As the prices of Pop Mart toys have increased with the Beijing-based retailer’s global expansion, the Chinese customs authorities have repeatedly stopped suspected smugglers, reported China Daily.
According to the report, the Chinese customs agents have intercepted and seized undeclared toys multiple times from passengers who reportedly seek to profit from resales.
The customs agents recently confiscated as many as 318 toys from three travellers at Changsha Huanghua International Airport in Hunan province. In another case, a passenger at Hefei Xinqiao International Airport in Anhui province was caught with 94 toys.
The media report claims that travellers are reportedly buying the toys overseas and bringing them back into China.
Due to currency fluctuations or local discounts, Pop Mart toys are sometimes sold at lower prices offshore than in China. Currently, the firm has more than 500 stores in over 30 countries and is expanding internationally.
“To put it simply, the high price is both about hype and the effect of international popularity,” China Daily quoted Peng Peng, executive chairman of the Guangdong Society of Reform think tank, as saying.
“Chinese consumers and businesspeople are interested, more or less,” he added. “Business opportunities that can promote consumption cannot be missed.”
Various reports claim that a few Pop Mart stores outside China have attracted long queues, large crowds and even fights.
Safety concerns
The Pop Mart’s retail chain on 19 May announced on Instagram that it would pause sales of its toy line for The Monsters at its UK stores until further notice. It cited safety concerns following chaotic scenes at some of its stores, added the report.
Labubu, one of Pop Mart’s famous toys, was created by Hong Kong-born designer Lung Ka-sing. It is a series of stuffed elflike monsters with furry bodies, pointed ears and sharp teeth.
The company’s Molly figurines, also designed by a Hong Kong artist, resemble a cartoonish young girl with emerald eyes.
Both toy series were seen being carried by world-famous celebrities, such as Lisa from the K-pop group Blackpink. This has given the toys extra edge over other toys and fuelled the craze for it.
Resale value
The report mentioned that a Molly figurine was valued at the equivalent of $208 but could be resold in China for $320. Also, once priced at 99 yuan ($13.8), a Labubu “hidden edition” doll now sells for more than 2,000 yuan.
According to Peng, efforts are required to stop people smuggling the dolls. “Combating smuggling has always been a difficult problem, but as long as you persist, it will be effective, which can be seen in China’s fight against online fraud,” Peng said.
However, Hong Kong-based lawyer Joe Simone thinks otherwise and says the crackdown is unlikely to escalate. According to him, the traveller would pay a fine for inaccurately declaring merchandise, and the case would be shut. “The authorities can only catch so much. How often does customs even look through your luggage?” he asked.