ATLANTA — Toy retailers in Atlanta, who import much of their inventory from China, worry that the recently imposed 145% tariff will result in higher priced toys for them, and their customers.
“About 85% percent of the toys we carry are made in China. I think it’s scary what’s going to happen when those containers start hitting in the next week or two. We’re going to start to see where those costs are getting passed. What’s going to be passed on to us, and what we are able, or not able to do with the final sticker,” Joe Novak told Channel 2’s Tom Regan.
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Novak, is co-owner of Kazoo Toys on Roswell Road in Buckhead. He’s been in business at the location for a dozen years. He explains what set his toy store apart from big box retailers and on line stores.
“You come into here, we got service, we got a fun atmosphere, and we have people who know toys,” Novak said.
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He told Channel 2 Action News that he sells about 5,000 different toys and other items for children of all ages. Novak says he began rushing orders a few weeks ago, ahead of the tariffs. He hopes those along the toy supply chain will share the impact of tariff induced price hikes.
“The manufacturer is going to take a little bit of it. The distributor is going to take a little bit. The retailer is going to take a little bit of it. So, it’s split three or four ways before it gets to the consumer. We are not going to raise prices until they are raised on us,” Novak said.
Whatever happens, Novak believes his customer will support him.
“I would like to think so. We make sure everyone leaves with a smile on their face,” Novak said.
Novak and other toy retailers are hoping the U.S. and China can come to a resolution that would reduce tariffs before the holiday gift buying season begins.
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