Donald Trump's War on Christmas

Newsweek

06-05-2025

Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources.
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In 2015, Donald Trump, then a longshot presidential candidate, launched a campaign to reclaim Christmas from what he described as a creeping wave of political correctness.
"If I become president, we're going to be saying 'Merry Christmas' at every store," he said on the trail that fall. Trump was casting the secular shift toward inclusive greetings like "Happy Holidays" as a cultural threat. A year after his surprise win, his team declared victory in the so-called "War on Christmas."
"You can say again, 'Merry Christmas,' because Donald Trump is now the president," said then-campaign manager Corey Lewandowski.
But a decade later, the promise of a restored Christmas is clashing with the reality of Trump's own second-term economic policies, with a 145 percent tariff on Chinese imports—enacted as part of a sweeping trade agenda—beginning to disrupt supply chains just as retailers prepare for the holiday season.
"We have a frozen supply chain that is putting Christmas at risk," said Greg Ahearn, CEO of the Toy Association, in a New York Times interview. The Toy Association is currently lobbying the U.S. government to grant an immediate reprieve from tariffs on toys imported from China so that inventory can reach retail shelves in time for Christmas.
In 2015, Donald Trump launched a campaign to reclaim Christmas from what he described as a creeping wave of political correctness.
In 2015, Donald Trump launched a campaign to reclaim Christmas from what he described as a creeping wave of political correctness.
Photo-illustration by Newsweek/Getty
"If we don't start production soon, there's a high probability of a toy shortage this holiday season."
Defending his protectionist trade agenda, Trump has latched onto a hypothetical that critics say rings closer to Maoist China than a Republican U.S. president. In recent interviews and press briefings, Trump has argued that American children "don't need 30 dolls"—just two or three, or maybe four or five. But definitely not 30.
While many parents might agree with President Trump that their little ones probably don't need another Barbie, toy makers, retailers and economists say that idea might be a tougher sell as tariffs on Chinese imports begin shaking up the holiday shopping season.
The irony is stark: after years of railing against what he called attacks on Christmas, Trump's policies may end up doing more to upend the season than any cultural shift.
'A Grinch Trying to Steal Your Christmas'
During last year's campaign, billionaire and former Dallas Mavericks owner Mark Cuban warned that tariffs on Chinese goods would raise the cost of Christmas for American families. "Donald Trump is a Grinch trying to steal your Christmas," Cuban said then.
That warning is now playing out. Economists say the full impact of the tariffs has yet to appear because many companies front-loaded shipments to the U.S. ahead of the approaching "Liberation Day" tariff announcement.
"Many Chinese firms accelerated exports to the U.S. in Q1," said Henry Gao, a professor of trade law. "But as inventories shrink, cost pressures will surface more clearly in the second half of the year."
A worker makes red Santa Claus hats for export at a factory on April 28, 2025 near Yiwu, Zhejiang Province, China. The Yiwu area is home to thousands of China's small commodities companies, many of...
A worker makes red Santa Claus hats for export at a factory on April 28, 2025 near Yiwu, Zhejiang Province, China. The Yiwu area is home to thousands of China's small commodities companies, many of which in recent years due to trade tensions with the United States have looked to the Middle East, Africa and South America for new business. After President Trump put tariffs as high as 145 percent on Chinese goods, many producers saw orders from American clients cancelled or at least temporarily put on hold. More
Photo byHoliday toy shipments typically leave ports in Asia around June to arrive in time for August and September inventory resets. Jonathan Gold of the National Retail Federation said the impact of higher tariffs will be felt soon. "The uncertainty around the tariffs is challenging for businesses, especially for small businesses that are currently preparing for critical winter holiday orders," he said in a statement.
Owen Carr, chief merchandising officer for e-commerce firm Spreetail, told Modern Retail the holiday toy pipeline has been effectively frozen due to the lack of clarity around the on again, off again tariffs.
"If you think the tariffs are going to go from 145 percent to 50 percent, you don't want to be the idiot that imported at 145 percent, because you'll never get that money back," he said.
As families brace for the potential of a bare-bones holiday season, retailers like Aldik Home in Los Angeles are stuck in limbo. Owner Larry Gold told the Times he's holding back $600,000 worth of artificial Christmas trees ordered from China, unsure whether he will be able to afford to bringing them in.
With political pressure mounting, some in the White House have been directly asked whether the administration's policies are threatening the holidays. Critics were quick to point out that Trump's newfound turn to austerity by calling for families to consume less is difficult to reconcile with his long-standing branding around luxury and excess, to say nothing of the money his family is raking in from crypto and other related businesses tied to their name.
