VietNamNet Bridge - Japanese toy makers are paying increasing attention to Vietnam as a production foothold.

At present, about 90 percent of Japanese-brand toys are manufactured in China.

Cheap imported toys flood the maket

However, rising material prices and labour costs, coupled with a series of safety problems with Chinese-made toys found recently, are prompting Japanese toy makers to consider changing their production bases.

Earlier this year, Bandai Co., a toy-making arm of Namco Bandai Holdings Inc., started producing capsule toys in Vietnam’s central Da Nang city, Japan ’s Jiji Press reported.

Bandai intends to increase production in Vietnam by urging partner factory operators in China to expand into the Southeast Asian country, Namco Bandai President Takeo Takasu said.

In September, Tomy Co., better known as TakaraTomy, began manufacturing its popular Kurohige Kiki Ippatsu (Pop-Up Pirate) toys in Vietnam’s northern Hai Phong city for shipments to Europe.

TakaraTomy intends to shift 30 percent of its production in China to Thailand and Vietnam over the next three years.

Labour costs in Vietnam are about one-third of those in China , and the diligence of Vietnamese people is highly appreciated, a TakaraTomy official notes.

Both Bandai and TakaraTomy, however, have yet to make full-fledged investments in Vietnam because of still insufficient development of parts, printing and other related industries in the country.

(Source: VNA)