Parents are bracing for sticker shock at the toy store—here’s what’s driving the price hike

If toy prices are giving you whiplash lately, you’re not alone. According to federal data, prices spiked 2.2% this spring—the sharpest monthly rise on record, according to the latest Consumer Price Index from the Bureau of Labor Statistics. That’s 22 times the national inflation rate.

Economists point to newly imposed tariffs on Chinese imports—currently paused at 30% but previously as high as 145%—as a major reason for the price hike. More than 75% of toys sold in the U.S. are made in China.

What this means for parents this season

Some toymakers have raised prices by up to 30% to offset tariffs—and industry giants like Mattel and Hasbro have warned of disruptions, including price increases and layoffs. Meanwhile, smaller toy stores are scaling back, closing locations, or skipping new product launches.

In response, parents are pivoting. Fast.

Retailers are seeing clear trends:

• Families are gravitating toward lower-cost classics: puzzles, sensory toys, plushies.
  
• Pricey items like $75 block sets are sitting on shelves while $30 stuffies fly.
  
• More families are hitting consignment stores, organizing toy swaps, or leaning on Buy Nothing groups.
  

As toy shop owner Amy Rutherford told The Washington Post, “We’re doubling down on what we know will sell. No risks this year.”

Related: Fisher-Price recalls more than 250,000 stroller toys due to choking hazard

Why it matters beyond the price tag

Toys play a critical role in child development, supporting everything from creativity to social-emotional growth.

When families scale back out of necessity, it can limit the ways kids explore creativity, connection, and open-ended play. And once again, moms are absorbing the emotional labor of trying to make magic happen while the system works against them.

How to stretch your toy budget without shrinking the joy

Whether you’re prepping for birthdays, back-to-school, or the holidays, here are some budget-friendly ways to keep the fun going:

1. Choose open-ended toys. Magnetic tiles, blocks, and craft supplies stretch farther than toys with one function.
   
2. Think secondhand first. Check out Kidizen, GoodBuy Gear, or local consignment stores.
   
3. Lean into DIY sensory play. Rice bins, water beads, or dried beans can entertain toddlers for hours.
   
4. Swap with your circle. Host a neighborhood toy swap or join a local gifting group.
   

And remember: some of the best play is totally free. Blanket forts. Nature walks. Silly storytime voices that leave your kid in giggles.

Related: Mom unboxes her 30-year-old Toy Story toys—and her toddler’s joy is straight out of a Pixar movie

The bigger picture

Tariffs and inflation may be driving prices up, but the deeper issue is the unrealistic pressure placed on moms to stretch every dollar and make childhood feel magical—even when policy decisions stack the odds against them.

So no, your child doesn’t need 30 dolls. But they do deserve a society that doesn’t treat their joy like a luxury item.

In moments like this, it helps to remember that “enough” doesn’t have to mean more. It might be fewer toys, a favorite plushie, or an afternoon where you both disappear into a blanket fort. Whatever it is—it counts. And you’re doing just fine.

Sources:

1. Toy prices are rising at record pace amid new tariffs. June 24, 2025. The Washington Post. Toy prices are rising at record pace amid new tariffs.
2. Consumer Price Index News Release. May 2025. Bureau of Labor Statistics. Consumer Price Index News Release.
3. The power of play: A pediatric role in enhancing development. September 2018. American Academy of Pediatrics. The power of play: A pediatric role in enhancing development.
4. Economic hardship and child development. 2022. Society for Research in Child Development. Economic hardship and child development.