I like to read the People’s Daily, the official news organization of the Chinese Communist Party. You can find little tidbits of information that give you some insight on what the government is doing and its potential impact on the toy industry.
I was reading an article entitled "RMB reform restarts, to aid China and world” when my eye caught the following words:
Now fairly ensured the global economic recovery is on a solid footing and its exports had rebounded since April, Beijing finally decided to enhance the RMB exchange rate flexibility, to help squeeze out low-value labor-intensive production, and to soothe rising outside cries that the RMB must be revalued.
“Low-value labor-intensive production”??? That’s us.
The Chinese government does not want to make those inexpensive plastic toys anymore. Just more proof that the end of the China era of toy production is, if not coming to a close, is likely entering the last act.