Yes. But so are all other console sales at the moment. According to this Gamasutra article:
Mirroring a slow week of sales in the software charts, hardware sales in Japan have continued to record a seasonal low. Nintendo DS sales fell below 100,000 for the first time this year, down by over 6,000 units to 94,339 in total.
Though the two Nintendo hardware platforms still dominate, Wii hardware sales dropped by almost 7,000 units to just 39,371 – also a recent low for the format. While there are few new titles to stimulate demand at the moment, Western analysts, including Wedbush Morgan’s Michael Pachter, have suggested that hardware stock is currently being diverted to the West – particularly for the North American launch of Metroid Prime 3. Nintendo has failed to confirm or deny any such actions.
That being said, all of the other systems are also experiencing slowdowns in sales, although Nintendo has fallen farther, perhaps because they have had farther to fall.