Trump Tariffs Could Be Bad News for the Switch 2

Trump Tariffs Could Be Bad News for the Switch 2

Key Takeaways

  • Trump’s proposed tariffs could significantly increase the price of the Nintendo Switch 2.
  • Industry insiders express concern over potential price hikes due to tariffs.
  • Uncertainty remains regarding how tariffs will impact the classification and price of the Switch 2.



The import tariffs suggested by U.S. President-Elect Donald Trump while on the campaign trail earlier this year could have serious consequences for Nintendo as it reportedly prepares for the release of its Switch 2 console. While there is still no firm date for the release of Nintendo‘s successor to the Switch, signs point to it being released in 2025, and Trump’s proposed tariff policies could lead to big price tag increases in the U.S. market.

In early May, Nintendo confirmed that it would reveal the Switch 2 console no later than March 2025. Even prior to that announcement, multiple industry insiders had already speculated that March 2025 would serve as the month when the console will be released, though Nintendo has yet to confirm those claims. With that deadline looming on the horizon, Trump’s proposed tariff policies from his time on the campaign trail, which include a 20 percent tariff on all imported goods and tariffs increasing to 60 percent for products coming from China, have some in the industry concerned about the potential for the Switch 2’s price.


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Industry insider Jeff Grubb has weighed in on the tariffs, expressing worry over the Switch 2 release‘s potential price point if the proposed tariffs are enacted. “There’s a lot of ins and outs, but mostly just think of it this way: everything is going to be taxed as it comes into the country, and that cost will get passed onto consumers,” he said in the video. Tariffs are government-mandated fees paid by companies that import goods from outside the country, and they can serve a dual purpose, both raising revenue for the government and influencing companies away from using foreign-produced goods. However, there exists increasing concern that importers will offset the fees imposed upon them by increasing the price of the goods they’re selling, making them more expensive for buyers.



Trump Policies Could Jack Up the Switch 2’s Price

Fears over the price of the Switch 2 at launch are speculative at this point. Trump’s inauguration is set for January 20, more than a full month before the earliest potential release window for the Switch 2. While Trump’s Republican Party is expected to hold narrow leads in both chambers of Congress, a few votes across the aisle could stymie any of his potential plans for the country moving forward. It’s also unclear whether Trump would be able to impose tariffs without Congressional approval, as the Constitution grants that power to Congress, but the legislature has a history of delegating that power to the sitting president.


There is also the question of how the Switch 2 will be classified. Based on Trump’s prior statements, the country from which goods are imported could wildly affect the rate at which tariffs would be imposed. While Nintendo is a Japanese company, the vagueness of the campaign trail claims don’t specify whether a portion of a product, like a specific chip, could affect the overall tariff percentage of a product as a whole. Prior to the election, an industry analysis from Toyo Securities analyst Hideki Yasuda predicted a price range for the Switch 2 under $500, though a 60% tariff passed directly to consumers could bump it up closer to the $800 range.

nintendo switch
Nintendo Switch

Brand
Nintendo

Weight
.88 lbs

Storage
32 GB

Display
6.2-inch LCD Screen / 1280 x 720

Battery
Approximately 4.5 – 9 hours

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