Super7 Layoffs Have Begun - Plus The Latest On Tariffs And The Toy Industry

In one of our least favorite types of news to report on, we have seen in the past 24 hrs several former employee's take to social media platforms like Facebook and LinkedIn to inform people that they have been let go from Super7. The implied reason for the layoffs seem to be the current situation with Tariffs that has recently been rocking the toy industry.

Super7 who are known for making 7" Ultimate and 4" ReAction action figures is a privately held company so they aren't required to make any kind of public statements when it comes to things like layoffs, and at this time Super7 has made no formal announcements about this. So it is unknown just how many people at this time have been laid off or if more layoffs will be coming soon.

Yesterday it was announced that the U.S. and China where many toys are manufactured had agreed to pause the current Tariffs between the two countries for 90 days, though the U.S. does still have a 10% Tariff in place on China plus an additional 20% Tariff due to issues over Fentanyl. Talks between the two countries about Trade are expected to continue in the coming weeks.

While the temporary pause on Tariffs between the U.S. and China were widely celebrated, especially on Wall Street were several publicly traded toy companies like Mattel, Hasbro, Jakks and Funko had a good day yesterday, the uncertainty of the whole situation still continues to cause havoc on the industry. Especially when it comes to smaller toy companies.

Even Hasbro as I write this still has new pre-orders on their Pulse website unavailable which is something they did last Friday when it was expected they were going to be raising U.S. MSRP prices on many of their action figures.

Communications between toy manufacturers, wholsalers and retailers also still seem to be quit sporadic as everyone tries to figure out where things go from here.

We will update on all of this as things develop.