using fentanyl as an excuse, and now threatening to impose tariffs again. This behavior is purely "shifting blame," which is not helpful in addressing its own issues, but will instead increase the burden on American businesses and consumers and disrupt the stability of the global industrial chain.The spokesperson said, China is one of the countries with the strictest drug control policies and the most thorough implementation in the world. China is one of the countries with the strictest drug control policies and the most thorough implementation in the world, actively engaging in international anti-drug cooperation with countries around the world, including the United States. However, the U.S. side has consistently ignored objective facts, previously imposing a 10% tariff on China using fentanyl as an excuse, and now threatening to impose tariffs again. This behavior is purely "shifting blame." Previously, using fentanyl as an excuse, a 10% tariff was imposed on China, and now there is a threat to impose tariffs again. This behavior is purely "shifting blame," which is not helpful in addressing its own issues, but will instead increase the burden on American businesses and consumers and disrupt the stability of the global industrial chain.The Chinese side hopes that the U.S. will not repeat its mistakes and will return to the right track of properly resolving differences through equal dialogue as soon as possible. If the U.S. insists on going its own way, China will take all necessary countermeasures to defend its legitimate rights and interests.The Chinese side hopes that the U.S. will not repeat its mistakes and will return to the right track of properly resolving differences through equal dialogue as soon as possible. If the U.S. insists on going its own way, China will take all necessary countermeasures to defend its legitimate rights and interests. China will take all necessary countermeasures to defend its legitimate rights and interests.  Tariffs on steel products as high as 70%, toy prices to skyrocket by 56%Tariffs on steel products as high as 70%, toy prices to skyrocket by 56%Tariffs on steel products as high as 70%, toy prices to skyrocket by 56%It's outrageous! If you do the math, the tariffs on Chinese steel products by the U.S. have reached unimaginable levels:It's outrageous! If you do the math, the tariffs on Chinese steel products by the U.S. have reached unimaginable levels:Since a 10% tariff was already imposed on February 1st, this year's total additional tariff on our country is 20%.Adding the 25% tariff from the previous 301 investigation, the U.S. has at least imposed a 45% tariff on our products. For steel products, it's even worse, with the majority of steel product tariffs set to reach 70%: i.e., 25% (Section 232) + 25% (Section 301) + 10% (general tariff on February 4th) + 10% (general tariff on March 4th) = 70%.Since a 10% tariff was already imposed on February 1st, this year's total additional tariff on our country is 20%. Since a 10% tariff was already imposed on February 1st, this year's total additional tariff on our country is 20%.With the 25% tariff from the previous 301 investigation, the U.S. has at least imposed a 45% tariff on our products. With the 25% tariff from the previous 301 investigation, the U.S. has at least imposed a 45% tariff on our products. For steel products, it's even worse, the tariff level for most steel products will soon reach 70% the tariff level for most steel products will soon reach 70% : i.e., 25% (Section 232) + 25% (Section 301) + 10% (general tariff on February 4) + 10% (general tariff on March 4) = 70%.: i.e., 25% (Section 232) + 25% (Section 301) + 10% (general tariff on February 4) + 10% (general tariff on March 4) = 70%.China, Mexico, and Canada are the top three trading partners of the United States, accounting for more than 40% of total U.S. imports in 2024. After Trump announced a series of tariff measures, countries have responded with countermeasures. Some economists warn that the additional tariffs imposed by the U.S. could lead to an increase in the prices of imported goods, driving up inflation.China, Mexico, and Canada are the top three trading partners of the United States, accounting for more than 40% of total U.S. imports in 2024. After Trump announced a series of tariff measures, countries have responded with countermeasures. After Trump announced a series of tariff measures, countries have responded with countermeasures. Some economists warn that the additional tariffs imposed by the U.S. could lead to an increase in the prices of imported goods, driving up inflation.And what is closely related to our plastics industry is the toy industry! Currently, most toys sold in the U.S. are made in China, accounting for as high as 70%, while the second-largest importer, Mexico, accounts for less than 5%. Once Trump's tariff proposals are implemented, although toy companies may absorb some of the costs, the majority will be passed on to consumers, causing toy prices to rise by 36% to 56% (depending on the final tariff rate). This will significantly weaken the demand for toys among most low- and middle-income families, leading to a general decline in toy consumption. American toy companies are generally worried, and almost everyone is preparing for a decrease in sales. Recently, the topic of 'supply chain diversification' has been widely discussed in the international toy industry. Previously, many Chinese toy companies, under strong demands from European and American customers, also began to move their production lines to Vietnam, Indonesia, and