Nintendo is moving production of its hit Nintendo Switch game console to Vietnam amid trade tensions between China and the US
- Like most consumer electronics, the Nintendo Switch game console is produced primarily in China.
- But now, due to the ongoing trade war between the United States and China, Nintendo is moving at least part of its Switch manufacturing to Vietnam.
- Nintendo says the shift begins this summer, and is a measure of "diversifying risks."
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Nintendo's moving production of the Nintendo Switch, at least partially, from China to Vietnam.The move is a direct response from Nintendo - a major electronics maker - to the ongoing trade war between the United States and China. Advertisement
A Nintendo spokesperson told Reuters that the production shift is scheduled to begin this summer, and is a measure of "diversifying risks" rather than skirting potential tariff increases related to the trade war.
In a surprise move, the three competitors collaborated on a joint letter to the United States government in late June."While we appreciate the Administration's efforts to protect US intellectual property and preserve US high-tech leadership," the letter says, "the disproportionate harm caused by these tariffs to US consumers and businesses will undermine - not advance - these goals."Read more: THE TECH COLD WAR: Everything that's happened in the new China-US tech conflict involving Google, Huawei, Apple, and TrumpAdvertisement
The tariffs imposed on goods imported from China were set to increase under a proposal from President Donald Trump. Under the Trump administration's proposed tariffs on $200 billion worth of Chinese goods, game-console makers would face a 25% tariff, an increase from the existing 10% rate.
Nicolas Asfouri/AFP/Getty Images
Still, amid uncertainty in relations between the US and China, many major tech companies - which rely on Chinese manufacturing - are either putting together plans or outright enacting plans to move production elsewhere.