Nintendo is ready to introduce the eagerly awaited Switch 2, seeking to uphold its legacy amid the uncertainties of a global trade war. Major updates about its next-gen console will be disclosed on April 2 by the company as the threat from pending US tariffs for its imported components lingers in its back.
The price of the Switch 2, to be a best-seller, could be significantly affected by any tariffs imposed by President Donald Trump, who will reportedly announce new “reciprocal tariffs” on trading partners at the same time.
The first Nintendo Switch, released in 2017, shook up the gaming world as the global first hybrid handheld and home console. Its huge success, with over 150 million units sold to date last year, catapulted the company to unprecedented heights. The company is currently counting on an even more powerful and more feature-rich Switch 2, with a larger screen and a star-studded lineup of next-generation games to woo its ginormous fanbase.
Besides the introduction of new technology, Nintendo’s strategy includes shifting its production and supply chains. The company has been shifting its production away from China since early in the Trump administration’s trade policy.
Currently, over 50% of Nintendo’s hardware imports to the US come from Vietnam and Cambodia, a strategy that could be vital for guaranteeing an adequate supply for the 2025 holiday season. Analysts suggest this strategy is essential for Nintendo to meet the high demand for the Switch 2, despite ongoing tariff risks.
According to reports, Nintendo has started transporting hundreds of thousands of Switch 2 consoles from Vietnam to the United States before its release. The company has been keeping stock in the US to buffer the impact of any new tariffs, and analysts are projecting the console price to be modified based on the variation in duties.
While the share price of the company has increased by close to 25% this year, experts caution that the success of the Switch 2 will also be highly contingent on the final retail price. The previous model was priced at $299.99 in the US, but the new console is expected to be priced around $399, keeping in mind the likelihood of tariff increases.
