Article

2007-09-21 China-Japan-Koreas

Mattel apologizes to China for toy recalls

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Posted by Zhang Fei 2007-09-21 14:10|| || Front Page|| [2 views ] Top

#1 I am going to guess that Mattel was threatened with the immediate cessation of contracts with its Chinese suppliers. Going forward, Mattel will need to diversify its suppliers to other countries. But for this coming Christmas season - if Mattel wants to have any toys to sell at all, it will need to use its Chinese suppliers. Come next year, expect Mattel to start making its subcontractors open plants outside of China.

Think of this as similar to the very sorries uttered by Colin Powell over the EP-3 spy plane incident, it was necessary to get the hostages out. Except in this case, the hostages are the toys Mattel needs to make this Christmas season a successful one. I think this kind of coercion will backfire. Every company out there that makes stuff in China will see this for what it is - an extorted and false confession. Why deal with this kind of stuff - along with product liability issues - when other East Asian countries provide better quality products with fewer worries (albeit at a slightly higher cost)?

Posted by Zhang Fei 2007-09-21 14:13|| http://timurileng.blogspot.com]">[http://timurileng.blogspot.com] 2007-09-21 14:13|| Front Page Top

#2 i think Mattel's Christmas season is already toast, and the rank and file citizen has i believe started looking a little deeper when making purchases. Mattel wasn't responsible for the tainted feed, or toothpaste. I still maintain that there QA system sucked, and should have caught this; Mattel is not squeaky clean by any means.

Posted by USN, Ret. 2007-09-21 14:29|| 2007-09-21 14:29|| Front Page Top

#3 I don't foresee any Mattel toys for my grandchildren. Any company investing in China should take heed. After the Chinese have destroyed your reputation with defective products you get to crawl on your belly taking blame for letting them do it.

Posted by RWV 2007-09-21 14:37|| 2007-09-21 14:37|| Front Page Top

#4 USN: i think Mattel's Christmas season is already toast, and the rank and file citizen has i believe started looking a little deeper when making purchases.

I believe Mattel makes all its toys in China via subcontractors. If the Chinese abrogated those contracts, Mattel would have zero revenues for the Christmas season - not a healthy situation for a company with $400m a quarter in fixed costs. Toast might mean a 20% drop in revenues and a break even quarter. The cessation of Chinese contracts means a $400m loss.

Posted by Zhang Fei 2007-09-21 14:40|| http://timurileng.blogspot.com]">[http://timurileng.blogspot.com] 2007-09-21 14:40|| Front Page Top

#5 saying it had recalled more lead-tainted toys than justified.

Because some of those lead-tainted toys were safe even for teething babies. At least by Chinese standards.

A year from now China may need all the American Treasuries they can get their hands on, just to pay worker's compensation to the sudden increase of unemployed.

Posted by trailing wife 2007-09-21 14:59|| 2007-09-21 14:59|| Front Page Top

#6 Next, Mattel to add Burqa Barbie and Jihad Joe to its Ramadan line of toys.

Posted by Nimble Spemble 2007-09-21 15:03|| 2007-09-21 15:03|| Front Page Top

#7 apology sounds like utter bullshit too me

Posted by sinse 2007-09-21 15:30|| 2007-09-21 15:30|| Front Page Top

#8 Maybe Mattel will introduce a new action figure accessory: The take-apart EP-3E, complete with inflight damage from the Chinese fighter that rammed it and a lttle bathtup floatie toy of the Chinese pilot's body after he hit the bird. Add-ons can include the US aircrew, complete with blindfolds.

Posted by USN, Ret. 2007-09-21 16:03|| 2007-09-21 16:03|| Front Page Top

#9 It may be a coerced apology, but I will definitely think three times about getting any Mattel toys for the Tsarevich after reading this.

Posted by Swamp Blondie 2007-09-21 16:04|| 2007-09-21 16:04|| Front Page Top

#10 More good news: according to CNN.com / money, Simplicity is recalling about a million Chinese made cribs because they are put together wrong and can cause suffocation. I don't know about you, but between the shoddy bullshit workmanship and the cost cutting of the US companies that enable this sort of behavior, i think it is going to keep getting worse before it gets better.

Posted by USN, Ret. 2007-09-21 16:30|| 2007-09-21 16:30|| Front Page Top

#11 Come next year, expect Mattel to start making its subcontractors open plants outside of China.

This is the bottom line. China's predatory economic growth needs a stick jammed in into its spokes. Somehow, America must reinvigorate its own industrial manufacturing base. Trusting semi-literate third world nations to implement functional quality control is stupid from the get-go.

between the shoddy bullshit workmanship and the cost cutting of the US companies that enable this sort of behavior, i think it is going to keep getting worse before it gets better.

Much as with the huge conflict of interest presented by patronizing Wal-Mart, American consumers must begin to understand the hidden costs to themselvesand society as a wholethat accompany basing all purchasing decisions solely upon price sensitivity.

Posted by Zenster">Zenster 2007-09-21 16:45|| 2007-09-21 16:45|| Front Page Top

#12 What an ass kissing maggot.

Posted by bigjim-ky 2007-09-21 18:57|| 2007-09-21 18:57|| Front Page Top

#13 Tests had found that lead levels in paint in recalled toys were as high as 110,000 parts per million, or nearly 200 times higher than the accepted safety ceiling of 600 parts per million.

Ahh, isn't that 11% lead? Now is that by weight or by volume; makes a difference, don't you know.

Posted by KBK 2007-09-21 20:08|| 2007-09-21 20:08|| Front Page Top

#14 Here's a qualifying statement from Mattel:

Some reports of Mattel's meeting today with Chinese officials have been mischaracterized.

Since Mattel toys are sold the world over, Mattel apologized to the Chinese today just as it has wherever its toys are sold.

The U.S. Congress has focused its inquiry on lead paint, given its long history of interest in that issue. Mattel has told the Chinese, as we did the U.S. Congress, the lead-related recalls arose because a minority of manufacturers did not follow the company's rules. In fact, Chinese officials have informed Mattel they are pursuing criminal charges against several individuals connected with at least one of those manufacturers.

Mattel informed the U.S. House Energy and Commerce Committee in a letter dated September 5th (available on the Committee's website), "The magnet-related recalls account for roughly 11.7 million of the recalled toys shipped to retailers in the U.S. The magnet-related recalls do not involve lead paint or manufacturing failures by Mattel or its vendors, including vendors in China." The magnet recall was a result of Mattel having adopted a new design standard for securing magnets in toys and retroactively applying that higher standard. To the extent that the Chinese were criticized for magnet-related recalls, Mattel apologized.

Mattel has always believed and publicly stated that our toys must be safe regardless of where they are produced or by whom.

I suspect Debrowski will soon be looking for a new job, thanks to his skilful handling of this matter. And Li will get a promotion for his skill at sticking it to whitey.

Posted by Zhang Fei 2007-09-21 22:13|| http://timurileng.blogspot.com]">[http://timurileng.blogspot.com] 2007-09-21 22:13|| Front Page Top

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