New lead laws worry toy companies
Posted
Jan 05 2009, 02:28 PM
by
Kim Peterson
Rating:
Remember those toy recalls last year on worries about lead and chemical contamination? A new law addressing the issue has toy companies worried about how much it will now cost to stay legal.
The law forces toy companies to pay independent labs to confirm that every component of a toy doesn't have damaging lead or contain six chemicals singled out as harmful.
Sounds good, except that testing costs could get outrageous. One company says a lab wants $24,000 to test just one telescope, according to the Washington Post. A German toymaker is getting out of the U.S. market altogether.
Another worry is that the law is so broad it could hurt companies in unexpected ways. For example, the valve on a bicycle tire might contain enough lead to be illegal. Though kids don't often chew on bicycle tires, the valve issue could potentially make it illegal to sell children's bikes.
Even the office that's supposed to enforce the law admits it's "running ragged." All kinds of businesses are asking to be exempted from the law, including ballpoint pen makers and book publishers.
Sounds like the big toy companies, like Hasbro (HAS) and Mattel (MAT), can handle the changes. The law could hurt the smaller shops that don't have the money to pay for testing or the political clout to get the proper exemptions. The changes could not come at a worse time for the toy industry, which has seen bankruptcies lately in the economic turndown.
Image credit: Aeae, Creative Commons license