Pop Mart adds Mexico production site to boost US supply
The company is set to release later this week multiple toy series
POP Mart International Group said a new manufacturing hub in Mexico has started operations, supplying collectible toys to meet surging consumer demand in the fast-growing North American market.
The Mexico facility joins newly established factories in Cambodia and Indonesia, supporting the Chinese toymaker’s expansion of its supply chain beyond China and Vietnam, a Pop Mart spokesperson told Bloomberg News, without disclosing further details. Pop Mart does not have its own factories but collaborates with manufacturing partners.
Pop Mart has been bolstering its production capacity since its toothy doll Labubu became a global sensation in 2025. Demand for the dolls, often packaged in blind boxes to encourage shoppers to collect different varieties, spiked from China and Japan to the US and South-east Asia last year, leading to persistent shortage at physical stores and driving up resale prices.
“This partner-led network ramps up supply capacity and enables timely, universal access to new products for consumers worldwide,” a Pop Mart spokesperson said.
The Labubu maker has emerged as a rare example of a Chinese consumer brand gaining worldwide popularity. The company is betting heavily on the US market, aiming to double its store count there this year from about 60 outlets and 100 so-called “roboshop” vending machines currently.
However, questions over the sustainability of the Labubu craze have weighed on Pop Mart’s Hong Kong-listed stocks, which have slumped about 40 per cent from a record high in August. Investors have been particularly concerned about demand for collectible toys during the US holiday season, based on third-party sales data.
Still, analysts at Morgan Stanley said in a note on Monday (Jan 5) that such alternative data might have underestimated Pop Mart’s North American sales potential. They added that non-Labubu dolls have become stronger growth drivers in the fourth quarter of 2025.
Shares of Pop Mart rallied as much as 5.7 per cent in Hong Kong on Tuesday, the biggest jump in more than a month and marking a third consecutive day of gains.
“We are seeing a recovery of confidence in leading new consumption companies,” said Morningstar analyst Jeff Zhang, adding that Pop Mart’s new product launch in early 2026 is expected to drive fresh sales growth. The company is set to release later this week multiple toy series, including a collection of plush pendant toys for the year of the horse, featuring a mixture of its popular characters. BLOOMBERG
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