Nintendo has stopped distributing games and consoles in Brazil thanks to the country’s ludicrously high import taxes imposed on the gaming industry. For years, Brazilians have been paying sometimes more than twice as much as other countries for games and consoles, and now the costs involved have become too much for Nintendo to endure.
“Brazil is an important market for Nintendo and home to many passionate fans,” the company said in a statement, “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.”
When the Wii U launched in Brazil, people had to pay 1, 899 reals, which is about R8, 200.00. It’s not only Nintendo who has suffered exorbitant taxation in Brazil, as Sony chose to set up a manufacturing operation in the country in order to counteract the initial high prices of the PlayStation 3. The PlayStation 4, however, is still imported into Brazil and costs 3,999 reals, which is about R17, 000.00 at the current exchange rate. Microsoft manufactures the Xbox One in Brazil, but it still retails for around R9, 500.00