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ESA warns of impact of Trump tariffs on games industry

ESA warns of impact of Trump tariffs on games industry

US video games trade body the Entertainment Software Association (ESA) has warned that the tariffs imposed by US president Donald Trump will have a "real and detrimental impact" on the games industry. 

Speaking to Game File, the organisation's senior vice president Aubrey Quinn said that hardware is going to face a real price increase due to the fact that components come from around the world, not least countries such as Vietnam and China. 

“Any one product that a consumer would buy is likely to be subject to many of the tariffs announced, all compounded on top of one another,” Quinn said.

Game File pressed Quinn on whether companies should be bringing manufacturing jobs back to the United States, to which she said it is "complicated". 

“I think every company, every industry, the video game industry included, needs to think about what’s best for consumers, best for business, and best for employees,” Quinn replied. “Supply chains are complicated and, certainly, supply chains don’t change overnight. Everything that is considered or decided can’t be a quick turnaround and can’t be a knee-jerk reaction to any particular announcement.”

These newly-introduced tariffs include a 46 per cent tax on goods from Vietnam while US importers of Chinese goods will now face a 54% combined levy and duty. 


PCGamesInsider Contributing Editor

Alex Calvin is a freelance journalist who writes about the business of games. He started out at UK trade paper MCV in 2013 and left as deputy editor over three years later. In June 2017, he joined Steel Media as the editor for new site PCGamesInsider.biz. In October 2019 he left this full-time position at the company but still contributes to the site on a daily basis. He has also written for GamesIndustry.biz, VGC, Games London, The Observer/Guardian and Esquire UK.