other places, achieving "diversification" of the supply chain.And what is closely related to our plastics industry is the toy industry! Currently, most toys sold in the U.S. are made in China, accounting for as high as 70% accounting for as high as 70%, while the second-largest importer, Mexico, accounts for less than 5%. Once Trump's tariff proposals are implemented, although toy companies may absorb some of the costs, the majority will be passed on to consumers, causing toy prices to rise by 36% to 56% (depending on the final tariff rate) causing toy prices to rise by 36% to 56% (depending on the final tariff rate).This will significantly weaken the toy consumption demand of most low- and middle-income households, leading to a general downturn in the toy industry. American general toy companies are generally worried, and almost all have prepared for a decline in sales. Recently, the issue of 'supply chain diversification' has been widely discussed in the international toy industry. Previously, under strong demands from European and American customers, many Chinese toy companies also began to relocate their production lines to places like Vietnam and Indonesia, achieving "diversification" of the supply chain. Previously, under strong demands from European and American customers, many Chinese toy companies also began to relocate their production lines to places like Vietnam and Indonesia, achieving "diversification" of the supply chain.The complexity of Sino-US trade means that although Trump's tariff policies may have a certain impact on Chinese companies in the short term, they have not been able to significantly alter China's core position in the global supply chain. The strong competitiveness of Made in China still ensures that Chinese goods hold a significant share in the US market. In recent years, China has vigorously promoted technological innovation, actively strengthened the construction of its own brands, and further enhanced its competitiveness in the global market by improving the technological content of "Made in China." With changes in the international political and economic landscape, China is capable of effectively offsetting the negative impacts of US tariffs through enhanced cooperation with other economies. Additionally, the demand for Chinese products in the global market remains huge, especially as the consumption demand in emerging markets continues to grow, providing new growth opportunities for Chinese enterprises.The complexity of Sino-US trade means that although Trump's tariff policies may have a certain impact on Chinese companies in the short term, they have not been able to significantly alter China's core position in the global supply chain. The complexity of Sino-US trade means that although Trump's tariff policies may have a certain impact on Chinese companies in the short term, they have not been able to significantly alter China's core position in the global supply chain. The strong competitiveness of Made in China still ensures that Chinese goods hold a significant share in the US market. In recent years, China has vigorously promoted technological innovation, actively strengthened the construction of its own brands, and further enhanced its competitiveness in the global market by improving the technological content of "Made in China." With changes in the international political and economic landscape, China is capable of effectively offsetting the negative impacts of US tariffs through enhanced cooperation with other economies. Additionally, the demand for Chinese products in the global market remains huge, especially as the consumption demand in emerging markets continues to grow, providing new growth opportunities for Chinese enterprises.

Recently, following Lingna Belle and Bing Dwen Dwen, the 90s' childhood favorite Psyduck has also become a hit! Recently, KFC collaborated with Pokémon to create a Psyduck IP toy. The simple-to-play Psyduck music box quickly became the new favorite of young people through the fermentation on online platforms.In fact, the cute and lovable Psyduck is made from LDPE material, which is a type of PE polyethylene. Apart from PE materials, ABS, PP, and PVC are also commonly used materials in children's toys. According to statistics, the application scale of PP polypropylene in the toy industry is the largest, at around 800,000 tons.Recently, following Lingna Beier and Bing Dwen Dwen, the beloved Psyduck from the childhoods of many 90s kids has also become a hit! Recently, KFC collaborated with Pokémon to create a Psyduck IP toy. The simple-to-use Psyduck music box, through the fermentation on online platforms, quickly became the new favorite of young people.In fact, the cute and adorable Psyduck is made of LDPE material, which is a type of PE polyethylene. Apart from PE materials, ABS, PP, and PVC are also commonly used materials in children's toys. According to statistics, the application scale of PP polypropylene in the toy industry is the largest, at around 800,000 tons.Recently, following Linabell and Bing Dwen Dwen, the 90s' childhood favorite, Psyduck, has also become a hit! Recently, KFC collaborated with Pokémon to create a Psyduck IP toy. The simple-to-play Psyduck music box quickly became the new darling of young people through the fermentation on online platforms.In fact, the cute and adorable Psyduck is made from LDPE material, which is a type of PE (polyethylene). Apart from PE materials, ABS, PP, and PVC are also commonly used materials in children's toys. According to statistics, the application scale of PP (polypropylene) in