The price of the Nintendo Switch 2 in the United States could increase significantly, according to a supplier.

An internal assessment memo from a major unnamed Apple and Nintendo supplier seen by Nikkei Asia highlights how game consoles made in China are still subject to a 145% tariff in the United States, which means that the Nintendo Switch 2, which is primarily made in China, is in line for a significant price increase over the announced launch price of $449.99. The PlayStation 5 is also primarily made in China, so a price hike in the United States is also expected for Sony’s system, which has already seen a price increase in Europe, the United Kingdom, Australia, and New Zealand.

As Nikkei Asia pointed out in today’s report, the Nintendo Switch 2 is also being produced in Vietnam. Last week, we learned that Hosiden Corp shipped quite a few units to the United States last February, more than the total units shipped in the past six months combined. Judging from today’s report, however, it seems more and more unlikely that the number of units produced in Vietnam will be enough to prevent the system’s price from increasing, given the vast majority of units are still produced in China.

The Nintendo Switch 2 launches on June 5th worldwide, except for China, where the console has been delayed indefinitely. You can learn more about the system by checking out Nathan’s hands-on impressions.