Trump is introducing tariffs and bans against other countries for various goods and services. While it will affect the prices of regular items, that’s just not it. While we can’t be 100% sure of the changes in the landscape, there is no denying that they are going to happen. Here we are going to discuss how these policies will affect esports and gaming in general.
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Esports And Trump
Canada and Mexico have dominated Trump’s tariff discussions. The gaming business is well-established in both nations. BioWare, Ubisoft, and Bethesda have headquarters in Canada, while many smaller game companies trade in Mexico.
However, the largest existential threat to gaming and the esports subcategory is China and the impending penalties against them related to AI and technology. Tencent, arguably the greatest gaming firm in the world, is the first name that comes to mind. They were named a Chinese military company only a month ago.
Tencent may be subject to penalties for its titles. This includes VALORANT and League of Legends. However, Tencent’s influence is even more extensive. It owns significant investments in Krafton, a 40% stake in Epic Games, and a 30% stake in Larian.
In addition to Tencent, businesses with headquarters or close ties to China include NetEase, FunPlus, Gameloft, and Game Science. All of this is before we even consider the impact on the computer hardware and gaming industries. These industries’ products depend on semiconductors made in Chinese facilities. Titles may be removed from storefronts, live service games may be blocked, or even outright banned if these tariffs are implemented.
What To Worry About?
There is no documentation of any formal attempts by the US to impose tariffs on businesses in China, Canada, or Mexico. In actuality, following negotiations, nearly all of the tariffs and sanctions placed by Trump’s executive order were lifted.
As a result, even if there is a lot of chatter, the threats now lack substance. Donald Trump’s tariffs may not have an impact on gaming, but esports may be impacted by problems with immigration and visa access. With rivals from Eastern Europe, Russia, Southeast Asia, South America, MENA, and really the entire world finding it tough to enter the country, the U.S. is already one of the more challenging places to hold an esports event.