ROSEVILLE, Mich. – Though the calendar says July, financial reports suggest it may be time to start thinking about holiday shopping. New trade policies and higher tariffs are driving up prices on popular gift items.
According to recent financial data, the cost of dolls, stuffed animals and games has jumped 2.2 percent.
Roughly 75 percent of toys come from China, which faces a 30 percent tariff on all incoming goods.
Demand for baby items is rising at the Veterans Thrift Store in Roseville. The store carries strollers, bassinets, clothes and essentials like diapers, wipes and formula.
Supply chain experts say now is the time to buy — and it’s not just about price.
Jason Miller, professor of supply chain management at Michigan State University, warns shoppers to plan ahead.
“When you start thinking about what items you want to buy, take kids’ toys for the Christmas season. That’s when I’d pull your purchases up a little bit sooner, simply because the specific items you want may not be there in the quantities you’re expecting this year,” Miller said.
Miller cautions that the biggest challenge for holiday shoppers won’t be higher prices but reduced product variety and assortment. This could affect holiday décor, large appliances and baby items as well.
Sandra Bower, founder of Veterans Thrift Store and the nonprofit Vets Returning Home, explained how the store saw an increase in demand for baby items. She describes the inventory as high-quality items, some gently used while others brand-new. The store often slashes prices below big-box stores. Relief for families, especially for those just starting off. What’s a deal for shoppers is also a lifeline for those who served our nation.
The thrift store sells high-quality items, some gently used and others brand new. Proceeds support unhoused veterans.
“The veterans are really struggling, and they need our support,” Bower said. “It’s a win-win all the way around.”
Supply chain expert details tariff impact on prices and availability
Miller explained that tariffs and supply chain disruptions are causing retailers to order fewer quantities of certain items, reducing variety.
“If your costs go up and you don’t believe you can pass all of that on to the consumer, you will order less quantity,” he said. “You become more willing to have stockouts of items.”
He advised shoppers to buy specific desired items as soon as they become available.
Miller also noted that large appliances are now subject to tariffs, which could raise prices by about 15% over the next year.
“Items for infants — car seats, strollers — are mostly made in China, and production can’t quickly shift because of testing and certification requirements,” he said.
While smartphones and laptops are currently exempt from tariffs, a national security investigation could lead to tariffs on semiconductors and related products in the future.
Miller said it often takes nine months or more for tariffs to fully impact prices through the supply chain.