Quantcast
Trump's new tariff proposals include a 25% tax on video game consoles

Forums - Gaming Discussion - Trump's new tariff proposals include a 25% tax on video game consoles

Just want another country to start building durable goods again. These days most shit from China is cheap and shitty. Sure there are some reliable products but go back 3 or 4 decades they built shit to last. Now we are in a throw away economy. Something breaks go buy another because prob cost just as much fixing than to replace. I'll take Japan they usually make good shit. They can make good cars but apparently not airbags!



Around the Network
FarleyMcFirefly said:
Pardon my ignorance, but will this have a big effect on Canada as well?

I'm all for taxes when they are used properly, but this seems like bull shit.

I don't think so. Most of South America, on the other hand, imports consoles through the US...

But honestly, considering the next consoles should release by the end of 2020, I think manufacturers will take on the losses betting it will change early in the next presidency. If the tax comes to be at all.



 

 

 

 

 

SpokenTruth said:


Oh, and China is blocking Google (search, Drive, Gmail, Docs) and Facebook but notice they don't block Microsoft (Bing search, OneDrive, Outlook, Office) or Yahoo (search, email).  That suggests blocking has more to do with making deals with China than being isolationists.  By the way, did you know Yahoo owns a large stake (40% at one time) in the Chinese mega-corporation Alibaba?  You think that might have something to do with why Google is banned or is just being isolationist and that's just coincidence?

The "Yahoo" brand of internet services and the company which owns 16% shares on Alibaba have nothing to do with each other nowadays. The former is owned by Verizon, and the latter (which is literally over an order of magnitude more valuable than the Yahoo brand itself) is an independent investment company going by another name.

Either way, the censorship of Google predates these deals by years.



 

 

 

 

 

spemanig said:
I'm stupid - do tariffs effect digital software or just physical products?

Only physical products, though I do think some states do add on taxes for digital purchases. 

Anyway, though it couldn't be done overnight, I think one solution to all of this is to have consoles manufactured elsewhere. I did hear something about Foxconn opening up plants in North America, though that was a while ago. At this rate, though, the consoles could be made in Taiwan, Mexico or the various emerging markets in East Asia. I think Vietnam would be a good place to invest into, though I'm not sure how quickly this could be done. At this rate though, China needs the US more than the US needs China. The US is the buyer. China is the seller. There are plenty of other places to buy from.



Check out my art blog: http://jon-erich-art.blogspot.com

Jon-Erich said:
spemanig said:
I'm stupid - do tariffs effect digital software or just physical products?

Only physical products, though I do think some states do add on taxes for digital purchases. 

Anyway, though it couldn't be done overnight, I think one solution to all of this is to have consoles manufactured elsewhere. I did hear something about Foxconn opening up plants in North America, though that was a while ago. At this rate, though, the consoles could be made in Taiwan, Mexico or the various emerging markets in East Asia. I think Vietnam would be a good place to invest into, though I'm not sure how quickly this could be done. At this rate though, China needs the US more than the US needs China. The US is the buyer. China is the seller. There are plenty of other places to buy from.

Plenty of other places to sell to as well. Why move all your factories and recruit a whole new bunch of staff when you can just continue what you're doing and continue selling to the rest of the world just as you were before.



Bet Shiken that COD would outsell Battlefield in 2018. http://gamrconnect.vgchartz.com/post.php?id=8749702

Around the Network

Better add at least $100 onto the price of all consoles now. Right in time for the next gen too. I actually wouldn't be surprised if this makes the console makers looking into assembling the consoles in the US. Don't know if that would knock enough off the price to make it work the effort though. But if this tariff is something that they think will stay in place for a while its an option. Overall more bullshit from Trump.



     

Check out my lastest games review: Fast RMX and  Snipperclips: Cut it out Together

cycycychris said:
Better add at least $100 onto the price of all consoles now. Right in time for the next gen too. I actually wouldn't be surprised if this makes the console makers looking into assembling the consoles in the US. Don't know if that would knock enough off the price to make it work the effort though. But if this tariff is something that they think will stay in place for a while its an option. Overall more bullshit from Trump.

