When my daughter started toddling she loved to wear her “pack-pack!” Maybe you could find or dream up a pattern for a toddler sized backpack for him. If he didn’t like it his parents could use it as a big boy diaper bag.

My grandsons loved those, always had their matchbox cars on them, I even had put two panels together to make the town bigger for them. Now theyre older but we had kept them for them, will give them back when they have kids of their own

My former mother in law used to take foam rubber and cut it into blocks of various sizes. Then she covered them with fabric. They were great for toddlers to build things.

I used this post as inspiration and they are so much fun to make and give!
https://blog.lellaboutique.com/2020/...-texture-book/

Quilts are wonderful keepsakes but our little ones have enjoyed fleece. They like the texture and, let's face it, are a lot more durable with the frequency of necessary laundering. In the past I have found rotary cutters at JoAnn's that cut perforations in fleece. I put a line of stay-stitching about 1/4" from the edge of the fleece to reinforce that edge and also give a line for following for the perforations. Then I crochet around. You can do a simple crochet or get fancy if you'd rather. We like these better than the tied fleece that those things flap in faces. These are only the single layer of fleece and seem adequate for cuddling and warmth.
I Spy quilts are fun, no matter the age of the child but a lot of work to find enough matches and a variety in your stash.

I made one for my grandson. He loved it!

I made one years ago for my first grandchild- so many of her aunts and uncles lived out of the area at the time, it was a good way to make them a familiar face. She still has it

I like making those self-binding quilts. Otherwise known as 20x30 quilts since the two pieces you sew together are 20 and 30 inches respectively. Quick, easy and forgiving.

I've made hooded baby towels that were well received, using these instructions:
http://www.instructables.com/id/Hooded-Baby-Towel/
They can be relatively plain or embellished. They are larger than typical baby towels, allowing children to use them for several years.

I made everything I could possibly think of, one day my daughter asked me if I could make pull on shorts and pants. She said the cost of clothing is expensive and the baby wears several pairs of pants a day. Diaper accidents happen, then she added she will need pants for the baby when she starts potty training.