Pop Mart Expands Supply Chain to Mexico, Cambodia, Indonesia

Chinese toy manufacturer Pop Mart International Group has added production facilities in Mexico, Cambodia, and Indonesia to its global supply network. The strategic expansion, announced Jan. 5, 2026, aims to meet rising international demand for its collectible figures and plush toys, specifically its viral Labubu character.

Pop Mart's "blind box" model, where buyers purchase mystery-packaged figurines without knowing the exact design inside, has fueled a global craze. Labubu, the elf-like monster from "The Monsters" collection, exploded on TikTok and Instagram in 2025, with influencers unboxing rare variants and sparking resale markets. This surprise-element collectible trend has resonated especially with Gen Z and millennial consumers, blending nostalgia, scarcity, and social sharing.

The Beijing-based company operates through a partner-led manufacturing model rather than owning its own factories. By integrating local partners in these new territories, Pop Mart seeks to improve supply chain resilience and global product accessibility. Previously, the company’s production bases were concentrated exclusively in China and Vietnam.

In Mexico, the move taps into nearshoring advantages amid US-China trade tensions. Facilities near Mexico City could create thousands of jobs and slash shipping times to North America by weeks, leveraging the USMCA trade agreement for tariff-free exports. Cambodia and Indonesia offer cost-effective labor and proximity to Southeast Asian markets, diversifying away from China-centric risks.

This shift toward localized supply mitigates logistics costs and boosts delivery efficiency for key markets, as noted in recent reports. Wang Ning, CEO, Pop Mart, previously estimated overseas sales would surpass domestic Chinese revenue by late 2025, a milestone now achieved.

Production Surge and Financial Performance

To sustain momentum, Pop Mart scaled manufacturing to 30 million plush units monthly by late 2025, a tenfold jump from 2024. Financials reflect this: a 396.5% net profit leap and 204.4% revenue surge in 1H25, propelled by Labubu (35% of sales) and hits like Molly and Crybaby. Shares rose over 200% year-to-date, valuing Pop Mart above Mattel and Sanrio.

Potential US tariffs, quality consistency across partners, and protecting IP from counterfeits pose risks. Yet, Pop Mart edges competitors like Funko by emphasizing limited-edition drops and pop-up events, fostering scarcity-driven loyalty.

Pop Mart now boasts 571 stores and 2,600 kiosks in 18 countries. With daily sales potentially hitting 10 million units amid sellouts, projections eye 20-30% annual growth through 2027, fueled by new IPs and e-commerce.