Ocean freight rates soared 385% from last year and were seven times the pre-pandemic norm at the end of October, according to data from Freightos. Mattel also locked in ocean freight capacity and rates well in advance, a trend among many companies prioritizing security of supply over costs. "We are ready for a strong holiday season." "We leveraged our scale, our diverse manufacturing footprint to optimize nearshoring of production," Kreiz said. are manufactured overseas according to the American Toy Association, leaving toymakers highly exposed to port congestion and escalated ocean freight costs on the Transpacific.Īs other businesses warn their toys may not make it in time for the holiday season, Mattel remains confident it can meet the high demand for its products, in part because it shifted production closer to its distribution base.
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