{"id":1121000,"date":"2026-02-01T00:00:43","date_gmt":"2026-02-01T00:00:43","guid":{"rendered":"https:\/\/www.polygon.com\/?p=521905"},"modified":"2026-02-01T00:00:43","modified_gmt":"2026-02-01T00:00:43","slug":"will-trumps-tariffs-impact-nintendo-switch-2-and-other-consoles","status":"publish","type":"post","link":"https:\/\/arcader.org\/news\/will-trumps-tariffs-impact-nintendo-switch-2-and-other-consoles\/","title":{"rendered":"Will Trump\u2019s tariffs impact Nintendo Switch 2 and other consoles?"},"content":{"rendered":"
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President Donald Trump halted on Feb. 3<\/a> his threat to put tariffs on Canadian and Mexican goods, postponing a potential 25% tariff after meeting with each government. But a 10% tariff for all goods imported into the U.S. from China went into effect on Feb. 4, applying on top of existing tariffs for Chinese imports. So much of the gaming industry relies on China to produce its wares, from consoles, computer components, and accessories to board game and tabletop miniatures. \u201cIt\u2019s not just that your console is going to be more expensive,\u201d Joost van Dreunen, New York University professor and author of the Super Joost newsletter, told Polygon in an interview. \u201cIt\u2019s everything around it as well.\u201d<\/p>\n

When Trump imposed tariffs on Chinese goods<\/a> in 2019, video game consoles, certain toys, and other technology were exempt<\/a>. That\u2019s not the case this time, despite a protest from the Entertainment Software Association, the main trade group that represents the game industry. \u201cVideo games are one of the most popular and beloved forms of entertainment for Americans of all ages,\u201d the ESA said in a Feb. 3 statement<\/a>. \u201cTariffs on video game devices and related products would negatively impact hundreds of millions of Americans and would harm the industry\u2019s significant contributions to the U.S. economy.\u201d<\/p>\n

The full impact of the additional tariffs has yet to be seen; a lot of products are already in the U.S. waiting to be sold, and companies are still sorting out how they\u2019ll be impacted. It leaves a lot of questions: Will console prices go up? What about consoles produced outside of China \u2014 but that rely on components made there? Will the tariffs impact the cost of the upcoming Nintendo Switch 2<\/a>, which is currently in production? Will it hurt the already struggling video game industry?<\/p>\n

Polygon spoke to van Dreunen, an expert in the video game industry, as well as Washington State University economics professor Christopher Clarke to find answers.<\/p>\n

How do tariffs work?<\/h2>\n

Tariffs are essentially a federal tax on goods imported into the U.S. \u201cWhen a package arrives in, say, the port of Los Angeles, Seattle, New York, Houston, or wherever, it has to go through customs,\u201d Clarke told Polygon. \u201cThe domestic company that brought it from abroad has to pay the government.\u201d<\/p>\n

Companies usually pass the cost of those taxes on to consumers via increased prices. In addition, other governments typically apply retaliatory tariffs as a response or punishment \u2014 and China already has. On Monday, the Chinese government put into effect 10%-15% tariffs on \u201ccrude oil, liquefied natural gas, farm machinery and select other products from the United States,\u201d reports NPR<\/a>, meaning that oil and machinery exported from the U.S. will cost more for Chinese importers. <\/p>\n

\u201cThat\u2019s going to harm our exporting businesses as well,\u201d Clarke said. \u201cIt can have these chain effects. Now the exporter businesses aren\u2019t having as many sales, so they can\u2019t hire as many people, and that can harm jobs. There\u2019s not as much income, and people can\u2019t buy as much stuff. That\u2019s ultimately what harms the economy.\u201d<\/p>\n

The Consumer Technology Association, a trade group advocating for the tech industry, put out a study in January<\/a> predicting that a 60% flat-rate tariff on Chinese goods \u2014 which Trump threatened during his 2024 campaign \u2014 would cause video game console prices to jump by 40%. The tariff that went into effect this week is lower, and a CTA spokesperson told Polygon that the organization doesn\u2019t have updated estimates. But the gist of the study remains true: Tariffs mean that American consumers will end up paying more for video game consoles and accessories. It\u2019s not a shift that will happen tomorrow, though: The price of an Xbox Series X isn\u2019t going to immediately go up.<\/p>\n

