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Trump’s tariffs forced Sony to pay a whopping $194 million in import-related fees in Q3.
The company revealed the figure in its earnings report for July to September, which notes a 30 billion yen tariff impact since the company manufactures much of its hardware, including the PS5, in China.
The Trump administration recently reached a deal with China to reduce tariffs on Chinese imports by 10 percentage points starting this week. So, Sony has revised its projections and now expects to pay only 50 billion yen ($324 million) in tariffs during the operating year, down from a previously estimated 70 billion yen.
Hopefully, this means Sony won’t impose any more price hikes. To offset its substantial tariff bill, the company raised prices for all versions of the PS5 by $50 in August. (Microsoft also announced two price hikes for the Xbox in the US this year.)
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In the earnings report, Sony added that demand has slowed in the US primarily due to the impact of additional tariffs, but said that’s “essentially in line with our previous forecast, and global demand remains solid, primarily because of Asia.” In total, the vendor has sold 84.2 million PS5 units, including 3.9 million in Q3, up from 3.8 million in the same quarter last year.
Apple is also facing a $1.1 billion tariff bill for the quarter.
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About Our Expert
Michael Kan
Senior Reporter
Experience
I’ve been a journalist for over 15 years. I got my start as a schools and cities reporter in Kansas City and joined PCMag in 2017, where I cover satellite internet services, cybersecurity, PC hardware, and more. I’m currently based in San Francisco, but previously spent over five years in China, covering the country’s technology sector.
Since 2020, I’ve covered the launch and explosive growth of SpaceX’s Starlink satellite internet service, writing 600+ stories on availability and feature launches, but also the regulatory battles over the expansion of satellite constellations, fights with rival providers like AST SpaceMobile and Amazon, and the effort to expand into satellite-based mobile service. I’ve combed through FCC filings for the latest news and driven to remote corners of California to test Starlink’s cellular service.
I also cover cyber threats, from ransomware gangs to the emergence of AI-based malware. Earlier this year, the FTC forced Avast to pay consumers $16.5 million for secretly harvesting and selling their personal information to third-party clients, as revealed in my joint investigation with Motherboard.
I also cover the PC graphics card market. Pandemic-era shortages led me to camp out in front of a Best Buy to get an RTX 3000. I’m now following how President Trump’s tariffs will affect the industry. I’m always eager to learn more, so please jump in the comments with feedback and send me tips.
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