Wouldn't most parts come in from China and hence get slapped with tariffs? Sony afaik still has some assembly lines in Japan they could expand to atleast lessen tariff impact on a part of their US bound consoles.



Lafiel said:
cycycychris said:
Better add at least $100 onto the price of all consoles now. Right in time for the next gen too. I actually wouldn't be surprised if this makes the console makers looking into assembling the consoles in the US. Don't know if that would knock enough off the price to make it work the effort though. But if this tariff is something that they think will stay in place for a while its an option. Overall more bullshit from Trump.

Wouldn't most parts come in from China and hence get slapped with tariffs? Sony afaik still has some assembly lines in Japan they could expand to atleast lessen tariff impact on a part of their US bound consoles.

in theory, importing a bunch parts should be worth less than added value a whole console has. But they likely have tarriff on them and would not produce a cheaper product with higher wages in the US.



     

Check out my lastest games review: Fast RMX and  Snipperclips: Cut it out Together

Ka-pi96 said:
Jon-Erich said:

Only physical products, though I do think some states do add on taxes for digital purchases. 

Anyway, though it couldn't be done overnight, I think one solution to all of this is to have consoles manufactured elsewhere. I did hear something about Foxconn opening up plants in North America, though that was a while ago. At this rate, though, the consoles could be made in Taiwan, Mexico or the various emerging markets in East Asia. I think Vietnam would be a good place to invest into, though I'm not sure how quickly this could be done. At this rate though, China needs the US more than the US needs China. The US is the buyer. China is the seller. There are plenty of other places to buy from.

Plenty of other places to sell to as well. Why move all your factories and recruit a whole new bunch of staff when you can just continue what you're doing and continue selling to the rest of the world just as you were before.

The problem is when China does things that's competitively unfair. That's how this whole dispute came about. Now, China does not want to cripple the US economically because The US is China's biggest buyer of goods in the world. At this point, China needs the US. A large portion of China's economy involves selling goods to the US. The US however does not need China as much and if China does not want to play fair, then there are plenty of other countries out there that want to sell goods to the US. Also, while setting up in other countries might take some effort, it's not that hard. In fact, the whole notion of having everything made in China is somewhat new. When I was growing up, your products from Nintendo and Sega were made in Japan. Japan made their own stuff. The US made a lot of it's own stuff. The whole idea of moving everything to China only started happening maybe about 20 years ago. So it isn't like China was always that country that made products for everyone and in 10 years, it may be somebody else.



Check out my art blog: http://jon-erich-art.blogspot.com

sethnintendo said:
Just want another country to start building durable goods again. These days most shit from China is cheap and shitty. Sure there are some reliable products but go back 3 or 4 decades they built shit to last. Now we are in a throw away economy. Something breaks go buy another because prob cost just as much fixing than to replace. I'll take Japan they usually make good shit. They can make good cars but apparently not airbags!

Problem is, that the incentives for that are made from us, not China.

Customers in general rather buy cheap products than long-lasting ones. Which pushed the producers to keep things running just as long as they need to, aka as long as it's under some kind of warranty.

So, either the whole population shifts its consumerism to long-lasting products, or there need to be legal changes in the length of warranties to make that happen.

cycycychris said:
Better add at least $100 onto the price of all consoles now. Right in time for the next gen too. I actually wouldn't be surprised if this makes the console makers looking into assembling the consoles in the US. Don't know if that would knock enough off the price to make it work the effort though. But if this tariff is something that they think will stay in place for a while its an option. Overall more bullshit from Trump.

The importing costs get eaten up by wages, so doubtful that they'll do so. Also, new factories would need to get build, which takes a while and is expensive.

However, there's a possibility that the final assembly moves to another third world or developing country, like India, Indonesia, Philippines... to get around the tax. And if it's just the final assembly, China wouldn't loose much of it.

Last edited by Bofferbrauer2 - on 25 May 2019