Trump to Impose Tariff on Foreign Film Production
Posted: Sun May 04, 2025 10:01 pm
I don't usually post here, but this one has me puzzled from a logistical perspective. Today, Trump said he would impose a 100% tariff on films produced outside the United States. Leaving aside the politics of this, I'm curious how this tariff would work. What does he mean by "produced" in the United States? Is he talking about filming here? A lot of movies film some scenes in the US and some scenes overseas. Is he talking about post-production work (music, special effects, etc.) The new Mission Impossible movie was filmed entirely overseas but all the visual effects were handled by ILM and other companies in California, often subbing some of the work overseas as well.
Also, what is the value on which the tariff is calculated. It's easy to calculate the cost of imported goods. It's what the company in the US pays the company outside the country. But big budget films like Mission Impossible are financed by American studios, who pay the cast and crew. Are we talking about production costs? If that's the case no one will ever make a movie overseas again. Are we talking about the cost of the actual product that's imported into the United States. Almost all films today are produced on high-density DVDs that the studios send to movie theaters. Many of these discs are manufactured and pressed overseas, others in the US. I believe the cost to produce a theatre quality DVD is a few hundred dollars. Are we talking about individual ticket prices?
I have a feeling that someone is going to tell Trump how infeasible this suggestion is in practice and it will be soon be dropped.
Also, what is the value on which the tariff is calculated. It's easy to calculate the cost of imported goods. It's what the company in the US pays the company outside the country. But big budget films like Mission Impossible are financed by American studios, who pay the cast and crew. Are we talking about production costs? If that's the case no one will ever make a movie overseas again. Are we talking about the cost of the actual product that's imported into the United States. Almost all films today are produced on high-density DVDs that the studios send to movie theaters. Many of these discs are manufactured and pressed overseas, others in the US. I believe the cost to produce a theatre quality DVD is a few hundred dollars. Are we talking about individual ticket prices?
I have a feeling that someone is going to tell Trump how infeasible this suggestion is in practice and it will be soon be dropped.