How the International Film and TV Industry will be Hit
The world is in shock after Donald Trump’s tariff announcement. He positioned it as a “liberation” day.
The tariffs are a 10% base, but can rise to 50% in countries like China.
We are worried about the impact of the American TV and film industry on international markets, particularly in countries that rely heavily on American content or sell to the States.
Sources in the international sector are concerned about what could happen to their ability of selling shows to the U.S.
It appears that early conversations indicate that tariffs won’t be imposed on TV shows and movies sold into the U.S. Producers and distributors tell us that they will continue to be able to sell their products to the States.
John McVay is the UK producer trade group Pact’s director and in constant contact with hundreds of his producer members. Sources from a company that deals with American television networks have also tried to minimize the impact. “Trump’s Tariffs are really
, and not media.” This source added that there might be some concessions in the tech sector, but “I’m not seeing any clear impact beyond this.”
Alice Enders, a former analyst at Enders Analysis who is now a trade expert and a trade expert in general, noted that global advertising revenues could be severely affected. Tariffs could cause local economies to suffer and marketing budgets to be cut. Americans may also choose not spend as much on advertising overseas. Enders says that this would be a nightmare scenario for commercial broadcasters around the world, who are already facing a lot of competition.
Enders said, “I’d say that advertising has the biggest impact.” This is obviously not good for any economies right now. “We’ve been stuck in a post-pandemic rut, and that can’t be good for the recovery.”
“Hollywood wants to recover its golden age” “Hollywood wants its golden age to return”
Netflix
[things like cars]
While tariffs should not technically apply to movies or TV shows, there is a growing fear that the protectionist values preached by Trump’s administration will cause the major studios to stop producing content overseas.
In January of this year, Jay Hunt, the chairwoman of the British Film Institute said that she was disturbed by “some protectionist language in Hollywood,” which was clearly a reference to Trump’s government. (We have contacted the BFI for more information). Since the L.A. fires, there’s been renewed interest in bringing production to Hollywood. Deadline revealed yesterday that a group is working on a solution locally to bring mid-budget films to the city. That plan includes reducing “onerous regulations and permitting” as well other “unnecessary fees, inconsistent safety requirements.”
I think that’s the main concern of producers given the potential policies of the new U.S. government.” This is what I believe the producers are most concerned about, given the possible policies of the U.S. new government.
Red flags are being raised around the globe that this protectionist trend could extend to the local content requirements, which have been the foundation of certain territories in recent years.
The European Audiovisual Media Services Directive gives individual European nations the ability to impose financial and content quotas for streamers. Streaming services have taken advantage of cheaper production hubs in many countries, including Europe, Australia and Canada. Trump’s mantra does not support forcing American companies, who could spend their money at home, to produce content overseas.
We have reached out to the MPA this morning for comment regarding next steps. This morning, we reached out to MPA for comment on the next steps.
Local obligations were a hot topic at Series Mania last week. Olivier Henrard (Deputy MD of France’s National Centre of Cinema, CNC) delivered a powerful address in which he warned “Hollywood must recover its golden era, a golden era which was allegedly lost due to runaway productions in foreign countries, and regulations which require investment in local productions.”
Henrard said: “We must therefore expect a much more aggressive approach to our European audiovisual industry.” “In this context, I am convinced of one thing: We have to act collectively as Europeans.”
Henrard, rather than bowing to the pressure, called for “more aggressive quotas”, presenting the idea that a minimum of 50% of European artworks should be displayed on streamers in every European country.
The SPA’s highest priority is to secure a robust regulatory framework on streaming platforms. It is SPA’s top priority to ensure a robust regulatory environment on streaming platforms.
No doubt, local industries will remain anxious. In many of these sectors, streaming services have driven up prices, making content more difficult to afford. A sudden backlash would be disastrous.
The devil is in the details, as always. Multiple industry figures told us that they were still digesting the small print of Trump’s tariffs and would respond when they felt more confident about how Trump’s “liberation” day could affect them.
Enders, who is looking beyond the TV and movie industry, believes that the Trump tariffs are a “monumental shift in paradigm” and it would be foolish for the world to play the former Apprentice host’s game.
She added: “It’s a myth that it’s about negotiation, the ‘art’ of the deal, etc., but it’s really not.” “Trump wants manufacturing to be reshored and that’s impossible without a permanent tariff. How long will it last? “As long as Trump wants it to last.”
