US president Donald Trump introduced his 100% tariff on movies “coming into our country produced in foreign lands” someday after assembly with actor Jon Voight to debate his proposals to carry movie manufacturing again to the US – which solely recommended that tariffs may very well be used “in certain limited circumstances”.
The Midnight Cowboy and Warmth actor, who was appointed a “special ambassador” to Hollywood by Trump, has been assembly with studios, streamers, unions and guilds for months to develop a plan to lure movie and tv productions again to the US. Manufacturing corporations typically search cheaper places or tax incentives in different international locations corresponding to Canada, Australia, the UK, New Zealand, Hungary, Italy and Spain.
On the weekend Voight and his supervisor and movie producer Steven Paul met with Trump at Mar-A-Lago to ship his “comprehensive plan” – simply earlier than Trump surprised the worldwide movie trade with the concept of a 100% tariff on all movies “coming into our country produced in foreign lands”.
Solely the topline particulars of Voight’s proposal have been revealed on Monday, however the one point out of tariffs within the plan was that they may very well be used “in certain limited circumstances” – in distinction with Trump’s sweeping announcement. His major proposals contain federal tax incentives, modifications to tax codes, co-production treaties with different international locations, and infrastructure subsidies for theater house owners, and manufacturing and post-production corporations.
Hollywood productions are sometimes filmed in international locations corresponding to Canada, Australia, the UK, New Zealand, Hungary, Italy and Spain as a way to make the most of native tax incentives, expertise swimming pools and landscapes that look geographically comparable sufficient to face in for costlier US places.
In a press release on Monday Voight stated the White Home was now “reviewing” his proposals.
“The President loves the entertainment business and this country, and he will help us make Hollywood great again,” Voight stated. “We look forward to working with the administration, the unions, studios, and streamers to help form a plan to keep our industry healthy and bring more productions back to America.”
The White Home walked again on Trump’s announcement afterwards, saying that “no final decisions on foreign film tariffs have been made”.
Movie manufacturing in Los Angeles has declined virtually 40% over the past decade, in line with FilmLA, however not all this enterprise went abroad: different states corresponding to New York and Georgia have lengthy provided beneficiant tax incentives to draw productions.
Reactions in Hollywood to Trump’s announcement have been different, within the absence of element; it stays unclear how it will be determined which movies would qualify as “foreign”. Marvel’s new movie Thunderbolts*, as an illustration, was largely made within the US however included some shoots on location in Malaysia and a rating recorded in London. The tariff would additionally not tackle the comparatively greater price of capturing within the US.
US performers union Sag-Aftra appeared broadly optimistic, saying it “supports efforts to increase movie, television and streaming production in the US” and that it will “advocate for policies that strengthen our competitive position, accelerate economic growth and create good middle class jobs for American workers”.
The Worldwide Alliance of Theatrical Stage Staff (IATSE) referred to as for a “balanced federal response”, with IATSE’s worldwide president Matthew Loeb saying the crew union had “recommended that the Trump administration implement a federal film production tax incentive and other domestic tax provisions to level the playing field for American workers”.
IATSE, nonetheless, additionally represents employees in Canada, with Loeb saying it will “continue to stand firm in our conviction that any eventual trade policy must do no harm to our Canadian members – nor the industry overall.”
Australia has reacted with trepidation: the nation has attracted US tent pole productions by way of numerous rebates, together with the federal authorities’s 30% rebate for big-budget movie tasks shot in Australia. Just below half of the A$1.7bn spent on display manufacturing in Australia throughout 2023-24 was on worldwide productions.
Australia’s arts minster, Tony Burke, stated he was monitoring the scenario intently.
“Nobody should be under any doubt that we will be standing up unequivocally for the rights of the Australian screen industry,” Burke stated.
Voight, Mel Gibson and Sylvester Stallone have been appointed by Trump to be “special ambassadors to Hollywood”, which the president has referred to as a “great but very troubled place”.
