The burden of the US tariffs enacted by President Donald Trump is taking a heavy toll on the shares of Japanese gaming companies today. Sony was hit the hardest, losing just over 10% of its market value in a single session. Nintendo isn't far off, losing 7.85% today.
As a reminder, the Big N is about to launch the Nintendo Switch 2 console. Pre-orders were supposed to go live on Wednesday, April 9; however, they have been delayed in the United States precisely because of the aforementioned tariffs, and now users fear the console and its accessories might get even pricier. Needless to say, investors aren't keen on the impact this might have on the console's success, either.
Koei Tecmo, known for Dynasty Warriors, Ninja Gaiden, and Atelier among others, is losing 7.63%. Bandai Namco, publisher of franchises like Ace Combat, Dark Souls, Dragon Ball, and Tekken just to name a few, is losing 7.37%. SEGA Sammy, the legendary publisher of franchises like Shenmue, Virtua Fighter, Like a Dragon, Sonic, and Total War, is close by with -7.29%. CAPCOM, another revered Japanese gaming company (Resident Evil, Devil May Cry, Monster Hunter, Street Fighter, etc.), loses 6.61%. Square Enix (Final Fantasy, Dragon Quest, Star Ocean) loses 5.62%. Lastly, KONAMI is currently down 'only' 5.19%. The latter company has relied less on videogaming for some time, although that is changing rapidly with the revival of beloved franchises such as Silent Hill and Metal Gear Solid.
Now, the tariffs will probably hit Western game companies just as hard as they are doing with Japanese ones. However, due to the timezone, this is the first glimpse we have at how the industry (which is already ailing due to increased budgets and stifled growth) is reacting to the application of the US tariffs. It's not looking good, that's for sure.
About the author: With over two decades of experience in gaming journalism, Alessio Palumbo has led the gaming vertical at Wccftech since August 2015. He started working at a young age for Italian websites like Everyeye.it, Gamestar.it, Nextgame.it, and Multiplayer.it before kickstarting the indie English-language publication Worlds Factory as its founder and Editor in Chief. In the last decade, he has coordinated the overall output of Wccftech's gaming section, managed PR relations, assigned reviews, produced daily news coverage, edited gaming content as needed, and delivered game reviews. Arguably, his trademark content is the long series of exclusive developer interviews that have been cited by Wikipedia and by the biggest news media and gaming publications. His passion for technology also makes him knowledgeable when it comes to gaming hardware and tech. His favorite genres include RPGs, MMORPGs, and action/adventure games.
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