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Beresford questions practicality of Trump’s 100 per cent tariff on movies produced abroad

The Australian film industry has hit back at Donald Trump’s plan to impose a 100 per cent tariff on all movies made outside of the US, with Bruce Beresford warning the move was impractical

Donald Trump claims Hollywood is being ‘devastated’ by studios producing movies abroad.
Donald Trump claims Hollywood is being ‘devastated’ by studios producing movies abroad.

One of Australia’s greatest film directors, Bruce Beresford, has questioned the practicality of US President Donald Trump’s plan to impose a 100 per cent tariff on all movies made outside of the US, noting that some films “simply need to be made overseas.”

The Australian film industry warned the decision announced by the US President on Sunday local time would backfire on Hollywood, with Mr Beresford telling The Australian he had “always found it difficult to understand Mr Trump’s rulings on virtually everything.”

“He changes his position on so many, most, of his own rulings. Does he really consider it practical to prevent any American films being shot outside USA?”

Mr Beresford, who has enjoyed a career spanning more than 50 years and made more than 30 feature films, said that Australia was “unquestionably a desirable location - a well organised country with an outstanding group of talented actors and technicians.”

“American films made there still frequently involve many American actors and crew - and are shown profitably around the world,” he said.

Mr Beresford, who has been nominated for multiple Academy Awards and whose film Driving Miss Daisy won the 1989 Oscar for best picture, said that “some films simply need to be made overseas - because of locations that benefit the story, visuals et cetera et cetera.”

“I’ve made some Australian financed films in China, England, Malaysia and USA,” he said. “I hope our government doesn’t pull the plug on foreign productions.”

The US President took to his Truth Social platform on Sunday evening to announce the new tariff, arguing the American movie industry was being “devastated” by a trend of US filmmakers and studios working abroad and declaring that the current situation posed a “National Security Threat”.

“The Movie Industry in America is DYING a very fast death,” he said. “Other Countries are offering all sorts of incentives to draw our filmmakers and studios away from the United States. Hollywood, and many other areas within the USA, are being devastated.

“It is, in addition to everything else, messaging and propaganda!” he said. “Therefore, I am authorising the Department of Commerce, and the United States Trade Representative, to immediately begin the process of instituting a 100 per cent Tariff on any and all Movies coming into our Country that are produced in Foreign Lands. WE WANT MOVIES MADE IN AMERICA, AGAIN!”

Trump targets foreign films with 100% tariff, says Hollywood is dying

It was not clear how the tariff would apply given the global nature of the industry and the fact movies are not typical goods that travel from port to port.

But the proposal is likely to apply to US films produced outside America, including in countries like Australia that offer incentives to attract work.

Productions filmed in Australia include The Fall Guy starring Ryan Gosling, Anyone But You with Sydney Sweeney, and The Mongoose with Liam Neeson.

Mike Seymour, senior lecturer at the University of Sydney’s business school, said tariffs would undermine the global nature of the industry.

“Such a move would disadvantage international crews, shrink production budgets, and ultimately reduce the number and quality of films made,” Dr Seymour said.

“With 70 per cent of box office revenue coming from overseas, isolating US productions risks alienating key markets. Movies such as Ted Lasso, Game of Thrones, and Mission: Impossible highlight how international locations enrich storytelling. Such protectionist policies could backfire on Hollywood.”

Screen Producers Australia CEO Matthew Deaner said the government needed to move quickly to sandbag the industry.

“There’s no doubt it will send shockwaves worldwide,” he said. “For the Australian industry, it reinforces the need for the government to focus immediately and swiftly on building a resilient local industry that can withstand global shocks like this.”

Arts Minister Tony Burke said he had spoken to Screen Australia CEO Deirdre Brennan. 

“Nobody should be under any doubt that we will be standing up unequivocally for the rights of the Australian screen industry,” Mr Burke said. 

With more than half of the nation’s film industry operating out of NSW, Premier Chris Minns said it was “a bad decision for films and movies whether they’re made in Australia or the United States”.

“It’s short sighted and it won’t work,” he said. “We’ll be defending our screen industry as well as the local jobs it creates.”

The Australian Chamber of Commerce and Industry (ACCI), said it was “unclear” what rationale exists to implement the tariff.

“It’s unclear how such a tariff or levy would be applied or what its practical impact would be on the choice of location,” an ACCI spokesman said. 

The US Motion Picture Association produced a brief summary earlier this year saying the industry was “highly competitive around the world” and had “generated a positive balance of trade in every major market”.

Additional reporting: AFP

Read related topics:Donald Trump

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Original URL: https://www.theaustralian.com.au/world/trump-orders-100-per-cent-tariff-on-all-movies-produced-abroad/news-story/8c4c8053670996b82976855bc2352772