Demands for Tariff-Free Magic: The Gathering Toys Persist Due to Continued Sales
Hasbro, the creators of beloved games like Magic: The Gathering and Dungeons & Dragons, has largely evaded the tariff storm unscathed –– for now. As CEO Chris Cocks articulated in a recent investor call, the company is "navigating the global trade situation" smoothly, thanks to its digital game offerings and mostly domestic production for its board game division.
Wizards of the Coast, the subdivision behind the magic of the tabletop world, maintains a low tariff exposure. Most domestic production takes place in North Carolina and Texas, and their international manufacturers are based in Kyoto, Japan and Europe –– currently tariff-exempt regions.
Though China remains a significant manufacturing hub, it's the only source of D&D boxed sets that aren't home-grown. Regardless, Cocks acknowledges the intricate logistics their operations have to endure and calls for a more consistent, favorable U.S. trade policy.
Chris Cocks highlights two potential drawbacks of prolonged tariff conditions: increased consumer prices and the potential loss of jobs. He also warns of reduced profits for shareholders. Yet, his guidance for the company remains unchanged, supported by the burgeoning games and licensing businesses and Hasbro's strategic flexibility.
The card game Magic: The Gathering, in particular, boasts a stellar Q1 2025-2026, with a 46% revenue growth. Crediting its continued licensing success, especially the upcoming Final Fantasy crossover, the Universes Beyond set is set to release on June 13 and is already breaking records as the best-selling Magic set ever.
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- In the games industry, Hasbro, renowned for Magic: The Gathering and Dungeons & Dragons, has arguably weathered the tariff storm well, with CEO Chris Cocks leading the navigational efforts.
- Wizards of the Coast, responsible for board games like Magic: The Gathering, happens to have a low tariff exposure due to domestic production in North Carolina and Texas, and international manufacturing in Japan and Europe, regions currently exempt from tariffs.
- Amidst the complex logistics and potential threats to their business, such as increased consumer prices, job losses, and reduced profits for shareholders, Hasbro is betting on the success of its burgeoning games and licensing businesses, such as the anticipated Magic: The Gathering crossover with Final Fantasy, to secure its future.
