100% tariff, foggy future: What does Trump’s foreign film policy mean for Indian cinema
Will the Indian film industry be affected by the policy of Donald Trump, which includes 100 percent tariff on foreign films in the US? We talked to industry experts to understand the decision of the US President, and related action.
US President, Donald Trump, announced a 100 percent tariff on foreign film production in the country, which has shaken the entertainment industry worldwide. Although it is seen as a step to cause havoc in the film business, anything is also being decided to make a decision without any clarity. But, what does this new policy mean in Indian context? Will the Indian film industry be affected by this?
Today India Talked to business experts and filmmakers to understand the new tariffs imposed by the US, and if India is ready to fight this global change.
What did Trump say?
Trump on Sunday night announced on his true social platform that “films that are produced in our country which are produced in foreign land” will be subjected to 100 percent tariff. “The American film industry is dying very fast,” Trump said. “This is a concrete effort by other countries and, therefore, there is a national security threat. Apart from all, it is in addition to messages and promotions! We want films made in America again!” He firmly said in the word. It is not yet clear that tariffs are placed at the cost of the ticket, at the cost of the distribution rates or any other aspect of the film-selling business, which eventually makes it viable for a dramatic run in a country.
The move has two objectives – first, to promote American filmmaking, and second, to prevent foreign films from taking on screen and earning more money than domestic cinema in the US. It has been observed that many American filmmakers are shooting in Canada, Australia and New Zealand, UK and even parts of Europe, such as Hungary and Italy, where the cost of making films is comparatively low.
What does Trump’s tariff on foreign films mean?
Business expert Sridhar Pillai explained the move as a rigorous solution that will affect the already struggling Indian film industry. He explained to the policy: “What the distributors are saying, for example, if they buy a film for an X amount, another X will be added to the ticket, because the policy demands 100 percent tariff-doubles the entire amount. Now, additional cost (tariff) will have to be paid to the audience. The ticket in America is still $ 10-15, it will increase to $ 20-30-30-cords.”
Producer Anand Pandit, who is known for films like ‘Kul Dhamal’, ‘Sarkar 3’ and ‘Swatyara Veer Savarkar’, said it is very early to talk about policy. However, he said that it is definitely a setback for the Indian film industry with other film industries in the world.
He said, “It is a long time to comment on foreign films on US President Trump’s proposed tariff. However, given that the statement comes at a time when the theater is seen in the theater footfall due to the preferences of the changing audience in the Indian film industry, it raises concerns,” he said.
Pandit said that Indian films have grown to attract foreign audiences in theaters, which makes a large part of their overall box office collection.
The manufacturer shared, “American audience is a large part of our box office collection. We have to wait to read fine details. At this point, there will be anything more before time. Saying that, America has been a favorite destination to shoot filmmakers. Instead, they will offer encouragement and subsidy instead.
South Indian films are the most affected
Pillai also said about the impact that the policy is going to be on the South Indian film industry, which has gained a new popularity in the American Post-Covid.
She explained, “Hindi films used to gather best at once. But, now she has gone down. Telugu, Hindi and Tamil, and Malayalam films are still doing well in American markets. Foreign market is very important for Indian films. Years.
Pillai continued, “Filmmakers like Rajamouli may probably ask the government about the tariff deal. But, India is already silent on the tariffs on other industries on other industries. Why will the government speak for the film industry? How will you go and talk? You have to understand that it is a minimum market. It is not a big thing.”
A ‘peanut industry’
The business expert also said that the Indian film industry is a “peanut industry” compared to other industries in the world. He said that China is a huge market – the second largest film market after Hollywood. Even Singapore and Malaysia have larger industries than India.
However this is “certainly not a great thing,” he said, Pillai said that the only solution is to take some self-measures, including reducing the budget of films, as well as the salaries of the stars. Because reaching the government is not very effective idea. here’s why:
“As a collective fraternity, what we can do, be requested to the government, but do you think the government will join all this, especially when the market is so small? Exports to America will be less than Rs 200-300 crore, perhaps less than that.
Let’s talk
Solution? “Reducing the budget of films, and reducing the hero’s salary.
He said, “Prices for the American market should be reduced. Otherwise, you will be charged because these existing ticket prices (read South Indian films) are very high for Indian films. In the initial weekend, it is going to $ 20-25 for big star films, which are not regularly for English films. So, it should be fixed.
All this is about waiting and clock, while some are taking immediate self-solutions on the way. Tariff or no tariff, the Indian film industry is undergoing a recession and definitely requires changes to increase the quality of cinema, and the financial structure of films is corrected before going on the floor.
