China toy group says many workers losing their jobs

BEIJING, Aug 17 (Reuters) The China Toy Association said today that Mattel Inc's global recall of Chinese-made toys had had a huge impact on the industry, with many workers losing their jobs, but that the industry was not to blame.

China has been struggling to convince the world its products are safe after a series of scandals over a string of products from tainted pet food and drugs to tyres, toys and toothpaste.

In its second recall this month, the largest US toy company on Tuesday recalled millions of Chinese-made toys due to safety risks from magnets and lead paint. Mattel warned it may recall additional products as it steps up testing.

The China Toy Association, representing manufacturers and suppliers, said the production of poor-quality goods was not deliberate.

''The industry itself did not mean to produce poor-quality goods and paid a heavy price for its mistakes,'' the association said in a statement.

''Most of the employees will have to leave factories they have been serving at for many years and are facing unemployment or reemployment problems.

''This has had a huge impact on the industry and society.

The recent recalls were instigated by foreign brands. Nobody was injured.'' It also blamed ''unobjective whipping up of public opinion'' for the troubles which ''certainly led to excessive worries for domestic and foreign consumers''.

It added that no companies had considered shifting orders elsewhere.

REUTERS LPB BST1307