ESA Warns Trump Tariffs Could “Harm” The Video Game Industry

Due to the impending tariffs by the US starting on Tuesday, the Entertainment Software Association (ESA) has voiced worries about their potential influence on the video game industry. In a statement posted online, the ESA cautioned that taxes on gaming equipment could have a detrimental effect on over 200 million American consumers.

As a passionate gamer, I can tell you that the Entertainment Software Association (ESA), which represents many of the big names in gaming, has spoken up about tariffs. They believe these tariffs could negatively impact our industry’s substantial contributions to the US economy. The ESA is eager to collaborate with the Trump Administration and Congress to discover solutions that will maintain the economic prosperity fueled by our gaming industry. In 2024, total video game sales in the US amounted to a staggering $58.7 billion, as reported by the ESA.

Starting at 12 AM Eastern Time on February 4, the United States plans to impose taxes on imported goods from both Canada and China. Specifically, Canadian imports will be subjected to a 25% tax, while Chinese imports, which include tech products like video game consoles, will face a 10% tariff. Previously, Mexico was targeted with a 25% import tax by the Trump administration, but this decision has been postponed for a month following discussions on Tuesday. Each of these countries has responded by planning retaliatory measures, including potential tariffs against U.S. goods.

Trump additionally signaled plans to impose tariffs on computer chips, a move he remained eager about following his meeting with Nvidia CEO Jensen Huang on Friday. By Monday morning, the shares of Nvidia, a company that specializes in designing and providing graphics cards, began to drop as the possibility of tariffs threatened tech firms.

It’s uncertain how tariffs will impact video game items at the moment, but analyst Mat Piscatella from Circana anticipates that the costs of games (in both physical and digital versions) might increase.

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2025-02-03 22:09