According to the well-known analyst Daniel Ahmad, the PS5 is currently safe from Trump’s tariffs, but only for a limited time. If the tariffs continue, the price of the Sony console may go up.
Sony had the smart idea to double its supply chains and build up large stockpiles, ensuring that they could handle any new tariffs the Trump administration might impose, which is exactly what happened.
Right now, Sony’s warehouses are full, which means they can keep prices stable. But what will happen once the stock runs out?
How Tariffs Affect the PS5 Price
The problem lies in the numbers: a PS5 made in China could face an increase of up to 54% in price due to tariffs. On the other hand, making the console in Japan would reduce the tariff to 24%, but prices would still go up. So, while there is a solution, it comes at a high cost.
Possible Price Increase Could Be Limited
While Nintendo delayed preorders for the Nintendo Switch 2 due to tariffs, Sony seems to have developed strategies to offset the higher taxes, which could also impact the price of the PS5 Pro.
Ahmad stated, “The firm would then need to evaluate how these tariffs impact current profit margins and how much they would need to increase hardware prices for the consumer. There could also be a potential impact on accessories and game pricing depending on how Sony wants to pass on costs.”
The good news is that Sony’s stockpiling, production in Japan, and the fact that the PS5 is now halfway through its lifecycle (meaning it is already profitable) suggest that any price increase may not be very large. The PS5 Pro has likely been priced at $700 in anticipation of tariff impacts, which may help keep the increase in check.