But as companies face the burden of tariffs, prices will rise, experts told Polygon \u2014 and that can mean a poorer domestic economy in general, which never bodes well for leisure goods and cultural exports like video games.<\/p>\n

\"\"<\/p>\n

There\u2019s a lot of worry among consumers that Nintendo\u2019s upcoming console, the Switch 2, will have a high price tag made even higher due to tariffs. Their impact on the new hardware is unclear, though. MST Financial analyst David Gibson wrote on X in February<\/a> that the Chinese tariffs are unlikely to affect the Switch 2, since Nintendo previously moved part of its production pipeline to Vietnam \u2014 the company and electronics manufacturer Hosiden have tried to \u201cget to 50% of production from Vietnam,\u201d he wrote. Nintendo made the move in 2019<\/a>, after threats of a previous U.S. trade war with China. Gibson posited that Nintendo could send its Vietnamese-made consoles to the U.S. to avoid tariffs against China.<\/p>\n

Still, a lot of Nintendo Switch consoles and their components will be produced in China, Clarke said \u2014 and that will impact gamers. Trump could also extend tariffs to cover Vietnam, which would render any production relocation moot, van Dreunen said. Currently, less than 1% of video game consoles are made in the U.S., Clarke added. The CTA published a study in October 2023 that found that tariffs won\u2019t pressure technology manufacturers into bringing production to the U.S., as Trump has repeatedly suggested<\/a>.<\/p>\n

\u201cCompletely reshoring technology manufacturing operations back to the United States is simply not practically or economically feasible given the scale and complexity of required resources and underlying economic production structure,\u201d the study said. Instead, it\u2019s likely that, as Nintendo did, companies will continue to diversify production operations, pushing pipelines from China into Vietnam, India, and elsewhere.<\/p>\n

Beyond price increases for consumers, van Dreunen said game companies will likely look for ways to lower costs. \u201cThe inflation to the industry at large, over the whole of it, will continue to depress demand,\u201d he said. \u201cWe\u2019re already having a rough time with layoffs and low single-digit increases year over year. We\u2019re going to continue to see that particularly as tariffs take hold.\u201d\u00a0<\/p>\n

The chaotic implementation of it all \u2014 tariffs being threatened and then put on hold, as with Canada and Mexico, for instance \u2014 doesn\u2019t help. Just the threat of a trade war is enough to create volatility in the market, especially in an industry that\u2019s already struggling. As the Washington Post put it, the tariff chaos is a feature, not a bug<\/a>.<\/p>\n

\u201cIt\u2019s a tool to create a lot of noise,\u201d van Dreunen said. \u201cIt\u2019s a campaign to create a lot of chaos, to obfuscate some other things. It\u2019s not a new conversation, and it\u2019s a very obvious political tactic. Gaming, in that sense, provides a great lens to see what the landscape looks like more clearly. I would reserve my emotional reaction and think a little deeper as to what is actually changing around us as a result.\u201d<\/p>\n

Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

President Donald Trump halted on Feb. 3 his threat to put tariffs on Canadian and Mexican goods, postponing a potential 25% tariff after meeting with each government. But a 10% tariff for all goods imported into the U.S. from China went into effect on Feb. 4, applying on top of existing tariffs for Chinese imports. So much of the gaming industry relies on China to produce its wares, from consoles, computer components, and accessories to board game and tabletop miniatures. \u201cIt\u2019s not just that your console is going to be more expensive,\u201d Joost van Dreunen, New York University professor and author of the Super Joost newsletter, told Polygon in an interview. \u201cIt\u2019s everything around it as well.\u201d When Trump imposed tariffs on Chinese goods in…<\/p>\n

Read More…<\/a><\/p>\n","protected":false},"author":1,"featured_media":1121001,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[],"class_list":["post-1121000","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-polygon"],"yoast_head":"\nWill Trump\u2019s tariffs impact Nintendo Switch 2 and other consoles? | Arcader News<\/title>\n<meta name=\"description\" content=\"President Donald Trump halted on Feb. 3 his threat to put tariffs on Canadian and Mexican goods, postponing a potential 25% tariff after meeting with each\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/arcader.org\/news\/will-trumps-tariffs-impact-nintendo-switch-2-and-other-consoles\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Will Trump\u2019s tariffs impact Nintendo Switch 2 and other consoles? 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