Less than two weeks after Mattel Inc. recalled 1.5 million Chinese-made toys because of lead paint, the toy industry is bracing for another blow that could give parents more reason to rethink their purchases just before the critical holiday shopping season, the Los Angeles Times reports.

Mattel is set to announce the recall of another toy involving a different Chinese supplier as early as today, according to three people close to the matter who spoke on condition of anonymity because of the sensitivity of the situation.

The toymaker’s shares dropped more than 4 percent, or $1.06, to $22.51 at the open of trading.

Details of the latest recall were not immediately available, but one of the three people confirmed early today that Mattel plans to recall several hundred thousand die cast cars because their paint may contain excessive amounts of lead.

Scott Wolfson, a spokesman for the Consumer Product Safety Commission, declined to comment. Mattel officials did not immediately return phone calls.

The U.S. Consumer Product Safety Commission scheduled a news conference for today in Washington to announce what it said was “a major recall.”

A new Mattel action would mark the latest in a string of recalled products from China, ranging from faulty tires to tainted toothpaste. With more than 80 percent of toys sold worldwide made in China, toy sellers are nervous that shoppers will shy away from their products.

On Aug. 1, Mattel’s Fisher-Price division announced the worldwide recall of 1.5 million Chinese-made preschool toys featuring characters such as Dora the Explorer, Big Bird and Elmo. About 967,000 of those toys were sold in the United States between May and August.

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