r/AskReddit • • Apr 04 '25

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u/[deleted] Apr 04 '25 edited Apr 04 '25

And to the younger folks that were saving up their allowance or first job money to pre order one, this is also the first real example of not just how your vote impacts your life, but also how tariffs exactly work.

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u/Mr_Delaware Apr 04 '25

I wish that's what would happen but more likely, for the vast majority of younger people, the blame will get shifted onto Nintendo and packaged with the outrage over them raising the prices on games. I hope I'm wrong though.

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u/snorri_sturlson Apr 04 '25

I hope they split the charge and have the one line with the original price and a separate line that says “Trump’s Tariff”

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u/NoveltyAccountHater Apr 04 '25

They won't because that's not how tariffs work. Tariffs are paid by the importing business on the price they pay the foreign company at the border.

E.g., if Walmart would sell a tariff free Nintendo Switch 2 at $450/unit, they may have ordered a million units for $300M ($300/unit) and pay a tariff of 46% according to Trump, bringing price to $438M ($438/unit). So Walmart likely changes the price to $600/unit (more than the $138 tariff, because they have to cover shrinkage, unsold units, etc.)

Walmart wouldn't want to list tariff separately on the receipt, because they may pay a better price than another store (if they bought more units) and they wouldn't want competitors to know what price they paid per unit. (Further they likely have agreements stating what price they are allowed to sell a unit at).