The Potential Consequences of Trump's Tariffs on the Gaming Industry and the Switch 2

Following the introduction of US President Donald Trump's tariffs, Nintendo has postponed US pre-orders for the Switch 2, initially scheduled for April 9, to a later date, although the June 5 launch remains unchanged. As the full effects of the tariffs begin to materialize, the gaming industry is bracing for potential price increases. The tariffs, which come into effect on April 5, 2025, with varying 'reciprocal' percentages for different nations, have sparked debate about their impact on the Nintendo Switch 2's $450 price tag in the US. According to Mat Piscatella of Circana, it is uncertain whether Nintendo factored the tariffs into the console's pricing, but notes that the potential for tariffs was widely known beforehand. Dr. Serkan Toto of Kantan Games suggests that Nintendo likely ran simulations to determine a tariff-proof price. However, the specifics of the tariffs were harder to predict, and the potential for further price increases remains a concern. A Nintendo spokesperson stated that any price changes would be announced accordingly. The tariffs may have a significant impact on the gaming industry, with the Entertainment Software Association's Senior Vice President Aubrey Quinn warning that they will have a 'real and detrimental' effect. As the situation continues to unfold, the industry is left to speculate about the potential consequences of the tariffs on the Switch 2 and the broader gaming market.