Trump Revives Threat of 100% Tariff on Foreign Films, Rattling Hollywood

Not for the first time, Donald J. Trump has woken up, reached for Truth Social, and threatened to put a 100% tariff on all films made outside of the United States.

Here we are again. Donald Trump first threatened to put a 100% tariff on all foreign produced films in May. Then he was either talked out of it or his attention moved elsewhere. Now he's bringing it up again, making sure to take a swipe at California Governor Gavin Newsom along the way. 

"Our movie making business has been stolen from the United States of America, by other Countries, just like stealing "candy from a baby." he wrote. "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."

This has, understandably, rattled the media industry. Netflix shares were down 1.5% in early trading. But the idea runs into the same problems that it faced back in May when he first floated it. Briefly:

• Does this include US-produced movies that shoot abroad, and if so, what percentage of the movie counts?
• Are films already underway exempt from the process?
• Does it apply to wholly foreign films or just ones with US backing?
• Where is the tariff going to be collected? At the box office by theatres themselves? On the tax breaks granted by foreign countries? 
• Why films and not television. Is that next on the tariff roulette wheel?
• Will it even actually happen? Or is he just trying to while away a dull Monday morning? Eight minutes later he 'truthed' about putting "substantial Tariffs on any Country that does not make its furniture in the United States."

As news agency Reuters puts it: "The move has drawn skepticism from legal and trade analysts. Some argue films are a form of intellectual property and part of the global trade in services, an area where the U.S. often runs a surplus, raising questions about the legal basis for tariffs."