"Trump and Musk do not have a clue what it means for a working-class family trying to buy presents," Senator Bernie Sanders said on CNN, bringing in Elon Musk, the world's richest man and top Trump surrogate, to paint the administration as out of touch with working people.
But Trump has not backed down, again delivering his now-familiar line about "the children" having too many dolls on both "Meet the Press" and again to reporters on Air Force One over the weekend.
A Different World
Central to the Trump administration's economic argument is that the tariffs will bring back American manufacturing. But economists and supply chain experts say the premise is deeply flawed.
"We don't necessarily have the requisite capabilities in the workforce or supply chain to support such manufacturing activities. So when they say restore, that suggests bringing things back, and even then those capabilities might have been attrited," Willy C. Shih, a professor of management practice at Harvard Business School, told Newsweek.
While major retailers like Walmart have pledged to absorb some of the initial shocks—telling investors they're prepared to take a hit to their margins in the coming quarter—small and medium-sized importers are far less protected.
A Barbie play set for sale at FAO Schwarz toy store in New York City on April 8, 2025. US toy group Mattel, the maker of Barbie dolls and Hot Wheels cars, has said that...
A Barbie play set for sale at FAO Schwarz toy store in New York City on April 8, 2025. US toy group Mattel, the maker of Barbie dolls and Hot Wheels cars, has said that it may have to raise prices as it imports components from China, following US President Donald Trump's threats to hit China with additional tariffs. More
Photo by TIMOTHY A. CLARY / AFP) (Photo by TIMOTHY A. CLARY/AFP via Getty Images
"A toy that sells for $30 today could cost nearly $70 under these tariffs," warned Jay Foreman, CEO of Basic Fun, the company behind Tonka trucks and Care Bears. He noted that businesses like his lack the margins to absorb such increases without passing the cost on to consumers.
The ripple effects extend far beyond toys. U.S. dependence on Chinese manufacturing touches nearly every household category. Trade data shows that more than three-quarters of products like video game consoles, electric toothbrushes and kitchen blenders sold in the U.S. are made in China.
Christmas in the Summer
In one of his final remarks before leaving office in 2021, Trump claimed he had ended the so-called war on Christmas. "When I started campaigning, I said, 'You're going to say 'Merry Christmas' again.' And now people are saying it," he said.
But with Trump's second term now underway, the war on Christmas may have taken a new turn. The fight over language might be over, but the economic impact of his policies could make celebrating harder than ever—with Americans already thinking about the gifts they're going to give come December.
Although the Trump administration announced limited exemptions for electronics such as smartphones and laptops in April, those could be rescinded. In fact, just last week, the administration revoked tariff exemptions that previously allowed e-commerce platforms like Temu and Shein to ship low-cost goods directly to U.S. consumers without import fees. Both companies have already raised prices on select items and adjusted logistics to route through domestic warehouses instead.
Companies like Nintendo and Microsoft—both major players during the holiday season—are also feeling the strain. Nintendo has faced delays in pre-orders for upcoming products like the Switch 2 console, citing uncertainties around sourcing and pricing. According to an internal assessment memo from a Nintendo supplier, seen by Nikkei Asia, the majority of Switch consoles are manufactured in China.
Microsoft, while not explicitly pointing to tariffs, attributed an eye-popping price hike on its Xbox consoles to broader "market conditions and the rising cost of development."
A guest plays Mariokart World of the new Nintendo Switch 2 video-game console system of Japanese video-game company Nintendo during the worldwide presentation at the Grand Palais in Paris on April 2, 2025.
A guest plays Mariokart World of the new Nintendo Switch 2 video-game console system of Japanese video-game company Nintendo during the worldwide presentation at the Grand Palais in Paris on April 2, 2025.
Dimitar Dilkoff/AFP via Getty Images
That uncertainty is reshaping consumer behavior. Families are already adjusting how—and when—they shop. A recent GOBankingRates report encouraged early holiday purchases, citing price hikes and potential shortages. "Memorial Day sales may be a good chance to snag low prices on imported items like tech, toys, apparel, appliances, and home goods," the report noted.
Even as the Trump administration celebrated strong jobs data—April's report showed 177,000 jobs added, beating expectations—concerns linger over economic instability. GDP figures for the first quarter showed the economy contracting, raising the specter of a possible recession later this year.
Still, the White House remains confident the country is on the right track. "The tariffs are going to be great for us," Trump told NBC News on Sunday. "It's going to make us rich."