Toys industry to be the next industry to face supply shortage and increasing prices, children won’t be happy

Since the start of the pandemic, almost every business faces workers and supply shortage over time depending on seasonality or current pandemic measures.

According to experts, the next industry to face supply shortage and increasing prices is the toys industry.

Just at the beginning of the shopping and holiday season, increased prices and toys shortages are expected in stores as a result of the pandemic-related shipping container crisis, with Chinese ports backed up, and shipping fees at all-time highs, Forbes informs.

According to Forbes, the prices for a single shipping container before the pandemic used to cost around $5,000, but now companies will have to almost $20,000 for a single container from Asia to USA.

That’s led to Mattel warning it will be raising prices this holiday season, though it won’t list specific toys just yet.

CNN Business surveyed toy executives and says many predict 5% to 10% price hikes, with fewer holiday time and Black Friday promotions.

The CEO of the company that owns LOL Surprise dolls told CNN Business, “There is going to be a major shortage of toy products this year.”

And that’s not the only issue for now. Currently, there is major truck drivers shortage in United States so once the toys are delivered from Asia, another challenge is expected here, who is gonna transfer the products to their final destination.

If something doesn’t change in a short period of time, truck drivers shortage may also delay the shipping for all the other goods during the holiday season.

The CEO of Little Tykes says, “Everything that could go wrong has gone wrong at the same time.”

That means supplies of some hot toys could be short well before Black Friday, making it important to shop early.

Experts believe that Play Station 5 fiasco won’t be seen again since many people are still waiting to get their PS5, almost second Christmas in a row. Meanwhile, Sony accused the global chip shortage and shipping issues for the shortage, even though that explanation is not accepted from a company like Sony.