Home News Nintendo President Warns U.S. Tariffs May Impact Switch 2 Demand

Nintendo President Warns U.S. Tariffs May Impact Switch 2 Demand

Author : Nicholas May 15,2025

Nintendo has unveiled its financial results for the fiscal year 2025 (April 2024 to March 2025), and during an online press conference on May 8, President Shuntaro Furukawa shared insights into the company's high expectations for the upcoming Switch 2. As the launch date of June 5 nears, the demand for the Switch 2 is soaring, with Nintendo's official pre-order lotteries being massively oversubscribed, particularly in Japan. The company is ramping up production efforts to meet this demand and is forecasting Switch 2 hardware sales of 15 million units and software sales of 45 million units globally for the 2026 fiscal year (April 2025 to March 2026).

Nintendo anticipates that the Switch 2's launch will significantly boost its overall sales in FY2026 by 63.1% to 1.9 trillion yen (approximately $13.04 billion USD) and final profits by 7.6% to 300 billion yen (approximately $2.05 billion USD). However, Furukawa expressed concerns about potential obstacles in the U.S. market and the future profitability of the Switch 2. As a next-generation console with enhanced features and improvements, the Switch 2 comes with a higher price tag than its predecessor.

Furukawa noted, “The unit sales price is high, and there are corresponding hurdles; however, we are aiming for a launch on par with (the first) Switch,” as reported by the Yomiuri Shimbun. The original Switch sold 15.05 million units in its first year, and Nintendo forecasts the Switch 2 to achieve at least 15 million units in its debut year.

These “corresponding hurdles” include concerns about the U.S., Nintendo's largest market for the original Switch. Furukawa highlighted the potential impact of Trump's tariffs on the Switch 2 and American consumers' spending power. He stated in the online press conference that the tariff policy could affect Nintendo’s profits by "tens of billions of yen." He further explained, “If prices of daily necessities like food increase due to the tariffs, then people will have less money to spend on game consoles. If we were to adjust the price of the Switch 2 in response to the tariffs, this could decrease demand.”

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Analysts have described Nintendo's 15 million Switch 2 sales forecast as "conservative," citing the uncertainty around tariffs. Despite these concerns, the demand for the Switch 2 remains robust. Following a delay due to tariffs, pre-orders for the Switch 2, priced at $449.99, went live on April 24 and were met with overwhelming enthusiasm. Nintendo has also warned U.S. customers who applied for a Switch 2 pre-order from the My Nintendo Store that release date delivery is not guaranteed due to high demand.

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