“ESA Sounds the Alarm: Trump’s Tariffs Could Spell Trouble for the Sports Industry”
By The Entertainment Software Association is cautioning that the forthcoming tariffs imposed by the Trump administration in the gaming sector will cause “substantial damage” to video games and American consumers.
In a press release to Kotaku’s Ethan Gach, the trade organization acknowledged that the tariffs could have repercussions for “Americans of all ages nationwide.” It subsequently provided a revised statement emphasizing how the tariffs will “adversely affect hundreds of millions of Americans and jeopardize the industry’s vital contributions to the U.S. economy.”
Over the weekend, President Trump approved a measure to impose tariffs on imports from Mexico, China, and Canada, which are set to take effect tomorrow, February 4. Semiconductors, which are used to manufacture gaming consoles (like the PlayStation 5 and Nintendo Switch 2) and peripheral devices, are included in these tariffs.
Multiple electronics firms operate semiconductor manufacturing facilities in Mexico and China. The former’s 25 percent tariff is currently on hold, while China’s 10 percent levy remains in effect as of this writing. Tariffs against China have previously threatened to influence the pricing of gaming consoles in the U.S., but these have not materialized.
Although the actual ramifications of President Trump’s tariffs are currently uncertain, hardware manufacturers such as Sony and Microsoft have introduced newer, generally more expensive models of their consoles. Sony, in particular, raised the price of its standard PlayStation 5 console in several regions when semiconductor supplies were limited about a year ago.
The ESA also mentioned that it might collaborate with Congress and the Trump administration to “explore methods to sustain the economic growth fostered by our sector.”
Video games, along with the broader industry, may face further challenges from the Trump administration due to its association with the Heritage Foundation’s Project 2025. This initiative includes a notably wider definition of pornography (which could impact developers featuring transgender characters or incorporating diverse character creators), and holds companies accountable for the content they host on their platforms and digital marketplaces.
About the Author
Contributing Editor, GameDeveloper.com
Hailing from Kansas City, MO, Justin Carter has contributed to a variety of platforms including IGN, Polygon, and SyFy Wire. In addition to his work for Game Developer, his writings can also be found on io9 at Gizmodo. Don’t ask him how much gum he has chewed, as the answer will likely be more than he is willing to admit.