The price of consoles and accessories could be affected in recent months by escalating tensions between the U.S. and China over the two countries' ongoing trade war.The Office of the United States Trade Representative has proposed a 25 percent tariff on more Chinese imports, including video consoles, controllers and even board games like chess and checkers, GameDaily reported.
Tariffs are effectively taxes paid by domestic companies.To offset these costs, companies tend to raise the price of products affected by tariffs, passing the cost on to consumers, who end up paying more for certain products.Although consoles will be phased out in the last wave of tariffs, they are far from the only products affected;Tariffs will be imposed on thousands of goods produced in China.
This is certainly not the first time the trump administration's tough stance on China has had a negative impact on the video game industry.The United States has imposed a 10 percent tariff on some nvidia and AMD graphics CARDS made in China.If enacted, the new tariffs could lead console makers to raise the price of their systems to recoup the added costs.
The trade war between China and the United States is getting fiercer and fiercer. What is the biggest impact of the trade war between China and the United States for you?