Sony Interactive Entertainment, Nintendo, and Microsoft have joined together to essentially give Trump and his administration the middle finger since they aren’t really happy with the proposed tariffs on video game consoles. The tariffs would include a 25% tax, which is absolutely insane.

For those purchases that do go forward despite tariffs, consumers would pay $840 million more than they otherwise would have. The video game console supply chain has developed in China over many years of investment by our companies and our partners. It would cause significant supply chain disruption to shift sourcing entirely to the United States or a third country, and it would increase costs—even beyond the cost of the proposed tariffs—on products that are already manufactured under tight margin conditions. Each video game console comprises dozens of complex components sourced from multiple countries. A change in even a single supplier must be vetted carefully to mitigate risks of product quality, unreliability and consumer safety issues. Tariffs would significantly disrupt our companies’ businesses and add significant costs that would depress sales of video game consoles and the games and services that drive the profitability of this market segment. Because of the deep interdependence of video game consoles and game software, and due to the price sensitivity of video game console purchasers, tariffs on video game consoles would not only harm our companies, consumers, and retailers, but will also disproportionately harm the thousands of small and medium-sized software and accessory developers in the United States. Thus, these tariffs would have a ripple effect of harm that extends throughout the video game ecosystem.

Sony Interactive Entertainment, Nintendo, and Microsoft

You can see the full documentation here.

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