Nintendo fans were already bracing for a more expensive next-gen console when the company announced the Switch 2 would launch at $450—a noticeable jump from the original Switch. Add to that the $90 price tag on some upcoming physical games, and the cost of upgrading was already feeling steep. But the situation might get significantly worse. A newly announced wave of tariffs from former President Donald Trump could send the Switch 2’s U.S. price soaring past $600, sparking concern among gamers and tech analysts alike.
Trump’s New Tariffs Take Aim at Gaming Hardware
In a move that could rattle the entire electronics industry, Trump unveiled a broad 10% tariff on all foreign imports, alongside even steeper “reciprocal” tariffs targeting countries the U.S. accuses of engaging in unfair trade practices. The most affected nations include China with a 34% tariff, Vietnam at 46%, and Cambodia at 49%—countries that play crucial roles in manufacturing the Switch 2.
Vietnam, in particular, has become a key production hub for Nintendo after the company pivoted away from relying solely on China during the trade tensions of Trump’s first term. Unfortunately for Nintendo, that shift now seems to have backfired. The new tariffs, which go into effect on April 5, could directly impact production costs and trickle down to consumers through significant price hikes.
What Tariffs Really Mean for Console Prices
Tariffs are essentially taxes placed on imported goods, and companies rarely absorb the full cost. Instead, those added expenses usually make their way to retail price tags. This means the new tariffs could quickly inflate prices for the Switch 2 at major retailers like Target, Best Buy, and Walmart.
Nintendo had tried to protect itself from precisely this kind of outcome by shifting some production out of China. But with Vietnam now facing one of the highest tariffs on the list, the move offers little relief. David Gibson, an analyst at MST Financial, said last fall that Switch production was split roughly 50-50 between China and Vietnam. He warned that if that mix doesn’t change soon, U.S. consumers could see a price hike of over 35%.
Even if Nintendo accelerates production in countries not affected by the tariffs, adjusting supply chains takes time—potentially six months or longer. In the meantime, the console’s launch price may not stay as stable as some fans hope. Gibson even suggested that American buyers might turn to European imports as a workaround if domestic prices spike.
Not Just Nintendo: The Whole Industry Feels the Pressure
The fallout from these tariffs won’t be limited to Nintendo. The entire gaming landscape could feel the heat. The Consumer Technology Association previously predicted that tariffs like these could raise console prices by hundreds of dollars. Now that they’re set to become law, everything from PlayStation systems to gaming PCs, accessories, and physical game discs is likely to cost more.
And it’s not just games. These tariffs also apply to essentials like food, clothing, and energy, which could deepen inflation and put even more pressure on U.S. households. Gary Shapiro, CEO of the Consumer Technology Association, didn’t mince words: “These sweeping tariffs are essentially massive tax hikes on Americans. They’ll increase inflation, harm jobs, and could even push the U.S. into a recession.”
Is Nintendo Ready to Eat the Costs—At Least Temporarily?
There’s speculation that Nintendo may have factored potential tariffs into the Switch 2’s $450 launch price. That could give the company some leeway to absorb the costs, at least initially, without pushing higher prices onto consumers right away.
In fact, reports indicate that Nintendo rushed to ship as many Switch 2 units into the U.S. as possible before the April 5 deadline. Still, this preemptive batch is estimated at fewer than a million units—not nearly enough to meet the global forecast of 14.7 million Switch 2 consoles sold in the first year.
Duke University economics professor Felix Tintelnot believes Nintendo is now navigating a tricky situation. “I think it’s likely they didn’t anticipate the Vietnam tariff being as high as 46%,” he said. “And once a company announces a price publicly, it becomes costly and complicated to change it. One possible route is to leave the console price unchanged but increase the cost of related products like games and accessories.”