Clear Signals

 

HIC Clear Signals Briefs

week of December 23, 2025

HIC Meets with USTR on Tariff Impacts and Relief Pathways for the Hobby Industry

Summary

Last week, on December 18, Hobby Industry Coalition (HIC) leadership — Stacey and Chris, along with HIC adviser Rick Gates — had an online meeting with senior staff at the U.S. Trade Representative (USTR) to present the coalition’s case for targeted relief and to discuss how current tariff policy is affecting the toy and hobby supply chain.

While USTR emphasized that no formal exclusion process exists at this time and that any exclusions granted to date remain very limited, the discussion was substantive and detailed. The meeting focused on the realities facing a small-business industry with long lead times, high SKU counts, and limited ability to absorb sudden cost shocks.

Who We Met With

HIC met with Jennifer Bang, Assistant U.S. Trade Representative, and a group of USTR staff focused on China tariff policy and small-business impacts. The meeting included multiple subject-matter specialists covering Small Business, Section 301 tariffs, and Chinese trade. The USTR team came prepared with specific questions informed by HIC’s briefing materials.

What Was Discussed

HIC emphasized several factors central to the hobby industry’s exposure:

  • Small-business structure: The hobby sector is a network of small manufacturers, distributors, and Main Street specialty retailers — unlike mass-market toy brands selling primarily through big-box channels.

  • Operational constraints: Long product development cycles, high SKU counts, and limited administrative and financing capacity make sudden policy shifts especially disruptive.

  • Real-time impacts: Ongoing volatility and tariff pressure are accelerating store closures and weakening the planning environment for 2026 product cycles.

  • Tariff mechanics: USTR asked clarifying questions about how current tariffs are applied in practice and how prior tariff regimes affected the sector.

What We Heard

USTR reiterated that its current posture remains highly restrictive with respect to exclusions. At the same time, the meeting confirmed that USTR is actively evaluating small-business impacts and is open to continued engagement on the specific realities facing specialized sectors such as the hobby industry.

What This Means for HIC Members

While the meeting does not change current tariff obligations, it strengthens HIC’s advocacy position by:

  • Ensuring the hobby sector’s facts, constraints, and urgency are understood at both the policy and political levels.

  • Establishing an ongoing channel  for follow-up questions and targeted impact data.

  • Identifying potential non-exclusion support pathways, including small-business resources, that may provide interim assistance while tariff policy remains unsettled.

What Happens Next

HIC will continue follow-up engagement and share additional updates with members as actionable items emerge. Near-term priorities include:

  • Supplying USTR with refined, sector-specific impact data.

  • Reviewing and sharing practical small-business resources that may offer near-term assistance.

  • Continuing executive-branch  outreach focused on targeted relief for HTS 9503 goods and a stable, predictable trade policy environment.

Supporting the Coalition 

HIC’s ability to engage constructively with policymakers depends on sustained participation from across the hobby industry. This engagement with USTR reflects the value of a coordinated, industry-specific voice representing manufacturers, distributors, retailers, and allied businesses.

Readers who recognize the importance of this work are encouraged to support and join the Hobby Industry Coalition. Additional information on membership and participation will be shared in the coming days as HIC outlines its 2026 advocacy priorities.

Join the Hobby Industry  Coalition

Bottom Line

HIC’s meeting with USTR was a serious, working-level engagement with the right policy staff in the room. While immediate tariff relief remains uncertain, the coalition’s message — centered on small-business impacts, real-time retailer strain, and the unique structure of the hobby ecosystem — was heard clearly and will inform continued advocacy. Momentum will continue in the new year, and there is significant value in sustaining the Coalition’s work.

Disclaimer

The information provided in this Clear Signals article is believed to be accurate as of its date of publication and is offered for informational purposes only. It does not constitute legal, financial, or business advice. Readers should consult their own legal or trade advisors and independently verify any information before taking action.

Thank you for your continued support and Happy Holidays to All.