Nintendo Expects Minimal Impact from US Tariffs on Switch and Upcoming Switch 2

Nintendo Expects Minimal Impact from US Tariffs on Switch and Upcoming Switch 2 Earlier this month, the United States administration introduced a new 10% tariff on goods imported from China, directly affecting a wide range of electronics, including game consoles and accessories.

Concerns have arisen within the gaming industry as these tariffs threaten to drive up manufacturing costs, potentially resulting in higher prices for consumers and challenges for developers.

Nintendo, a major player in the sector known for its Nintendo Switch and the upcoming successor Switch 2, has been quick to address the implications of these measures. Nintendo president Shuntaro Furukawa responded to the situation during a recent press conference, stating that the company is actively assessing the potential repercussions of the tariffs on their upcoming financial year, as well as on the highly anticipated launch of the Nintendo Switch 2.

According to reporting by Reuters, as translated by Nintendo Everything, Furukawa outlined the company’s approach: “We are forecasting various geopolitical risks and putting measures in place to respond accordingly.” Importantly, Furukawa highlighted that the Nintendo Switch is not manufactured exclusively in China.

“Nintendo Switch production takes place not only in China, but also in countries such as Vietnam and Cambodia,” he clarified.

This diversified production strategy helps reduce the company’s exposure to tariffs levied specifically on Chinese imports.

As a result, Nintendo has positioned itself to better absorb or avoid the immediate impact of these tariffs. Furukawa further emphasized that much of the current Nintendo Switch inventory destined for the United States was imported before the new tariff came into effect.

“While some impact is expected, the overall financial effect on this year’s results should be minimal,” he assured.

This statement aims to calm both investors and consumers who may be concerned about price increases in the near term. Nintendo’s efforts to diversify its manufacturing footprint began in 2019, amid previous threats of US tariffs on Chinese imports.

At that time, Nintendo, along with competitors Sony and Microsoft, issued a joint letter to the US government highlighting the negative consequences such tariffs could have on the gaming industry should consoles be excluded from exemptions.

That unified stance led to a positive outcome for console manufacturers then, but as of 2025, no similar exemptions have been announced, leaving the industry to adapt to the new trade landscape. While Nintendo has not yet commented on how these tariffs might impact financial years beyond 2025, or specifically the introduction of the Switch 2, the company’s proactive approach and established overseas manufacturing suggest it is well-prepared to mitigate risks.

As the gaming industry awaits the launch of new hardware and continues to monitor the evolving trade environment, Nintendo’s response demonstrates its commitment to stability and resilience in the face of geopolitical challenges. For continued updates on US tariffs and their potential effects on Nintendo Switch 2 sales and the broader game market, stay tuned to our coverage.

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