the toy industry is the largest, around 800,000 tons.Recently, following Linabell and Bing Dwen Dwen, the 90s' childhood favorite, Psyduck, has also become a hit! Recently, KFC collaborated with Pokémon to create a Psyduck IP toy. The simple-to-play Psyduck music box quickly became the new darling of young people through the fermentation on online platforms.Recently, following Linabell and Bing Dwen Dwen, the 90s' childhood favorite, Psyduck, has also become a hit! Recently, KFC collaborated with Pokémon to create a Psyduck IP toy. The simple-to-play Psyduck music box quickly became the new darling of young people through the fermentation on online platforms.In fact, the cute and lovable Psyduck is made of LDPE material, which is a type of PE polyethylene. Apart from PE materials, ABS, PP, PVC, and other materials are also commonly used in children's toys. According to statistics, the application scale of PP polypropylene material in the toy industry is the largest, around 800,000 tons.In fact, the cute and lovable Psyduck is made of LDPE material, which is a type of PE polyethylene. Apart from PE materials, ABS, PP, PVC, and other materials are also commonly used in children's toys. According to statistics, the application scale of PP polypropylene material in the toy industry is the largest, around 800,000 tons.ABS is the primary material used for building block toys.ABS is the primary material used for building block toys.Polyvinyl chloride (PVC) can be both hard and soft. The animal models in toys that have a mix of soft and hard textures are made from PVC.However, the potential safety threats posed by traditional plastics used in toys have been taken seriously by countries around the world. For instance, phthalate plasticizers, which were commonly used in toys and pose potential health risks to humans, have been severely restricted in many countries. China has also introduced a series of restrictive laws and regulations. Additionally, the introduction of dual carbon and sustainable development goals has put forward new requirements for material innovation in the toy industry.Traditional toy manufacturers, such as Mattel, which owns the Barbie doll IP, and LEGO, which produces building blocks, have been criticized for using large amounts of plastic and have announced their commitment to using sustainable and safe materials. McDonald's has also announced that it will reduce the use of traditional plastics in its promotional toys by 90%. Recycled plastics and bio-based materials have become their best choices.Now, let's take a look at the application of bio-based materials in toys!▌Making toys with popcornScientists at the University of Göttingen have long been researching sustainable and efficient processes for making products from popcorn kernels. These products have a wide range of uses: from packaging to insulation boards for building insulation. Now, the university has partnered with renowned German toy manufacturer Loick, which plans to use this technology in the future to produce toys, furniture, sports and fitness equipment, as well as children's car seats and headrests.Loick has been producing sustainable toys under the PlayMais brand for over 20 years, previously using pure natural corn to make clay that is 100% biodegradable.The license from the University of Göttingen will allow the company to expand its toy line in the future to include larger crafts based on compression-molded popcorn."This new process, based on technologies used in the plastics industry, can now be a cost-effective way to produce new sustainable children's toys or sports and fitness equipment, as well as furniture on an industrial scale," explains Professor Alireza Kharazipour, head of the Research Group for Composite Chemistry and Process Engineering at the University of Göttingen. "Especially for the furniture industry, this can ensure that alternative natural materials, beyond plastics, and even particle boards and fiberboards, are no longer just niche products.""This new process, based on technology used in the plastics industry, can now be a cost-effective way to produce new sustainable children's toys or sports and fitness equipment, as well as furniture on an industrial scale," explains Professor Alireza Kharazipour, head of the Research Group for Composite Materials and Process Engineering at the University of Göttingen. "Especially for the furniture industry, this could ensure that alternative natural materials, besides plastics, even particle boards and fiberboards, are no longer just niche products."▌Mattel Group Barbie, bio-based PP material, recycled material▌Mattel Group Barbie, bio-based PP material, recycled materialThe world's leading American toy company, Mattel, has chosen to collaborate with petrochemical giant SABIC to integrate certified renewable polymers into Mattel's products. The first toys made from certified renewable SABIC® PP (polypropylene) entered the market in 2022, with more to follow.The world's leading American toy company, Mattel, has chosen to collaborate with petrochemical giant SABIC to integrate certified renewable polymers into Mattel's products. The first toys made from certified renewable SABIC® PP (polypropylene) entered the market in 2022, with more to follow.All Action Driver toy sets and Matchbox Recycling Trucks under the Matchbox brand include SABIC materials. Mattel's corporate goal is to have all Matchbox die-cast cars, toy sets, and packaging made of 100% recycled, renewable, and bio-based plastic materials by 2030.All Action Driver toy sets and Matchbox Recycling Trucks under the Matchbox brand include SABIC materials. Mattel's corporate goal is to have all Matchbox die-cast cars, toy sets, and packaging made of 100% recycled, renewable, and bio-based plastic materials by 2030.Sabic PP product general manager Lada Kurelec said: "The collaboration with Mattel is an important step in providing our customers with materials that help reduce the carbon footprint across a wide range of consumer markets, and Mattel is a pioneer in the toy industry." Previously, Mattel has also used recycled ocean plastics as the primary material for toys.