Trump's Tariffs Throw A Wrench Into Nintendo's Big Month

After a astir decadelong wait, Nintendo yet unveiled specifications and pricing of its hotly anticipated Switch 2 connected April 2. Later that aforesaid day, Trump threw a monkey wrench into its plans.

In a period that was expected to beryllium triumphant for Nintendo, Trump's imposing of reciprocal tariffs connected countries from which nan institution sources its components has created a mess.

Now, nan looming mobility is whether Nintendo will determine to consequence souring its Nintendo Switch motorboat by announcing a new, higher price.

Nintendo of America President Doug Bowser told Wired that nan institution was "actively assessing" really tariffs could impact its strategy.

"It creates a challenge," Bowser said successful an question and reply published Monday. "It's thing we're going to person to address."

There are already signs Nintendo could beryllium considering a value hike — nan institution announced past week that it would push back the US preorder day for nan Switch 2, citing Trump's sweeping tariffs.

As is, nan Switch 2 was already positioned to beryllium pricier than its predecessor, pinch Nintendo announcing a guidelines value of $450 compared to nan original's $299 value tag.

And while manufacture watchers suggested that Switch 2's $450 value tag whitethorn person already factored successful Trump's anticipated reciprocal tariffs, Nintendo of America president Doug Bowser said that's not nan case.

"We didn't see tariffs into that equation," he said successful a separate interview pinch CNBC. "We felt that was going to beryllium nan correct value constituent for our consumers, and nan correct worth proposition, if you will, for nan instrumentality we were creating."

Bowser said nan value summation complete nan original Nintendo Switch boiled down to a operation of factors.

"First of all, nan hardware portion itself, which has a batch of improved features, from immoderate of nan things I talked astir earlier pinch Joycon 2, besides nan LCD surface that is overmuch larger, and overmuch deeper and richer," he said.

Bowser added that he expects nan accrued CPU and GPU processing powerfulness successful nan Nintendo Switch 2 to let for "much deeper crippled development," arsenic good arsenic an "ability to bring moreover much developers onto nan platform."

It's not conscionable nan crippled console that is getting much costly — a integer transcript of nan Switch 2 crippled exclusive "Mario Kart World" will tally you an eye-popping $79.99, and $89.99 for nan beingness version.

As for nan costs of Switch 2 games, Bowser said there's nary baseline group should expect.

"I would opportunity that we're not looking to found a benchmark for pricing," he said. "We look astatine each crippled and each acquisition and find what we judge is nan correct value constituent based connected that experience."

Nintendo could spot a awesome deed to its proviso concatenation — nan institution antecedently moved much, but not all, of its accumulation away from China, which now faces a 34% reciprocal tariff. The countries it's shifted toward — Vietnam and Cambodia — person been deed by 46% and 49% tariffs.

Nintendo didn't instantly respond to questions astir whether it would further summation nan value of nan Switch 2, but nan antecedently told BI it's continuing to measurement what tariffs could extremity up costing it.

"Pre-orders for Nintendo Switch 2 successful nan U.S. will not commencement April 9, 2025 successful bid to measure nan imaginable effect of tariffs and evolving marketplace conditions," Nintendo said successful an April 4 connection confirming nan US preorders delay. "Nintendo will update timing astatine a later date. The motorboat day of June 5, 2025 is unchanged."

The institution now faces a choice: Risk angering customers further but preserving its margins by announcing a caller higher value tag — aliases eat immoderate added costs that its suppliers aren't consenting to absorb.

With nan June 5 motorboat quickly approaching, gamers won't person to hold agelong to spot which roadworthy Nintendo chooses.