Toy manufacturers are grappling with a massive bottleneck that is disrupting their global transportation caused by the pandemic and a blockage of the Suez Canal. The delay in stocking shelves could last four months, greatly disrupting the holiday season, according to CNBC.

Companies like MGA Entertainment, the maker of LOL Suprise, Little Tikes, and Rainbow high only have enough inventory to meet 65% of its orders and their anticipated sales growth is expected to drop from 50% down to 18% or 20%.

As companies struggle to meet demand, prices for shipping containers have gone through the roof with one container now costing $20,000, after originally costing only $3,200.

“It’s a really, really complex set of problems that has a chain effect, and I’m afraid that this will continue for a long time,” said Isaac Larian, CEO of MGA Entertainment.

“I can see an ocean full of containers, Ship after ship after ship full of containers waiting to unload."

Hasbro CEO Brian Goldner says his company is “using all kinds of tactics and techniques” to ensure that they will have the product that they need. Despite the delays, Goldner believes Hasbro will have all the necessary products for the holidays.

Retailers like Walmart and Target will both hire additional supply chain workers to get through the holiday season. Walmart plans to hire 20,000 workers for jobs such as fillers and freight handlers, as Target plans to hire 30,000 supply chain workers. Target also plans to triple the amount of Disney shops inside their locations.

A recent Salesforce report estimates prices could rise 20% this holiday season.

“When you got to a Walmart, Target, or Amazon to buy toys, you eventually end up putting more things than just that toy in the basket,” Larian said.

Industry analysts say there is no singular "must-have toy" for the holiday season, adding parents should not procrastinate on their shopping if they want to check off the favorite items on their kid’s wishlist this year.

“If your kid has their heart set on something, go buy it now, don’t wait,” Steve Pasierb, CEO of the Toy Association, told CNBC.

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