Tariffs imposed by Trump have dented earnings in Hollywood's movie industry
Here's a fresh take on the topic:
U.S. films are dominating the international market, with exports being three times higher than imports, causing quite a quandary when it comes to tariffs. conventional tariffs on physical goods crossing the border have been a thing for centuries, but the intellectual property scene, like films, are far more complex.
While foreign films barely make a dent in the U.S. box office, they do attract the fanciest of the intellectual elite in major cities. But Trump's proposed tariffs could throw a wrench in this by affecting those theaters that cater to this niche audience.
Shoe brands have already asked Trump for a holiday, or exemption, from tariffs.
The tariff landscape today is a tangled web woven by recent policies and exemption processes. Although no direct evidence shows specific IP-related exemptions for the film and shoe industries, there's hope for those seeking relief.
In early 2025, the U.S. slapped tariffs on various goods, including a 25% tariff on steel and aluminum, and a 125% tariff on many Chinese imports under the International Emergency Economic Powers Act. However, exemptions were granted to avoid double duties and for reasons related to national security, economic impacts, and specific sectors.
Tariff exemptions remain a lifeline for businesses trying to navigate through tariff uncertainties. Companies pleading their case to the government, especially emphasizing national security interests, are more likely to secure an exemption approval.
Although no formal exemption requests or approval for the film or shoe industries have been publicly disclosed, companies can still strategize by focusing on national security or economic impact arguments when applying for tariff exemptions. bands of shoe industries seeking a break from tariffs would be well-advised to follow this route, as no specific process or updates regarding their IP exemptions have been reported yet.
- I strongly believe that the intellectual property scene, particularly movies and TV shows, could benefit from tariff exemptions, considering the complexities involved and the importance of maintaining a diverse entertainment landscape.
- It's worth noting that theaters catering to a niche audience of intellectual elite might face challenges if Trump's proposed tariffs are implemented, potentially affecting the distribution and viewership of foreign movies.
- Just as shoe brands have successfully sought exemptions from tariffs, film industries might find success in emphasizing national security interests or economic impacts when appealing for tariff exemptions.
- As no specific IP-related exemptions for the film and shoe industries have been announced, both sectors would be wise to prepare and strategize using national security or economic impact arguments when filing for tariff exemptions.
