On February 6, 2020, Nintendo announced that production and shipment of its Switch consoles and Joy-Con controllers manufactured in China would face delays due to the novel coronavirus outbreak. The Japanese gaming giant cited factory closures and supply chain disruptions in China, where most of its hardware is assembled, as the primary cause. The company warned that the impact would initially affect the Japanese domestic market but analysts said the problem would likely spread to other regions, including the United States.
Production halt at foxconn facilities
The delays stem from the extended shutdown of factories operated by Foxconn, Nintendo’s main manufacturing partner in China. Foxconn, a multinational electronics company, closed its Chinese plants in late January 2020 in response to the coronavirus outbreak and kept them closed for at least another week beyond the original Lunar New Year holiday. Nintendo confirmed in a social media post that “it is expected that production and shipment delays will be inevitable for peripheral devices such as the Nintendo Switch and Joy-Con manufactured in China for the Japanese domestic market.” The company added that deliveries of the Ring Fit Adventure game, already out of stock, could also be postponed.
Supply chain risks extend beyond japan
Daniel Ahmad, a senior analyst at the games market research firm Niko Partners, told CNBC that the disruptions would not stop at Japan’s borders. “Even if Nintendo only warned about postponements in Japan, it could also become a market problem in other countries like the United States,” Ahmad said. He noted that China plays a dominant role in the production of game hardware, phones, and other electronic goods. “When looking at games’ consoles specifically, we note that 96% of video game consoles imported into the U.S. in 2018 were produced in China. Whilst companies such as Nintendo have moved some manufacturing abroad, China still accounts for the majority,” Ahmad added.
Broader implications for the gaming industry
The coronavirus outbreak exposed the vulnerability of global electronics supply chains that rely heavily on Chinese factories. Nintendo’s warning came as the virus spread rapidly across China and other countries, forcing governments to impose quarantines and travel restrictions. The gaming industry, which depends on just-in-time manufacturing and tight production schedules, faced potential shortages of hardware and accessories for months. Analysts predicted that even if production resumed quickly, the backlog would take weeks to clear. Nintendo’s situation mirrored that of other tech companies, including Apple and Microsoft, which also reported supply constraints due to the outbreak.
Nintendo’s response and customer impact
Nintendo apologized for the inconvenience and promised to monitor the crisis closely. “We will work hard to deliver the product as soon as possible, while keeping an eye on the effects of the new coronavirus infection, and we look forward to your understanding,” the company said in its advisory. The statement did not specify when normal production would resume. For consumers, the delays meant longer wait times for popular products like the Switch and Ring Fit Adventure, which had already been in high demand. Retailers in Japan reported that pre-orders for upcoming titles could also be affected if hardware shortages persisted.
The coronavirus outbreak hit Nintendo at a critical moment. The company had just released the Switch Lite and was preparing for a strong 2020 lineup of games. Instead, it faced a supply crisis that threatened to undermine its momentum. The pandemic’s impact on manufacturing in China forced Nintendo and other companies to rethink their reliance on a single country for production. While the company promised to deliver products as soon as possible, the timeline remained uncertain. For gamers and investors alike, the outbreak served as a stark reminder of how fragile global supply chains can be when a public health emergency strikes.
