Trump's Tariffs on Games Hurt Americans

Author: Lillian Feb 19,2025

The Entertainment Software Association (ESA) urges the Trump administration to collaborate with the private sector to mitigate the potential negative impact of import tariffs on the video game industry. In a statement to IGN, the ESA highlighted the industry's significant contribution to the U.S. economy and expressed concern that tariffs on video game devices and related products would harm hundreds of millions of American consumers. The ESA represents major players including Microsoft, Nintendo, Sony, Square Enix, Ubisoft, Epic Games, and Electronic Arts.

Concerns exist regarding the potential price increases for physical video game products due to U.S. tariffs. Photo by Phil Barker/Future Publishing via Getty Images.
President Trump recently imposed tariffs on Canada, China, and Mexico, prompting retaliatory measures from Canada and Mexico, and a WTO lawsuit from China. While a temporary pause on Mexican tariffs has been announced, the threat of tariffs remains, extending potentially to the European Union and the UK, according to President Trump's statements to Reuters.

Industry analysts are assessing the potential consequences. David Gibson of MST Financial, on X, suggested that while China-based tariffs might not significantly affect the Nintendo Switch 2 in the U.S., tariffs on Vietnamese imports could alter the situation. He also noted potential challenges for the PlayStation 5, though Sony may mitigate this through increased non-China production.

Joost van Dreunen, author of the Super Joost newsletter, in a recent IGN interview, emphasized the broader economic context, including potential tariff impacts, as a key factor influencing consumer reception of the new Nintendo console. The overall situation underscores the significant uncertainty and potential challenges facing the video game industry as a result of the ongoing trade disputes.