The Blubber

President Donald Trump has threatened to slap a 100% tariff on Mattel, the maker of Barbie, after the company’s CEO said it would continue producing goods overseas while reducing its dependence on Chinese manufacturing.

“I heard they said, ‘We’ll just move somewhere else,’” Trump told reporters in the Oval Office on Thursday. “That’s fine. Let them try. We’ll hit their toys with a 100 percent tariff, and they won’t sell a single one in the United States — which is their biggest market.”

Newsweek has contacted both Mattel and the White House for comment outside regular hours.

Why It Matters
Trump’s threat comes as the toy industry — especially dolls — becomes an unexpected battleground in the administration’s trade war. Industry leaders have warned that steep tariffs on Chinese imports could drive up toy prices dramatically, and many are urging the administration to carve out exemptions to avoid shortages or price hikes ahead of the holidays.

The White House has largely dismissed those concerns. Trump has previously remarked that fewer dolls might not be a bad thing for American children — and now, he’s targeting one of the most recognizable doll brands in the world.

Context
Trump’s comments came shortly after he announced a new trade deal with the U.K. focused on cars and metals. He was responding to a question about Mattel’s decision to raise prices in light of rising tariffs.

Earlier this week, Mattel announced it would implement pricing changes in the U.S. due to what it called “shifts in global trade dynamics and U.S. tariffs.” On its earnings call, CEO Ynon Kreiz cited price hikes as one of three key steps the company was taking to manage the fallout, alongside scaling back reliance on Chinese production and expanding its global supply base.

When asked by CNBC if shifting manufacturing back to the U.S. would save money under the new tariffs, Kreiz replied: “We don’t see that happening.”

He added that producing goods in other countries with greater efficiency made more sense, while continuing to base product design and innovation in the United States.

Reacting to Mattel’s price adjustments — and similar moves by Ford — Trump suggested companies were using tariff-related concerns as bargaining tactics. “I think they say these things just to try to negotiate better deals with me,” he said.

Trump’s remark about Mattel “trying to go somewhere else,” and his retaliatory threat, seemed aimed more at the company’s broader supply chain strategy than any specific move to exit China entirely.