As U.S. President Donald Trump's controversial import tariffs take effect, the Entertainment Software Association (ESA) has urged the administration to consult with the private sector to avoid harm to the video game industry.
In an updated statement issued to IGN, the ESA called on the Trump administration to engage with the private sector "to find ways to sustain the economic growth supported by our sector."
"Video games are one of the most popular and beloved forms of entertainment for Americans of all ages. Tariffs on video game devices and related products would negatively impact hundreds of millions of Americans and would harm the industry’s significant contributions to the U.S. economy. We look forward to working with the Administration and Congress to find ways to sustain the economic growth supported by our sector."
The ESA represents several major video game companies, including Microsoft, Nintendo, Sony Interactive Entertainment, Square Enix, Ubisoft, Epic Games, and Electronic Arts.
While the tariffs are currently targeted at Canada, China, and Mexico, President Trump has also indicated that tariffs would "definitely happen" with the European Union. When asked about Britain, Trump told reporters "we'll see how things work out."
"The UK is way out of line. We'll see ... but the European Union is really out of line," said President Trump (via Reuters). "The UK is out of line, but I think that one can be worked out. But the European Union is an atrocity, what they've done."
Analysts have been discussing the potential impact of tariffs on the industry as the situation has evolved. On X, MST Financial senior analyst David Gibson stated that the China tariff would have "zero" impact on the Nintendo Switch 2 in the U.S., but tariffs on Vietnam could change that.
Now obviously if tariffs go onto Vietnam imports to the US then that changes the outcome. PS5 not so lucky but Sony might scale up non-China production to help solve the problem.
— David Gibson (@gibbogame) February 2, 2025
In a recent interview with IGN, Super Joost newsletter author Joost van Dreunen also considered the impact of tariffs on the potential cost of Nintendo's new console, saying "the broader economic environment, particularly potential tariff impacts from the incoming U.S. administration, could significantly influence consumer reception."
