Shantou's Chenghai District, producing one-third of the world's plastic toys, reported resilient exports in H1 2025 as manufacturers navigated U.S. tariff shifts through accelerated shipments and smart manufacturing upgrades. Despite U.S. tariffs briefly spiking to 145% in April—causing inventory pileups for holiday-themed goods—60% of exporters leveraged a 90-day tariff reprieve (May–August) to fulfill paused American orders, with companies like Weili Intelligent scheduling production through September.
Strategic Adaptations Driving Resilience
Dual-Track Manufacturing: Facing long-term tariff uncertainty, factories adopted a "China HQ + Southeast Asia production" model. While Vietnam-based plants cut tariffs by 15%–20%, precision part shortages there extended lead times by 7
days. Thus, complex orders stayed in Chenghai, where supply chains enabled 15-day rapid prototyping for products like dinosaur water guns (monthly sales: 500,000 units).
Tech-Driven Transformation: Companies like MoYu Culture exemplify Chenghai's shift from OEM to smart manufacturing. Its fully automated Rubik's cube line reduced labor from 200 to 2 workers while slashing defect rates to 0.01%, and its AI-enabled cubes connect global players via app integration. Similarly, Aotai Toys’ electric water guns, now 60% of output, use bio-based plastics to boost durability by 50%.
Market Diversification: Exporters expanded to ASEAN and Africa (up 35% YoY orders via Vietnam) while boosting domestic sales. Hunan Sannysondy’s Nezha figurines, fueled by a hit film, saw tripled domestic revenue, aided by customs-led trade reforms. Youth-focused water guns also drove 20% production growth as adults joined water festivals.
Policy and Compliance as Growth Levers
Chenghai Customs tightened quality oversight, adopting updated ISO 8124-6:2023 safety standards to ensure export compliance. Simultaneously, platforms like JD.com accelerated "export-to-domestic sales" initiatives, waiving 3C certification bottlenecks to clear $800,000+ inventory for bubble-toy exporters like Xian Chaoqun.
Conclusion: Redefining Global Play
Chenghai’s toy industry thrives by balancing agility—capitalizing on tariff windows—with enduring upgrades in automation and eco-materials. As MoYu founder Chen Yonghuang asserts, the goal is establishing "Chinese standards globally," merging cultural IP with Industry 4.0 to future-proof exports. With ASEAN now critical amid U.S. trade flux, this "smart + diversified" blueprint positions Chenghai to lead the next era of play.
Post time: Jul-23-2025
