Nintendo’s highly anticipated Switch 2 console has been officially revealed, but its price may have been impacted by the latest tariffs imposed by President Trump. Manufacturing for the new console is primarily based in Vietnam and Cambodia, which are under heavy tariffs due to Trump’s trade policy.
The tariffs, which apply in addition to existing rates, will see China face an extra 34% tariff on exports to the US, while Vietnam and Cambodia will face rates of up to 46% and 49%, respectively. This could lead to higher prices for US consumers when the Switch 2 launches on June 5th.
Using back-of-the-napkin math, applying a 40% tariff average would increase the console’s price from $449.99 to around $630, or more if using the worst-case rate of 49%. However, this may be slightly lower due to tariffs being calculated based on a product’s declared value at import, rather than its final retail price.
Despite these concerns, there are some factors that might mitigate the effect. Nintendo may have already factored in the tariff increase when setting the Switch 2’s launch price of $449.99, which is 50% higher than the original Switch. Additionally, the company has stockpiled hundreds of thousands of consoles in the US to get ahead of the tariffs.
However, it’s essential to note that there are uncertainties surrounding the tariffs, including their potential delay or alteration before Nintendo pays a cent. As such, consumers should remain cautious and monitor the situation as it unfolds.
Source: https://www.theverge.com/news/642459/switch-2-price-donald-trump-tariffs-china-vietnam-cambodia