Trump threatens to impose 100% tariff on films produced outside the US

United States President Donald Trump used his social network “Truth Social” To say, this Monday (29), that will impose a 100% rate on any foreign film. Without specifying how this will work, he only said that productions made outside the country will be charged.

According to the post, the US film industry was stolen by other countries such as stealing children of children.

He then attributed to the governor of California, Gavin Newsom, called weak and incompetent, such a result, as the state houses Hollywood, the main center of productions. Newsom of the Democratic Party is one of the main leaders who opposes Trump in the country.

“Our film production business has been stolen from the United States of America by other countries, as well as stealing ‘child sweet‘. California, with its weak and incompetent governor, has been particularly hit! Therefore, to solve this old and endless problem, I will impose a 100% rate on any and all film produced outside the United States, ” said Trump.

The initiative was already speculated since May, when the president said he had authorized the tariff to the Department of Commerce and the US Commercial Representative’s office.

At the time, he related to the country’s abroad to a national security problem, as he believed that other countries have focused on attracting productions outside the US, especially European countries, besides Canada, Australia and New Zealand.

The decision, if taken later, brings surprise, as it can impact the market and paralyze US productions that choose to shoot abroad to reduce costs.

Analysts point out that it may be the first time Trump will try to tax a service instead of a product.

Despite the fright, which took Hollywood executives by surprise, as international news agencies highlight, there is no schedule yet, as it is not known the scope of the president’s idea: whether the range will be to movies shown in the cinema, or also those on digital platforms such as Netflix, HBO and Prime Video.

To the Brazilian filmmaker, Vandré Fernandes, who directed the documentaries “Araguaia peasants – the guerrillas seen inside” (2010) e “Osvaldão”(2015), it takes caution, because no one knows for sure how the measured measure will be.

“No one knows if he will call the big movie studios [Universal Pictures, Walt Disney Pictures, Warner Bros. Pictures, Paramount Pictures e Columbia Pictures] And the streaming platforms, mostly based in the United States, and will make some concession, saying that US companies would be exempt from taxation. Everything is still very uncertain, ”he explains.

“The only thing is the intention of taxing foreign audiovisual markets. It is a populist measure to try to help US production, but deep down has a contradiction, a conflict, including Hollywood and platforms. So you can’t know exactly what 100%tax means,” adds Vandré, emphasizing the uncertainty about the measure, since the US film market has been increasingly sought, more and more parties, and studios abroad.