China cracks down

Licences revoked, factories closed and lead paint banned as China reacts to recalls.
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It has taken less than 20 days for more than 300 toymakers to have their export licenses suspended and about 2,000 unlicensed factories to be shut down, according to a statement from China's head of the General Administration of Quality Supervision, Inspection and Quarantine, Li Changjiang (pictured).

The Government department has also signed an agreement with the US Consumer Product Safety Commission (CPSC) to immediately stop using lead paint in its manufacturing of toys exported to the US.

The Chinese agency is to increase its inspections of consumer products bound for the US and to assist the CPSC in detecting hazardous products to the manufacturer, distributor and exporter in China as part of the agreement.

Meanwhile, Mattel’s chief financial officer, Kevin Farr, said the firm is to take a charge for the third recall of toys in its Q3, according to a report on Forbes.com.

The article reported that the charges include costs for increased product testing and vendor inspections but that Farr expects them to be smaller than the $28.8 million incurred in Q2 for the first two recalls.

Farr is quoted: “The most important thing to understand is that we’re going to do what is necessary to make sure our products are safe”.

“We have a great line up of fun, safe toys for the holiday season. We’re going to work very hard to make sure products are safe for holiday season and we expect consumers to come out and buy our products “.

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