Hasbro withdrew part of its production from China, Zeng Wan Dachang has only 500 employees now

Recently, after our toy store platform reported that Dongguan Rongli Toys was closed, many fans were discussing that another toy giant in Guangzhou was layoffs. The scale of the factory was rapidly shrinking in recent years. There were only a few hundred people left in the former 10,000-person factory. It is Guangzhou Richeng Toys. Guangzhou Richeng Toys Co., Ltd. is a large-scale Hong Kong-funded toy manufacturer established in 1993. The factory is located in Taihe Town, Baiyun District, Guangzhou More than 40,000 square meters, shopping and transportation are convenient. The production process includes mold manufacturing, injection molding, rubber coating, spraying and coloring, car and electronics, assembly, etc., with first-class injection molding, rubber coating, fixtures and advanced electronic production equipment. The company's main customer is the American toy giant Hasbro. Five years ago, the products produced mainly included soft cotton dolls. It used to produce millions of plush toys each year, which were exported to various parts of the world. In the past two years, it has produced plastic and electronic toys. The address of Richeng Toys Factory is located at No. 34, Liansheng East Road, Taihe Town, Baiyun District, Guangzhou. It is said that the factory did not give Richeng because the main Hasbro company gave new products to OEM factories in Vietnam, India, etc., and then gave Richeng orders for some old products, and the number of orders was scattered, and the factory had to take it. Insufficient MOQ, small orders, inconvenience to open and purchase materials, these are not enough to feed employees and suppliers. This year, there is also the rising sun, Yongqin and other large toy factories have also left Hasbro. Yongqin sold its Shenzhen factory last year, and Heyuan Yongqin will soon transform and no longer focus on the toy industry. Because of political reasons, it is inconvenient for us to elaborate. However, the trade tensions between the world's two largest economies have prompted large American wanj manufacturers to explore other production markets. This is a fact. In 2019, Hasbro, Mattel toy giant announced that it will continue to move part of its production out of China... Hasbro, the world's leading toy manufacturer, announced that it will reduce the number of products made in China to 50% by 2020, compared with 69% in 2018 and 86% in 2012. The planned production will be transferred to the United States, Mexico, Vietnam and India. As a result, since 2019, there has been a wave of migration. Some Chinese OEM factories have been requested by Mattel and Hasbro customers to move their production to Vietnam or India, including Huasheng Group, Shunlian Animation, Large toy factories such as Taiqiang Precision have successfully completed the relocation of part of their production by 2020. It can be said that there is containment before, followed by chasing soldiers, and containment before. It means that as my country's industrial technology improves, it has formed competitive relations with developed countries in more and more fields, and developed countries that occupy an advantageous position are adopting The establishment of new trade rules restricts our country. Later, there are chasing soldiers, which means that the era of cheap labor has passed with the accelerated rise of labor costs in our country. Many toy manufacturing bosses are unwilling to relocate. They are unwilling to detail the facts in front of them, fantasize about the past glory, believe that history will repeat itself, and wait to die. Perhaps many media still emphasize that Guangdong is still the main base for toy manufacturing, but in fact some toy factories have to move out to survive, and some factories that have not had time to respond have stampede. We can count them down: Shenzhen The rising sun announced that it would completely move out of Pinghu, Shenzhen, and the Shenzhen factory would be closed. Shenzhen Baofade went bankrupt after the start of 2020. Many colleagues have asked that the toy manufacturing industry has also withdrawn a lot in Dongguan. The supplier of Mattel Mico, which went bankrupt in 2019, closed down in Dongguan Yafa, the supplier of Hasbro, which closed in March 2020, Panduit Toy Factory, and the toy store platform. Top 12 toy factories reported. Recently, two major toy factories have ceased production: Xu Ke and Quanta. There are also a number of relatively small processing companies. They have closed their doors. There is no one in the industry to mention and discuss them. There are too many. Refer to the previous article: In 2020, the two major toy factories in Dongguan will stop production, and take stock of the 18 major toy factories that have disappeared in Dongguan in recent years. How many do you know? Maybe many colleagues are unwilling to believe this fact, whether we believe it or not, but this is happening. The recurrence of the epidemic, coupled with the Sino-US trade war, will inevitably be a unique shock in history for many toy manufacturing factories, large and small, that rely on foreign trade orders. There are also factory owners who fantasize about reducing manpower through automation, thus eliminating the need for relocation. Large-scale automation is difficult for the toy industry's scattered orders and strange products to be promoted on a large scale. Therefore, the times are changing, promoting industrial transformation and upgrading, and eliminating outdated production capacity. This is an irreversible trend in Guangdong toy manufacturing. A large toy factory with tens of thousands of people may become history in Guangdong.