PS5 price increase due to tariffs less likely after Sony shifts console production outside of China

When U.S. tariffs hit China earlier in 2025, there were fears that a PS5 price increase was inevitable. While Sony did raise the MSRP of consoles in some regions in April, North American gamers avoided the rising costs. Chief Financial Officer (CFO) Lin Tao recently suggested that further adjustments may not be necessary. Along with less impact from tariffs than expected, PlayStation has moved some console production out of China.

Genki_JPN on social media recorded a financial briefing in which Tao explained, “As for consoles, we have already transferred the production. And if we include peripherals, so the transfer to outside China, we will be completing that by the end of the first half. Hardware sold in the US are now sourced outside China.” According to the CFO, the manufacturing of PS5 accessories will soon leave China as well.

PlayStation is following Nintendo's playbook, which began assembling Switch 2 handhelds in Vietnam. Although the country now also suffers from U.S. tariffs, the console launched without price changes. However, Nintendo has since raised the cost of the original Switch and Switch 2 accessories.

The PS5 may not stay at the same price indefinitely

Sony also acknowledges that changing economic conditions could still lead to a PS5 price increase. Yearly profits and consumer reactions to pricing are two key contributing factors.

The comments from Tao came as Sony announced a 4% increase in its yearly profit forecast. Its gaming division thrived, selling an identical 4% more PS5 units than during the same period in 2024. Still, with the PS6 likely in development, not all analysts are as confident about the future of PlayStation consoles.

Sony Senior Vice President Sadahiko Hayakawa divulged that Sony would become a less “hardware centric business.” The proclamation aligns with rumors about fewer PlayStation-exclusive titles. Some gamers believe that without many first-party PS5 games, there will be less reason not to purchase a PC or Switch 2.  The advantage for Sony may be a lack of competition, where Xbox sales have already fallen significantly.