ESA Warns Trump’s Tariffs May Hurt Video Game Industry
The Entertainment Software Association (ESA) is worried that new tariffs from the Trump administration will make gaming more expensive and hurt the industry’s contribution to the U.S. economy.
What’s Happening?
New tariffs on goods from China, Mexico, and Canada are set to take effect on February 4.
Semiconductors—key components in consoles like the PlayStation 5 and Nintendo Switch 2—are included.
The ESA says these tariffs could have a "significant negative impact" on both the gaming industry and American consumers.
Why Does This Matter?
Semiconductors are the brains behind modern consoles. If they get hit with higher import taxes, console makers might raise prices—and guess who pays for that? You.
China’s semiconductor tariff is 10% and Mexico’s 25% tariff is paused (for now).
Sony and Microsoft have already raised console prices before when chip shortages happened. This could happen again.
What’s the ESA Doing About It?
The ESA says it will work with Congress and the Trump administration to protect the gaming industry’s growth. How much influence they’ll actually have? TBD.
Bigger Picture: More Than Just Prices
The Trump administration’s policies could affect the industry in other ways, too. A document from Project 2025, linked to Trump’s allies, suggests:
Expanding the definition of pornography, which could target games with LGBTQ+ characters or inclusive customization.
Holding platforms and storefronts responsible for content, which could change how digital game stores operate.
Bottom Line
If these tariffs stick, expect consoles and accessories to get pricier—and potentially more government scrutiny over game content.