NEWARK, N.J., Nov. 23, 2010 /PRNewswire/ -- Toy retailers in the U.S. are anticipating a bright holiday season, reports PIERS, the standard in trade intelligence. U.S. containerized imports of toys increased by 20 percent on a year-to-date basis, January through September, amounting to 398,137 TEUs. However, price increases may be on the horizon for many toy manufacturers who are already dealing with tight profit margins.
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The most popular toys on a year-to-date basis include many traditional items including plastic, plush and stuffed toys, tricycles and scooters as well as Nintendo home video game ensembles, originating primarily from China.
Toys from China (including exports through Hong Kong) far surpass other source countries. On a year-to-date basis, 91 percent of toys imported to the U.S., originate from China, up 19.3 percent over the previous year. Vietnam and Taiwan import 1.1 percent of toys, which increased by 38 percent and 44 percent respectively. Vietnam continues to grow rapidly, showing a 90 percent compound annual growth rate (CAGR) over a ten year period (2000/2001 – 2009/2010). Taiwan's growth volumes have been flat over the same timeframe, while the CAGR for Czech Republic grew 41 percent and Germany 10 percent.
"Although consumer spending in the U.S. is recovering, there remains the risk of price increases in the near future", says Mario Moreno, Economist at PIERS. "The continuing appreciation, albeit slow appreciation of the Yuan relative to the dollar, will negatively impact Chinese toy manufacturer profit margins, specifically those making low-value toys". Moreno continues, "If the Yuan moves too fast, and demand continues to grow, toy manufacturers may be forced to raise prices in order to remain in business".
The busiest U.S. ports handling inbound shipment of toys include the Port of Los Angeles and the Port of Long Beach. Los Angeles handled 106,741 inbound TEUs of toys year-to-date, up by 22.7 percent and Long Beach handled 91,608 TEUs up by 24.7 percent.
Regarding foreign ports, 54 percent of all toy shipments to the U.S. on a year-to-date basis came from the Port of Shenzhen, a 21 percent share gain from 2001. The Port of Shanghai, on the other hand, gained 6 percentage points, to 12 percent, displacing the Port of Hong Kong to third place. The Port of Hong Kong handled 46 percent of total outbound shipment of toys to the U.S. in 2001, but since then, it has lost significant traffic, handling just 11 percent of all toy shipments, year-to-date.
About PIERS - PIERS is the global import and export information service that provides powerful tools and data for measuring markets, analyzing competition and uncovering opportunities. Launched more than 35 years ago, PIERS was the first venture in digital global trade intelligence and quickly became the industry standard for accuracy, reliability and insight. Thousands of subscribers from public and private businesses, trade associations and governments around the world rely on PIERS to guide their global business strategies. PIERS is a division of UBM Global Trade, and a sister company of The Journal of Commerce. For more information, visit www.piers.com , or call 800-952-3839 (+1-973-776-8660).
About UBM Global Trade - UBM Global Trade is the leading provider of proprietary data, news, business intelligence and analytical content supporting commercial maritime, rail, trucking, warehousing and logistics industries worldwide. The company's portfolio of more than 100 online, print and interactive workflow business solutions includes The Journal of Commerce, Breakbulk, RailResource, PIERS and an array of international trade and transportation databases and directories. UBM Global Trade, a subsidiary of United Business Media Limited, is headquartered in Newark, NJ, with offices throughout the United States. For more information, explore www.ubmglobaltrade.com or call 800-223-0243 (+1-973-848-7250 outside the U.S. or Canada).
SOURCE PIERS
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