Home News Nintendo President Warns U.S. Tariffs Could Impact Switch 2 Sales

Nintendo President Warns U.S. Tariffs Could Impact Switch 2 Sales

Author : Peyton Update:Jun 17,2025

Nintendo has just unveiled its financial results for the 2025 fiscal year (April 2024–March 2025), and during the company’s online press conference held on May 8, Nintendo President Shuntaro Furukawa provided further insights into the company's ambitious outlook for the upcoming Switch 2, while also addressing potential challenges—including the impact of U.S. tariffs.

As the June 5 release date draws closer, global demand for the Switch 2 continues to surge. Official pre-order lotteries have seen overwhelming participation, particularly in Japan. In response, Nintendo is actively working to ramp up production to meet this growing demand. The company forecasts hardware sales of 15 million units and software sales reaching 45 million units worldwide during the 2026 fiscal year (April 2025–March 2026).

Moreover, Nintendo anticipates that the launch of the Switch 2 will significantly boost overall business performance in FY2026, projecting a 63.1% increase in sales to 1.9 trillion yen (approximately $13.04 billion USD) and a 7.6% rise in net profit to 300 billion yen (approximately $2.05 billion USD).

PlayHowever, Furukawa expressed certain concerns regarding the U.S. market and the long-term profitability of the Switch 2. As a next-generation console featuring enhanced capabilities and improved performance over the original Switch, the Switch 2 comes with a higher manufacturing cost—and thus, a higher retail price.

“The unit sales price is high, and there are corresponding hurdles; however, we are aiming for a launch on par with (the first) Switch,” Furukawa stated, as cited by the Yomiuri Shimbun. The original Switch sold 15.05 million units in its debut year, and Nintendo expects the Switch 2 to match or exceed that figure.

These "corresponding hurdles" largely revolve around the U.S., which has historically been Nintendo’s largest market for the original Switch. Furukawa voiced concerns about how Trump-era tariff policies could affect both consumer spending and Nintendo’s profit margins.

During the press briefing, he noted that the tariff policy is expected to impact Nintendo’s profits by “tens of billions of yen.” He added: “If prices of daily necessities like food increase due to tariffs, consumers may have less disposable income to spend on gaming consoles. Adjusting the Switch 2’s price in response could potentially reduce demand.”

Nintendo Switch 2 System and Accessories Gallery

View 91 ImagesAnalysts have described Nintendo’s 15 million unit sales forecast for the Switch 2 as “conservative,” citing uncertainty surrounding the effects of tariffs. Despite these concerns, enthusiasm for the new console remains strong. After an initial delay caused by supply chain issues related to tariffs, Switch 2 pre-orders officially launched on April 24, with the console priced at $449.99—remaining unchanged despite rising costs. Predictably, demand was massive.

Additionally, Nintendo has issued a notice to U.S. customers who applied for a Switch 2 pre-order through the My Nintendo Store, stating that delivery by the official release date cannot be guaranteed due to the extremely high volume of orders.

For more details, check out IGN's Nintendo Switch 2 pre-order guide.

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