Trump's tariffs on imports are threatening to increase video game prices, potentially pushing titles like GTA VI to $89.99 or higher.
Rockstar Games and the rest of the video game industry are bracing for potential upheaval as newly re-elected United States President Donald Trump sets his sights on implementing aggressive trade policies. With substantial tariffs on imports from Mexico, Canada, and China all in the pipeline, one of the biggest games set to release this console generation, Grand Theft Auto 6, could be the first AAA title to feel the brunt of its effects.
Many physical video game discs sold in the United States are manufactured in Mexico, which, according to Trump's proposal, is one of the countries set to receive a 25% tariff 1. While this only applies to physical products, history suggests the pricing of physical and digital titles are almost always on par with each other.
Even if the price of digital editions doesn't rise, this still isn't good news. The implementation of the tariffs as they are would effectively kill physical game collections as we know them, accelerating the already rapid shift towards digital distribution. Unless, of course, one of the least likely scenarios happen, and physical games manufacturing is moved to the United States.
GTA 6, a game expected to set a creative benchmark in the entertainment industry, had already been speculated several times by industry analysts to be the first game to break the $100 barrier at launch.
A developer working for Larian Studios, the studio behind 2023's Game of the Year, Baldur's Gate 3, even recently joked about telling everyone to keep such discussions quiet2. As the evidence continues to pile for GTA 6 to be the first game to retail for over $70, the talk now shifts towards accessibility and how normalizing this kind of pricing could make gaming an increasingly expensive hobby.
The industry isn't taking these threats lying down, however. In the past, major players like Microsoft, Sony, and Nintendo have successfully lobbied for exemptions to similar tariff proposals3. The video game industry could also have two unlikely allies on their side: Elon Musk, one of Trump's biggest and most vocal supporters, and Trump's 18-year-old son, Barron Trump.
Musk could propose that the tariffs exclude video games, and Barron could back him up, suggesting that doing so would endear the 47th United States President to a younger demographic going forward4, possibly improving his chances of being re-elected in 2028—it's worth noting that this is already Trump's second term so technically can't run again for POTUS5 by then but are you really betting against the possibility of him finding a way to make that happen?
Beyond GTA 6 and its potentially higher price tag, Trump's stance on violent video games and potential changes to online content regulations could have far-reaching effects. Developers may face increased scrutiny and pressure to self-censor, while platforms hosting user-generated content might need to implement stricter moderation policies.
We're only days into Trump's presidency and things still stand to change, but so far, a growing number of questions continue to remain unanswered. Will these tariffs actually be implemented as proposed? How will Rockstar and Take-Two Interactive adapt? More importantly, how will the different segments of the industry react to GTA 6 possibly setting a new price standard?
One thing is certain: Trump's administration promises to be an interesting time for the video game industry.