Nintendo Assesses US Tariffs Impact on Switch 2 Pricing

Bank of Japan Governor Ueda emphasized the necessity of raising interest rates to prevent economic excesses as Japan's economy recovers, while closely monitoring the impact of U.S. tariffs on the domestic economy. Concurrently, Nintendo is grappling with the implications of U.S. tariffs on its new Switch 2 console, which was recently announced at a price of $450. Despite Nintendo President Doug Bowser claiming that tariffs were not factored into the console's pricing, he acknowledged the substantial challenge posed by the tariffs, which could lead to adjustments in manufacturing and pricing strategies. The tariffs range from 46% to 54%, depending on the country of origin for the console's parts, complicating pre-orders that were initially set to begin on April 9. Nintendo is actively assessing its manufacturing locations to mitigate these new costs, which has already led to a delay in U.S. pre-orders. The situation continues to evolve as both companies navigate the economic landscape shaped by U.S. trade policies.