As trade tensions between the United States and China escalate, Indian toy industry leaders see a new window of opportunity to elevate the country’s position in the global toy export market. The steep tariffs imposed by the US on Chinese toys are creating a vacuum that India is keen to fill.
The US has recently levied a 145 per cent import tariff on toys from China, a move that could alter global supply chains. China, which previously accounted for nearly three-quarters of the US toy imports, is likely to lose significant market share.
This shift, according to Indian trade officials, can be a game-changer for domestic manufacturers.
Akshay Binjrajka, President of the Toy Association of India, highlighted the potential this development brings for Indian exporters. He noted that India is well-placed to take advantage of this situation and compete with Chinese toys, both in terms of quality and price.
The US toy market, valued at over $41 billion, presents an enormous opportunity for India to expand its footprint, he said.
India’s toy exports have seen consistent growth over the past decade, rising from $40 million in 2014-15 to an estimated $152 million in 2023-24.
At the same time, toy imports from China have dropped sharply due to India’s tightening of import regulations and a focused push to promote domestic manufacturing. Imports from China fell from $235 million in FY20 to just $41 million in FY24.
Binjrajka, who also heads the toy sub-committee at the Bharat Chamber of Commerce, said this transformation reflects how India is shifting from being import-dependent to becoming a serious contender in the global toy market.
He said that Indian manufacturers are now scaling up operations to not only serve domestic demand but also enter new international markets.
However, he cautioned that unregulated and low-cost Chinese toys continue to enter the Indian market through informal channels, undermining local production and profitability.
With the new US tariffs in place, there is a risk that more of these toys may be diverted to India. Binjrajka urged the central government to strengthen port surveillance and enforce stricter compliance through the Bureau of Indian Standards (BIS) to prevent substandard imports.
He also made an appeal to West Bengal Chief Minister Mamata Banerjee to take proactive steps to support the local toy industry. He said the state, with its strategic location, access to a seaport, skilled labour, and raw materials, is well-equipped to become a major toy manufacturing hub.
What is needed now, he emphasised, is the establishment of a dedicated toy manufacturing cluster — a demand that has been pending for years.
Binjrajka stressed that the toy sector, dominated by micro, small and medium enterprises, holds the potential to generate significant employment and attract investments. He added that if India is to become a leading global supplier in the toy industry, West Bengal must be at the forefront of that journey.
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