Pop Mart’s Labubu craze proves one simple truth. Smart businesses can turn toys into billions of dollars.
Dongguan leads global art toy manufacturing by producing 85% of China’s art toys and 25% of global anime merchandise. The city houses over 4,000 toy production enterprises with industrial output reaching 16.657 billion RMB by 2022, making it the top global capital for trendy collectibles.
From our experience as sourcing agents, we’ve seen how Dongguan changed from a traditional manufacturing hub into the center of the trillion-dollar art toy revolution. The city’s unique mix of precision manufacturing, celebrity-driven viral marketing success like Labubu, and a complete supply chain system creates amazing opportunities for e-commerce businesses. Today, we’ll show you exactly how smart entrepreneurs can use this manufacturing powerhouse to build profitable art toy businesses.
How Labubu Exploded Around the World?
Celebrity endorsements can make products go viral overnight. But what drove Labubu’s billion-dollar success?
Labubu exploded globally through IP incubation & authorization + blind box model + omni-channel retail + fan community operation. BLACKPINK’s Lisa’s Instagram endorsement triggered viral demand, while Pop Mart’s record revenue of RMB 13.04 billion in 2024 proved its commercial success worldwide.
The turning point came when BLACKPINK’s Lisa showcased Labubu on Instagram, dangling it from a Louis Vuitton bag. This single post triggered viral interest across Asia and beyond. The celebrity influence expanded globally in 2025, with major icons including Rihanna, David Beckham, Kylie Jenner’s daughter, and Dua Lipa expressing their fondness for Labubu. The trend reached such heights that Thailand officially adopted Labubu as a tourism mascot in 2024.
The international market explosion tells an incredible story. THE MONSTERS series contributed RMB 3.04 billion with an extraordinary 726.6% year-on-year growth. International revenue surged 375.2% to RMB 5.07 billion in 2024. Southeast Asia emerged as the fastest-growing market, contributing RMB 2.4 billion with a 619.1% surge. Revenue from the Americas and Europe experienced explosive growth of 900% and 600% year-on-year respectively. The demand became so intense that Pop Mart temporarily suspended sales across all 16 UK locations due to safety concerns. Limited editions now resell for 20-30 times their original price.
| Market Region | Revenue Performance | Growth Rate |
|---|---|---|
| Southeast Asia | RMB 2.4 billion | 619.1% YoY |
| Americas | Explosive growth | 900% YoY |
| Europe | Strong expansion | 600% YoY |
| Overall International | RMB 5.07 billion | 375.2% YoY |
Labubu’s popularity is largely due to its unique business model, but its high quality requirements and rapid response also pose extreme challenges to production processes and flexible production efficiency. Dongguan’s trendy toy supply chain has met these challenges and achieved mutual success.
What Makes Dongguan Into the Capital of Art Toys?
Manufacturing leadership requires more than just factories. What specific advantages make Dongguan unbeatable?
Dongguan became the art toy capital through nearly 1,500 supporting businesses creating a complete system. The Chinese art toy market reached RMB 61 billion in 2023 with 35% CAGR growth, positioning Dongguan as the global manufacturing center.
Dongguan has been working hard for over 10 years. They kept improving their skills and upgrading their production technology. Now Dongguan has built the most efficient complete supply chain in the toy industry. People who know about Dongguan’s toy manufacturing often hear this saying: Start from Shipai Town’s toy center. Within 5 kilometers and a 15-minute drive, you can find everything you need. This includes design, sampling, production, shipping, and sales – the whole process. Companies bring their drawings to Shipai factories. From design to mass production, they can cut 20 days off their usual timeline. This convenience is real, not an exaggeration.
The market size numbers also reveal Dongguan’s important role. Industry forecasts predict the market will nearly double to RMB 110 billion by 2026. This growth path shows the incredible potential of China’s art toy industry. The broader Chinese toy market was also valued at USD 22.8 billion in 2024 and is projected to reach USD 50.6 billion by 2033 with a CAGR of 8.61%.
Globally, the picture becomes even more exciting. The global art toy market was valued at USD 200 billion in 2023 and is expected to reach USD 1,000 billion by 2030, representing a CAGR of 15%. The toy collectibles market expects growth from USD 19.2 billion in 2023 to USD 45.2 billion by 2031, with a CAGR of 10.6%.
The "kidult" trend drives this explosive growth, with adults accounting for 28% of global toy sales. ToyCity achieved annual sales of approximately 180 million yuan in 2023, representing over 20% year-on-year growth. The company owns 32 trademarks, 33 design patents, and 305 copyrights. By 2022, Dongguan had 87 major companies involved in art toy production, showing the city’s focused expertise and innovation capabilities.
Complete Guide to Sourcing Art Toys from Dongguan?
Finding reliable suppliers can make or break your business. How do you source art toys effectively?
Start by understanding Dongguan’s manufacturing system. China Art Toy Center in Shipai Town supports 28 enterprises and generates annual revenue of RMB 680 million. China produces 70% of world’s toys with exports exceeding USD 88 billion in 2023.
Step 1: Identify Manufacturing Zones
From our experience at Green Sourcing, Dongguan’s strength lies in its connected supply chain and specialized zones. Shipai Town can shorten lead times from 15 days to 10 days through "AI+" empowerment and connected operations. This efficiency comes from Dongguan’s "one-hour industrial circle" that enables all production stages within a short radius.
Step 2: Understand Market Opportunities
The global blind-box category generated USD 13.5 billion in 2024, expected to reach USD 31 billion by 2031 with 5.5% year-over-year growth. The broader toy collectibles market shows similar potential, with growth from USD 19.2 billion in 2023 to USD 45.2 billion by 2031, representing a CAGR of 10.6%.
Step 3: Work with Experienced Partners
We help businesses through our sourcing services by managing supplier relationships, quality control, and logistics for art toy importers. Our experience includes working with Dongguan’s specialized system to ensure quality and timely delivery for international markets.
| Key Manufacturing Data | Dongguan Statistics | Market Impact |
|---|---|---|
| Toy Enterprises | 4,000+ companies | 85% of China’s art toys |
| Supporting Businesses | 1,500+ | Complete system |
| Industrial Output | RMB 16.657 billion | Global leadership |
| Art Toy Companies | 87 major players | Focused expertise |
Conclusion
Dongguan’s art toy leadership offers incredible opportunities for businesses ready to use this trillion-dollar trend.
FAQ
What makes Dongguan different from other toy manufacturing regions?
Dongguan combines unmatched scale, precision, and speed. The city’s specialized system and 85% share of China’s art toy production offer expertise that other regions cannot match.
How much should I budget for art toy sourcing from Dongguan?
Budget varies based on complexity and quantity. Consider sampling costs, tooling expenses, and production volumes. Factors include design complexity, materials, and certification requirements for your target markets.
What certifications do I need for importing art toys?
Requirements vary by market. EU needs CE marking and EN71 compliance. US requires CPSIA testing. Work with experienced sourcing agents to ensure compliance with all necessary standards.
