The move is part of Nintendo’s strategy to diversify risk.
On Tuesday, a spokeswoman for Japan’s Nintendo Co Ltd stated, the company plans on relocating a part of the production of its Switch gaming consoles to Vietnam from China.
Currently, Nintendo outsources nearly all of the console production to contract manufacturers in China
The partial shift of production to Vietnam will take place this summer.
According to Nintendo’s spokeswoman, the shift was “intended to diversify risks and not to escape potential tariff hikes by the United States on products imported from China”.
So far, the U.S. has held off from imposing the fourth tranche of tariffs on $300 billion worth of Chinese exports to the United States.