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Tariffs and Turnstiles: Avoiding Budget Whiplash

How Theme Parks Can Budget Smarter in a Shifting Global Trade Environment

If 2025 has taught theme park operators anything, it’s this: even the most magical destinations aren’t immune to global economic shifts. As the industry grapples with lingering inflation, rising fuel prices, and now the very real threat of expanded tariffs on imported goods, park leaders are being forced to think more strategically and creatively than ever before.

Proposed and existing tariffs on imported products, including toys, textiles, electronics, machinery, and steel, could drive up costs across a wide range of categories vital to park operations. From ride components and animatronics to uniforms, plush, LED lighting, and fencing, anything brought in from overseas may soon carry a higher price tag.

While these changes may sound abstract, their effects are not. Depending on the category, tariff hikes could raise costs anywhere from 10% to 30% - which is enough to blow a hole in carefully planned budgets or delay key projects.

With 2026 budget planning well underway, now is the time for operators to take a proactive approach. Here’s how.

Know Your Exposure: Audit Your Supply Chain

Many large operators—like Universal and Disney—have invested heavily in supply chain visibility. But smaller and mid-sized parks can (and should) adopt a similar mindset.

Start by auditing your key vendors and purchases:

  • What percentage of your merchandise, uniforms, parts, or supplies are imported?

  • Where are they coming from?

  • Are there domestic or near-shore alternatives?

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SeaWorld, for instance, has moved several food and merchandise categories to domestic vendors, reducing both cost volatility and shipping delays - while also tapping into guest interest in locally sourced goods.

Think Like Retailers: Source Smarter, Brand Better

Retail giants like Target have weathered past tariff storms by diversifying sourcing beyond China, building private-label brands, and redesigning product categories. Parks can take a page from that playbook.

  • Reassess your overseas merchandise lines. Consider shifting key categories, like plush, apparel, or light-up toys, to domestic or lower-tariff regions (e.g., Mexico, India).

  • Build your own in-house product line. Partner with U.S.-based vendors to create custom merchandise that feels both exclusive and cost-efficient.

  • Bundle smartly. Combine slower-moving inventory with fast-sellers into value sets that feel new, even if the items aren’t.


This strategy isn’t just defensive. It can actually create better, more unique guest experiences – and souvenirs that guests can’t find on Amazon).

Refurb Over Rebuild

New rides, especially those with high-tech systems or custom steelwork, often carry large overseas components. If tariffs increase, even a single attraction installation could face hundreds of thousands of dollars in added costs.

Instead of delaying CapEx altogether, operators can consider redirecting funds toward ride refurbishments or seasonal overlays. Cedar Fair (now Six Flags) has seen strong returns by modernizing existing rides with new effects, themes, and storyline updates. This provides guests with something “new” without the new ride price tag.

Budget for the Unknown

If tariffs do hit, you don’t want to be caught unprepared. Build flexibility into your 2026 budgets by adding a tariff contingency line item in both capital and operating forecasts.

  • Aim for a 10–15% buffer on categories most at risk.

  • Consider pre-buying high-risk inventory now, especially custom plush, food packaging, or uniforms.

If tariffs don’t materialize, reallocate that reserve into marketing pushes or guest-facing upgrades. But if they do hit, you’ll be ready.

Make It Cross-Functional

Tariff planning isn’t just for the finance or purchasing teams. It should be a cross-departmental initiative.

Ops & Maintenance: Identify parts that may be delayed or rise in cost. Pre-order if necessary.
Entertainment: Consider internal swaps in show design or props (rather than new) to stay on budget.
Marketing & Retail: Collaborate on bundling or promotional ideas that balance revenue needs with guest value.

Bring teams together now to brainstorm responses. The next great guest experience might come from a shipping workaround.
To conclude, tariffs may be outside your control - but your response isn’t. With smart planning, nimble budgeting, and a little creativity, operators can turn today’s uncertainty into tomorrow’s opportunity. That’s what great parks do: turn an unexpected twist into a thrilling new experience.

How ITPS Can Assist
At International Theme Park Services, Inc. (ITPS), we understand that navigating shifting global trade dynamics, like tariffs, freight volatility, and supply chain disruptions, requires both strategic foresight and deep industry knowledge. Our team works closely with operators to evaluate procurement exposure, optimize capital planning, and identify alternative sourcing strategies that protect both margins and guest experience. Whether you’re budgeting for your next attraction, overhauling your merchandise program, or planning long-term growth, ITPS can provide the operational guidance and global insight to help you stay resilient and ready for what’s next.

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Contact ITPS

International Theme Park Services, Inc.
2200 Victory Parkway, Suite 500A
Cincinnati, Ohio 45206
United States of America
Phone: 513-381-6131

http://www.xnznkj-xf.com
itps@interthemepark.com

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