Nintendo's highly anticipated Switch 2 console may come with a hefty price tag for US consumers due to the latest round of tariffs imposed by the Trump administration. The tariffs, which target countries including China, Vietnam, and Cambodia, could result in a price increase of up to $180 for the console, bringing the total cost to around $630.

The tariffs, announced by Trump on April 3, 2025, impose an additional 34% to 49% duty on exports from these countries. As Nintendo manufactures its consoles in these countries, the company may pass on the increased costs to consumers. Research from the National Bureau of Economic Research suggests that US consumers have borne the brunt of tariffs in the past, with manufacturers and exporters passing on almost the entire price increase to the end consumer.

Nintendo's manufacturing strategy has been affected by Trump's trade policies in the past. The company had to diversify its manufacturing base from China to countries like Vietnam and Cambodia due to the initial tariffs imposed during Trump's first term. However, these countries are now among the hardest hit by the new tariffs, leaving Nintendo in a precarious position.

The Switch 2 is set to launch worldwide on June 5, 2025, with a base price of $449.99. While Nintendo may have factored in some of the tariff costs into its pricing, the company's ability to absorb the increased costs is uncertain. There is also a possibility that Nintendo may have stockpiled hardware in the US to mitigate the impact of the tariffs, but the extent of these efforts is unknown.

The impact of the tariffs on the gaming industry as a whole is still unclear. While Nintendo may be the most affected, other companies that manufacture their products in these countries may also face similar challenges. The tariffs could lead to a price increase for a range of products, from consoles to games, which could have a ripple effect on the entire industry.

It is worth noting that the tariffs are still subject to change, and Trump's administration has been known to make last-minute adjustments to its trade policies. However, if the tariffs do come into effect, Nintendo and other affected companies will need to navigate the complex and unpredictable landscape of international trade to minimize the impact on their businesses and customers.

In the meantime, gamers and consumers will be watching closely to see how the situation unfolds. With the Switch 2 launch just around the corner, Nintendo's pricing strategy will be under intense scrutiny. Will the company absorb the tariff costs, or will consumers bear the brunt of the increased prices? Only time will tell.