Nintendo Sues US Government for $200 Billion in Tariff Refunds

Nintendo has filed a lawsuit against the US government, seeking nearly $200 billion in refunds for tariffs imposed on its Switch console and accessories since February 2025. The company claims that these tariffs were unlawfully imposed under the International Emergency Economic Powers Act of 1977 (IEEPA) and had resulted in significant price hikes and delayed preorders.

The lawsuit comes after the Supreme Court struck down the IEEPA-based tariffs, ruling that the act did not grant President Donald Trump authority to impose them. However, US Customs and Border Protection stated it was “not able to comply” with this order, leaving Nintendo to seek refunds for the duties collected.

Nintendo is among more than 1,000 companies that have filed suit over the tariffs, joining FedEx, Costco, and Revlon in seeking refunds. The company’s lawyers cite government concessions made in a previous lawsuit, arguing that these concessions already bind the government to issuing refunds.

The US government’s actions are significant because Nintendo garners over a third of its revenue from sales in the US market. The tariffs imposed had resulted in delayed Switch 2 preorders and price hikes on accessories, including a $95 increase for Joy-Con 2 controllers and a $20 increase for Pro Controller accessories.

Nintendo manufactures most of its consoles and accessories in Vietnam and China, making it a major target for sweeping tariffs announced in April 2025. The company’s decision to delay Switch 2 preorders and raise prices on accessories rather than the console itself was likely driven by concerns over the impact of these tariffs.

This lawsuit highlights the complexities of international trade and the challenges faced by companies operating globally.

Source: https://www.tomshardware.com/video-games/nintendo/nintendo-sues-u-s-government-over-tariffs