Following the bombshell announcement made by Donald Trump, saying that he will be authorising 100 per cent tariffs on films made outside of the US, many are questioning what it all means.
Considering these supposed tariffs could be slapped on any movies coming into the US that were not produced in the country, will Trump’s plans only apply to foreign films or will they include US productions that are partially filmed overseas? And will the tariffs include television productions and films on streaming services?
Late last night, the President took to the Truth Social platform to share an update on the tariff impact on the film industry.
He wrote: “The Movie Industry in America is DYING a very fast death. Other Countries are offering all sorts of incentives to draw our filmmakers and studios away from the United States. Hollywood, and many other areas within the U.S.A., are being devastated. This is a concerted effort by other Nations and, therefore, a National Security threat.”
Trump continued: “It is, in addition to everything else, messaging and propaganda! Therefore, I am authorizing the Department of Commerce, and the United States Trade Representative, to immediately begin the process of instituting a 100% Tariff on any and all Movies coming into our Country that are produced in Foreign Lands. WE WANT MOVIES MADE IN AMERICA, AGAIN!”
It is not the first time Trump has set his sights on Hollywood and movie production moving overseas. Earlier this year, he appointed actors Mel Gibson, Jon Voight and Sylvester Stallone as “special ambassadors” to Hollywood, vowing to bring Hollywood back “bigger, better, and stronger than ever before.”
However, Trump’s latest tariff threat could significantly shake up the entertainment industry, especially considering film and TV productions have been facing significant challenges in the wake of COVID, the Hollywood guild strikes and the recent wildfires in LA.
Overall film and TV production in the US was down 26% last year compared with 2021, according to data from ProdPro.
It is also worth keeping in mind that many major Hollwood productions film abroad – productions which could be hit by the tariffs should Trump include US productions partially filmed overseas.
For instance, Mission: Impossible – The Final Reckoning was shot all over the world, while the upcoming John Wick spinoff Ballerina was filmed in large part in the Czech Republic.
Other major productions like Avatar: Fire and Ash and Marvel’s Avengers: Doomsday are also being filmed abroad. The third Avatar film was made in New Zealand, while Marvel Studios could be hit by the tariffs considering it began filming Doomsday in London.
These productions film abroad not only for the locations but also for the countries’ tax incentives.
Seeking further answers as to the tariffs and their potential reach, C-SPAN asked Trump about the tariffs. The president did little to clarify the situation but did put some of the blame on California Governor Gavin Newsom.
“What they’ve done is other nations have been stealing the movies, the moviemaking capabilities from the United States,” said Trump, adding: “I’ve done some very strong research over the past week, and we’re making very few movies now. Hollywood is being destroyed. Now, you have a grossly incompetent governor that allowed that to happen, so I’m not just blaming other nations, but other nations have stolen our movie industry.”
He added: “If they’re not willing to make a movie inside the United States, then we should have a tariff on movies that come in. And not only that, governments are actually giving big money. They’re supporting them financially. That’s sort of a threat to our country in a sense.”
Asked for comment by Deadline, the office of Governor of California Gavin Newsom said that the president had no authority to impose such tariffs.
“We believe he has no authority to impose tariffs under the International Economic Emergency Powers Act, since tariffs are not listed as a remedy under that law,” said Newsom’s senior advisor for communications Bob Salladay.
Since returning to the White House in January, Trump has imposed tariffs on countries around the world, arguing that tariffs will boost US manufacturers. The global economy has been thrown into chaos, and prices on goods around the world are expected to rise.
Additional sources • Deadline, C-SPAN