Nintendo Faces Trade War Headache with Switch 2 Launch

Nintendo is set to launch its highly anticipated Switch 2 console on June 5, but the company faces a significant challenge due to the ongoing trade war. The Japanese video game giant must navigate tariffs disrupting its business and manage its supply chain to secure sufficient stock for the US market.

The Switch 2’s price tag of $499.99 has raised concerns among analysts, with some predicting that Nintendo may need to raise prices if tariffs hit them hard. Despite this, many experts believe that hardcore fans will still buy the console at any price, while casual players may be deterred by higher costs.

Nintendo’s decision to maintain the original Switch 2 price tag has been seen as a strategic move, as it allows the company to factor in uncertainty over the trade war. The US is a major market for Nintendo, accounting for 44% of its sales, and any disruption to supply chains could impact demand.

Analysts forecast strong sales for the Switch 2, with Ampere Analysis predicting 4.6 million units sold in the US in 2025. However, some experts warn that a price hike could risk sapping demand among casual players who drove the original Switch’s success.

Source: https://www.reuters.com/world/china/nintendo-faces-trade-war-test-with-switch-2-launch-2025-04-21