Barbie-maker Mattel and automotive giant Ford joined the growing list of businesses warning of the impact of U.S. President Donald Trump's tariffs and withdrawing guidance on Monday.

Mattel Inc., the maker of Barbie dolls, Hot Wheels cars and other popular toys, said that it would have to raise prices for some products sold in the U.S. "where necessary" to offset higher costs related to Trump’s tariffs.

The announcement from the firm comes shortly after the U.S. president said American kids might "have two dolls instead of 30 dolls," but he insisted China will suffer more from his trade war.

The El Segundo, California-based company said the increases are necessary even though it is speeding up its plans to diversify its manufacturing base away from China. Trump imposed a 145% tariff on most Chinese-made products.

Company executives told analysts on a conference call that China currently accounts for 40% of Mattel's global production. The company plans to move roughly 500 products this year from manufacturers in China to sources in other countries, compared to 280 products last year.

For some highly sought after toys, Mattel said it would enlist factories in more than one country. To prevent possible shortages, the company said it was focusing on getting products to stores without interruptions.

The company said that even with price increases, it expects 40% to 50% of its toys will cost customers $20 or less.

"The diversified and flexible supply chain in global commercial organizations are clear advantages to Mattel in this period of uncertainty," CEO and Chairperson Ynon Kreiz told analysts.

'Difficult to predict' spending

Citing the ongoing uncertainty surrounding the president’s trade policies, however, Mattel withdrew its annual earnings forecast on Monday. The company said it would be "difficult to predict" consumer spending and the company’s U.S. sales for the remainder of the year without more information.

Mattel reported larger-than-expected first quarter sales but also a wider loss. Mattel said sales rose 2% to $827 million for the quarter that ended March 31. The company's loss expanded to $40.3 million, or 12 cents per share, in the quarter. That compares with a loss of $28.3 million, or 8 cents per share, in the year-ago period.

Analysts expected a loss of 10 cents on sales of $786.1 million for the first quarter, according to FactSet. The company's shares were down less than 1% in after-market trading.

Ford, on the other hand, said it expected to take a $1.5 billion hit to its operating profit from tariffs this year, also withdrawing its full-year financial guidance due to the uncertainty created by the Trump administration's evolving trade policy.

Announcing financial results, Ford said that its net income fell by about two-thirds in the first quarter to $473 million, or 12 cents per share, from $1.33 billion, or 33 cents per share, in the year-earlier quarter. Revenue dropped 5% to $40.66 billion.

The results topped the expectations of analysts surveyed by FactSet, who forecast earnings per share for the quarter would be flat. Revenue was forecast to be $38.02 billion. Still, the stock fell more than 2% in after-hours trading.

Last week, General Motors (GM) said it is bracing for a potential impact from auto tariffs as high as $5 billion in 2025.

Ford and Tesla are expected to see a smaller impact from tariffs than GM and other automakers because they assemble more of their cars in the U.S. Still, what impact they do see won't be insignificant.

Ford originally forecast 2025 earnings before interest and taxes in a range of $7 billion to $8.5 billion, but on Monday, the company said the risks associated with tariffs "make updating full year guidance challenging right now given the potential range of outcomes."

Ford CEO Jim Farley has been touting the advantage that higher domestic production gives his company and he did so again Monday, while acknowledging that the shake-up to the industry from tariffs is still in its early stages.

"It's too early to gauge the related market dynamics, including the potential industrywide supply chain disruptions," said Farley said on an earnings call with analysts. "Automakers with the largest U.S. footprint will have a big advantage, and, boy, that is that true for Ford. It puts us in the pole position."

Trump says one goal of his trade policy is to move more manufacturing of products such as autos back to the U.S. Last week, Trump signed executive orders to relax some of his 25% tariffs on automobiles and auto parts in a move he said would allow automakers more time to transition their manufacturing operations.

Automakers and independent analyses have indicated that the tariffs could raise prices, reduce sales and make U.S. production less competitive worldwide.