Yu Darvish decision can make drastic impact on San Diego Padres

Yu Darvish is in a position that could have a significant impact on the San Diego Padres.

He is reportedly considering retirement, which would void the final three years and $46 million left on his contract. Darvish said that he is leaning toward voiding the contract, but also noted that any details would need to be worked out. For now, he is focused on rehabbing from right elbow surgery, and if he can throw again, he will be working to get to a point where he can compete. If Darvish feels he is unable to, he will retire.

Since finishing second in the 2020 NL Cy Young vote, Darvish has undergone a litany of injuries. He made just 15 appearances in 2025, posting a 5.38 ERA and a 1.181 WHiP over his 72 innings, striking out 68 batters with 19 walks. 

San Diego Padres may get salary relief from unexpected source

The timing of Darvish's decision could make a significant difference for the Padres heading into the 2026 season. General manager A.J. Preller has been tasked with building a championship-caliber team despite significant payroll limitations.

Those limitations have been evident in the Padres' relatively quiet offseason. While they were able to retain pitchers Michael King and Kyle Hart, KBO infielder Sung Mun Song was the only other free agent signed to a major league contract thus far. Meanwhile, the Padres lost pitchers Dylan Cease and Robert Suarez, leaving holes in the rotation and back of the bullpen.

Even getting a portion of Darvish's salary back could open up possibilities for the Padres. While they are not likely to be shopping at the top of the market in the foreseeable future, having those funds available could allow the Padres to fill remaining holes. The Padres need another starting pitcher, a viable power hitter, a first baseman and bullpen depth. It is a long list, and Darvish's salary will not be enough to fill all those holes, but it would be a good start to help the Padres' budget.