Nintendo leaving Brazilian gaming market

Distribution of games and systems in Brazil to end this month
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  • Sunday, January 11, 2015

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This local article reports on an event in a specific geographical location. It may not be relevant for all readers.

Nintendo announced last week that they will cease their representation in Brazil. All consoles and video games distributed by Nintendo will no longer be sold in Brazilian stores due to high tariffs on the products enforced by the country's government.

Official flag of Brazil

These tariffs are enforced in an attempt to have businesses build their own manufacturing plants in the country to stimulate the local economy. Because of this, Nintendo's consoles and games are sold for much higher prices than elsewhere in the world, with the Wii U retailing for R$1,899 (approximately US$722). Nintendo could get around this by building their own manufacturing plant, but this decision makes that option seem unlikely.

The distribution of Nintendo products elsewhere in South and Latin America is not affected by this decision.

Official statement

Brazil is an important market for Nintendo and home to many passionate fans, but unfortunately, challenges in the local business environment have made our current distribution model in the country unsustainable. These challenges include high import duties that apply to our sector and our decision not to have a local manufacturing operation. We will continue to monitor the evolution of the business environment and evaluate how best to serve our Brazilian fans in the future.
  -- Nintendo