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Nintendo has secured $300 million in refunds for invalidated U.S.
tariffs it paid last year amid the launch of its latest video game console, according toa fiscal Q1 earnings report.
The Switch 2 manufacturer said it bore the brunt of the International Emergency Economic Powers Act levies, even though it didraise priceson certain hardware last year due to unspecified "market conditions." The refund helped fuel a 22-percentage-point year-over-year increase in gross profit margin during the quarter, with the company also reporting a 150.5% surge in operating margin.
Nintendo is getting tariff relief after it was forced tonavigate the launchof its flagship Switch 2 console amid the deluge of sweeping tariffs President Donald Trump installed last year.
In March, the company known for producing the Super Mario and Legend of Zelda franchises, joined the mass of companies thatsued the U.S.
governmentseeking refunds for IEEPA tariffs following a Supreme Courtruling striking downthe levies.
The next month, as Customs and Border Protection got to work creating a means of delivering IEEPA tariff refunds to importers, two consumersfiled a class-action lawsuitagainst Nintendo.
The case alleges the company raised prices due to the IEEPA levies and should therefore pass any recouped tariff costs back to customers.
Nintendo has rebuffed the suit and filed for its dismissal, arguing that consumersare not legally entitledto tariff refunds.
"Nintendo disclosed to consumers its cost inputs, shouldered the impact of tariffs where it could, and gave Plaintiffs the products they paid for at the agreed-upon price," per the dismissal motion.
| Product | Price | Change |
|---|---|---|
| Brent Crude | $102.14/bbl | +0.34% |
| WTI Crude | $96.90/bbl | +0.21% |
| EN590 Diesel | $846/MT | +0.18% |
| Jet Fuel A-1 | $1090/MT | +0.55% |
| Mazut M100 | $450/MT | -0.15% |
| Bitumen 60/70 | $470/MT | +0.08% |
| Sulphur Gran 99.5% | $470/MT | -0.44% |
| Urea 46% Gran | $650/MT | +1.12% |
| NPK 16-16-16 | $460/MT | -0.28% |
| Nat Gas TTF | $15.42/MMBtu | +0.92% |
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