Just like the price of food and gas, catching a flick is about to get even more expensive. President Donald Trump has announced via Truth Social that he will impose a 100% tariff on any foreign made movies.
“Our movie making business has been stolen from the United States of America, by other Countries, just like stealing “candy from a baby.” California, with its weak and incompetent Governor, has been particularly hard hit! Therefore, in order to solve this long time, never ending problem, I will be imposing a 100% Tariff on any and all movies that are made outside of the United States. Thank you for your attention to this matter. MAKE AMERICA GREAT AGAIN! President DJT,” the post reads.
Another New Tariff
As you can see there is no set time frame on when this clearly well thought out idea will be enacted. But this will be the first time he has slapped a tariff on something that is considered a service, not a good. Which is also leading to some debate on if he even has the authority to do this and if so how on earth will it be enforced?
Plenty of movies shoot in multiple locations, often in various countries. Will films that are predominantly shot in America but have some scenes in another country count? Or is it just films made entirely outside of the U.S.? It’s almost like announcing sweeping changes like this via a niche social media platform raises more questions than it answers.
Back in May, Trump complained about tax incentives in other countries luring filmmakers away from America. However, there are many states, including California, that have numerous tax incentives to shoot there.
Despite these incentives, many studios do claim it’s still cheaper to shoot abroad.
Many studios are still struggling after the COVID-19 pandemic since fewer major releases are bringing out less customers. This issue is compounded by the fact that many movie goers already find theaters overpriced.
We’ll keep you posted on updates about this situation as it develops.