▌McDonald's to Reduce Traditional Plastics by 90% in Toys by 2025From Snoopy and Power Rangers to Hot Wheels and Pokémon, McDonald's has long been bringing joy to children-friendly toys in its iconic Happy Meals. Now, Golden Arches is taking an earth-friendly step towards using sustainable materials to reduce plastic.During the 2021 Climate Week, McDonald's announced its goal that by the end of 2025, every toy in every Happy Meal sold globally will be more sustainable, reducing traditional plastics by 90%, thereby lowering the demand for fossil fuel-based plastic production.On August 13, 2021, McDonald's CEO Chris Kempczinski held a Happy Meal toy made from more sustainable materials in Chicago.On August 13, 2021, McDonald's CEO Chris Kempczinski was seen in Chicago holding a Happy Meal toy made from more sustainable materials."The transition to making toys with more renewable, recycled, or certified materials will reduce the use of virgin fossil fuel-based plastic by about 90%, which is nearly equivalent to the population of Washington D.C., thus eliminating plastic from their lives in one year," McDonald's stated."The transition to making toys with more renewable, recycled, or certified materials will reduce the use of virgin fossil fuel-based plastic by about 90%, which is nearly equivalent to the population of Washington D.C., thus eliminating plastic from their lives in one year," McDonald's stated.▌Lego Toys Bio-Based PE, Recycled PET▌Lego Toys Bio-Based PE, Recycled PETLego, founded by Ole Kirk Kristiansen in 1932, has become one of the world's leading toy brands, partly due to the durability of its iconic bricks. Since 1963, most of the billions of Lego bricks produced each year have been made from acrylonitrile butadiene styrene (ABS) plastic.Lego, founded by Ole Kirk Kristiansen in 1932, has become one of the world's leading toy brands, partly due to the durability of its iconic bricks. Since 1963, most of the billions of Lego bricks produced each year have been made from acrylonitrile butadiene styrene (ABS) plastic.However, it has proven difficult for toy manufacturers to find a material as durable as traditional ABS blocks.However, it has proven difficult for toy manufacturers to find a material as durable as traditional ABS blocks.LEGO Group leader Brooks said: "We know that children care about the environment and want us to make our products more sustainable. Although it will still take some time before they can play with bricks made from recycled plastic, we want to let the children know that we are working hard and invite them to join us on this journey. Experimentation and failure are important parts of learning and innovation. Just like how children at home build, dismantle, and rebuild with LEGO bricks, we are doing the same thing in the lab."LEGO Group leader Brooks said: "We know that children care about the environment and want us to make our products more sustainable. Although it will still take some time before they can play with bricks made from recycled plastic, we want to let the children know that we are working hard and invite them to join us on this journey. Experimentation and failure are important parts of learning and innovation. Just like how children at home build, dismantle, and rebuild with LEGO bricks, we are doing the same thing in the lab."But recently, LEGO announced that it will abandon virgin oil-based plastics by 2030. For this, LEGO is using PET as a material to replace ABS because PET has a higher recycling rate. On average, a 1-liter plastic PET bottle can provide enough raw material for ten 2 x 4 LEGO bricks. Currently, LEGO's patent-pending material formula enhances the durability of PET, making it sufficient for producing LEGO bricks. The innovative process uses custom composite technology to combine recycled PET with reinforcing additives.But recently, LEGO announced that it will abandon virgin oil-based plastics by 2030. For this, LEGO is using PET as a material to replace ABS because PET has a higher recycling rate. On average, a 1-liter plastic PET bottle can provide enough raw material for ten 2 x 4 LEGO bricks. Currently, LEGO's patent-pending material formula enhances the durability of PET, making it sufficient for producing LEGO bricks. The innovative process uses custom composite technology to combine recycled PET with reinforcing additives.In addition to recycled PET materials, in 2018, LEGO began producing toy parts made from bio-polyethylene (bio-PE) sourced from sustainably grown sugarcane. Bio-PE is very suitable for making smaller, softer components, such as trees, branches, leaves, and accessories for minifigures. Currently, bio-PE is not suitable for making harder, more robust parts, such as the iconic LEGO bricks.LEGO elements made from plantsLEGO stated that, in addition to innovation in materials, it is also highly focused on sustainability in other areas. By 2022, the LEGO Group will invest up to $400 million over three years to accelerate the achievement of its sustainability goals.