Japanese gaming companies are experiencing a stock market shockwave after U.S. President Donald Trump announced aggressive new tariff policies. The White House revealed customized tariff rates targeting about 60 nations — including Japan's 24% rate — set to take effect April 9.
Administration officials claim these nations either charge excessive tariffs on American products, create unfair trade barriers, or otherwise hinder U.S. economic interests. These import taxes typically get transferred to consumers, meaning gaming hardware and software prices could spike worldwide.
Asian markets reacted violently to the news. Japan's Nikkei 225 plummeted 7.8%, Australia's ASX 200 dropped 4.2%, and South Korea's Kospi fell 5.6%. Even steeper declines hit China's Shanghai Composite (7.3% down) and Taiwan's Weighted Index (9.7% drop), while Hong Kong's Hang Seng cratered 12.5% by midday.Kantan Games CEO Dr. Serkan Toto tracked the gaming sector's brutal opening on April 7. Nintendo shares dropped 7.35%, Sony plunged 10.16%, with Capcom and Sega losing 7.13% and 6.57% respectively. Mobile gaming firms suffered even heavier losses according to his analysis.
The gaming market carnage continues as Japanese stocks open:
Nintendo: -7.35%
Sony: -10.16%
Bandai Namco: -7.03%
Konami: -3.93%
Sega: -6.57%
Koei Tecmo: -5.83%
Capcom: -7.13%
Square Enix: -5.23%Mobile publishers getting hammered even worse.
— Dr. Serkan Toto (@serkantoto) April 7, 2025
The volatility comes after Nintendo stunned fans by delaying U.S. Switch 2 preorders — originally slated for April 9 — citing tariff uncertainties. While the $449.99 console and $499.99 Mario Kart World bundle maintain their June 5 launch date globally, American customers face indefinite preorder postponement.
Switch 2 Hardware Includes:
- Next-gen Nintendo console
- Upgraded Joy-Con 2 controllers
- Enhanced Joy-Con Grip
- Premium HDMI cable
- Redesigned docking station
- Fast-charging USB-C accessories
Industry analyst Daniel Ahmad warned that Nintendo's manufacturing shift to Vietnam (to avoid Chinese tariffs) might backfire given the new Vietnam-specific duties. "These unexpectedly high reciprocal tariffs could force Nintendo to reconsider global pricing," Ahmad noted, suggesting potential worldwide price hikes beyond the already controversial $79.99 Mario Kart World pricing.
VoteView ResultsSony also faces pricing pressures on its $700 PlayStation 5 Pro. Meanwhile, financial institutions like Goldman Sachs (revising U.S. recession odds to 45%) and JPMorgan (predicting 60% global downturn probability) paint a bleak macroeconomic picture. President Trump defended the tariffs as necessary economic medicine during turbulent times.
For deeper analysis, explore our complete Switch 2 Nintendo Direct breakdown and expert reactions to the console's pricing strategy.
