Company: KMRK
Filing Date: 2025-01-02
Form Type: DRS
Source: 0001213900-25-000267
Chunk: 106

Company: K-TECH SOLUTIONS CO LTD
Filing Date: 2025-01-02
Form: DRS
Chunk 106
---
 Manufacturer (OEM), and Original Design Manufacturer (ODM). OBMs create and manufacture their own branded items while also contracting production to external manufacturers. OEMs produce items according to the designs and specifications provided by brand owners or other manufacturers. ODMs, on the other hand, offer design and manufacturing services based on specifications provided by brand owners or other manufacturers. Owners of toy brands primarily focus on managing their brands and selling products, often choosing to collaborate with OEMs or ODMs for production outsourcing. ODMs and OEMs, due to their adaptable and robust manufacturing capabilities, also have the capability to create and market their own brands. Performance of Toys Exports in Hong Kong Following weak export performance in 2022 and 2023, Hong Kong’s toys and games exports remained sluggish during the first nine months of 2024, recording a 24% year-on-year decline. As many Hong Kong companies shift the roles of their local offices to support their global expansion, Hong Kong toys and games exporters are increasingly focusing on handling offshore trade. The continuous improvement in technological literacy and evolving play preferences have increased the importance of non-traditional toys, such as electronic toys and video games. Consumers are increasingly drawn to toys that integrate technology and offer interactive experiences. The following table sets out the Hong Kong Toy Exports Amount as of end of September 2024. In terms of the export market, according to Hong Kong Trade Statistics from the Census and Statistics Department, the PRC is the largest market, accounting for about 19.4% of Hong Kong’s total toys and sports equipment exports as of the end of September 2024. Together with the U.S., Japan, Poland, Germany, Taiwan, Vietnam, Cambodia, Singapore, and the UK, these ten major markets accounted for about 71.7% of total toys and sports equipment exports from Hong Kong. The following is a breakdown of total exports to major markets by Hong Kong’s toy exporters from 2022 to the end of September 2024. 62 Source: Hong Kong Trade Statistics, Census and Statistics Department, Migo Overview of Global Toy Market According to the International Council of Toy Industries, the global toy market’s revenue in 2023 was valued at approximately US$108.7 billion, reflecting a modest 2.0% decline compared to the previous year. Despite this minor contraction, the overall growth of the toy market has been positive, with a CAGR of 4.0%, rising from US$92.9 billion in 201