Nintendo’s Switch 2 Lamp Up Week began with a hilarious Bang (Jingle, Jingle) on Switch 2 Direct on Wednesday. At least the company’s news releases began to be fooled by polygon-like outlets, and Donkey Kong hype was flooded online until sticker shocks took over. Nintendo has announced that it will charge $450 on the console and $80 on the flagship game. Mario Kart World (Or the two bundled together is $500).
Around the same time, President Trump announced his sweeping global trade plan, including substantial tariffs on almost every country in the world, including uninhabited regions. Simply put, everyone started to make fucks accordingly, and the stock market did too. In news and social media, both “Switch 2” and “Trump Tariffs” have begun trending, marking the start of a very chaotic 48-hour period, with the highly anticipated release of the gaming console and the US president’s fuss closely tied to people through the game as well as other mainstream media consumers.
Tariffs affect almost every cost Americans buy. All stocks will plummet downwards and social services will be demolished. This may include the cost of Switch 2. This is the price that many people weren’t satisfied before Nintendo announced that it would delay pre-orders due to tariffs and market evolution. Panic continues for fans: What if the Switch 2 is even more expensive than $450? It lies above this other lurking fear: What if there’s not enough switch 2 to avoid it?
Business professor and author Joost Van Dreunen said in an email to passthecontroller that “explicit references to tariffs” in Nintendo’s statement were extremely unusual for the company and for the Japanese corporate attitude in general. “Japanese companies traditionally avoid commenting on foreign policy issues, and this directness is particularly noteworthy. By naming the cause rather than using ambiguous language about “supply chain challenges” or “global market conditions,” Nintendo clearly shows that shareholders and consumers are not obstacles to internal planning, not external policy decisions, but not external policy decisions. (passthecontroller contacted Nintendo for comment, but did not respond before the press conference.)
For a long time, there have been a small number of voices in the gaming community about talking about “protecting politics from the game.” But the take was less pointless than it is now. Trump’s trade war literally has an impact on the game. Nintendo wants us to know that too.
But that’s probably not because so many gamer favorite nostalgia makers are facing big bad together with us. It’s a strategic decision (although it wouldn’t be surprising if Nintendo executives personally splashed Trump for this or other decisions).
“It is sequestering Nintendo from criticism of their own executions, gently educating consumer bases on how trade policy directly affects product availability and potential pricing,” Van Dronen said. “References to “evolving market conditions” are flexible enough to not only address tariffs, but also include competitive positioning against rumored PS5 Pro prices or changes in component availability. ”
Trump’s latest tariffs include an increase of up to 46% in Vietnam. Nintendo moved most of its manufacturing industry a few years ago when Trump increased Chinese tariffs. But Van Dronen doesn’t think Nintendo is close to launching the Switch 2 price.
“Nintendo needs time to assess whether the $449.99 existing price points remain viable or if the expected margins are compromised. The delay allows for additional inventory prior to the implementation of potential tariffs, exploring manufacturing alternatives, or adjusting commercial strategies,” says Van Dreunen. “Nintendo could maintain the announced prices, but could reduce initial production or adjust bundled products to maintain margins. They are essentially buying time to enable the most informed decisions in a rapidly evolving trade environment.”
And while it’s fascinating to see Van Delonen’s notable expertise as a sign that it’s not too bad here, he also says that the gaming industry tends to provide a decent pulsation for other economies.
“Nintendo creates a particularly interesting barometer as it distorts viewers that are more mainstream and family-oriented than their competitors. This means that our customer base includes middle-income consumers who have been most affected by economic headwinds,” Van Dronen said. “In this case, Nintendo’s response to these tariffs provides a preview of how global companies with complex supply chains navigate the rise in trade barriers, not by passing costs to consumers right away, but by strategic delays and strategic reassessment.
The only thing we certainly know is that there is more uncertainty going our way.
