Nintendo Switch #5

Like I mentioned after the stream... Nintendo explicitly moved manufacturing of the Switch 2 to Vietnam to avoid tariffs, but the same day they revealed the price it was also announced that Vietnam is being tariff'd just as bad. Do not be surprised if the price goes up (and probably bones Canada even further as collateral damage.)

The Japanese Switch 2 is launching at like $350 USD but is region locked. Unlike MS and Sony, Nintendo doesn't enjoy selling hardware at a loss, so we have a pretty good idea what the margins for this thing are from the JP price. Nintendo built a ~25% buffer into both hardware and their cartridges to compensate for the tariffs that they expected, but then learned a few hours later that 25% was not enough.

This is also a company who used to list preorders of first party games at $100 CAD and then drop the price just before release JUST IN CASE the market/exchange rate changed between listing and release. They've always paid close attention to the market.
 
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GameStop Canada and Best Buy Canada still have their pre-order info and countdown clock up, so looks like they're still good to go for this coming Wednesday at 12pm EST.

The same guy later replied to his tweet that Nintendo Canada has said no issue for Canadian pre-orders. I was wondering if maybe the warehousing for these Switches was all in the US and there was a concern they'd all get hit with tariffs entering the US to sit in those warehouses before they are moved up to Canadian retailers and addresses throughout the Canada.
 
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The same guy later replied to his tweet that Nintendo Canada has said no issue for Canadian pre-orders. I was wondering if maybe the warehousing for these Switches was all in the US and there was a concern they'd all get hit with tariffs entering the US to sit in those warehouses before they are moved up to Canadian retailers and addresses throughout the Canada.
The main fear will probably just be every Canadian Switch 2 being bought by US scalpers.
 
I could be wrong but I believe you have to have a Canadian address to order on the Canadian Gamestop/Best Buy websites.
Yea I'm not sure, wouldn't surprise me given the reverse is often true. Will likely still have an influx of people near the borders coming up for a "visit" to like Windsor or whatever so hopefully physical retailers are asking for ID as well.
 
While it's pricy, I'm absolutely trying to get one by July for that Donkey Kong game. It looks incredible and is rumored to be done by the Mario Odyssey team.
 
My guess is Nintendo will try to wait this out and see where the random wheel of tariffs lands, say 6 months from now.

They apparently have a stock of already imported consoles which will have escaped the new tax rate, so they can rely on those for at least a little while. And having just announced the prices the other day, raising them days later while already facing some criticism over the initial prices might not look good to people who don't understand tariffs (see above).

But it's hard to say for sure, Nintendo generally doesn't accept selling console at a loss like their competitors do to gain market share. They have a different mindset there.
I just think Nintendo doesn't want to get boned by the applicable duty/tariff possibly changing 8 times during the pre-sale period.
 

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