Trump’s latest Hollywood “hit” isn’t the kind you stream. Threatening to slap a 100% tariff on films produced in foreign countries, the president’s announcement rattled several media stocks like Netflix, Inc. (NFLX), Walt Disney Co. (DIS), and others. What makes the whole thing complicated is this: No clear-cut definition of “foreign”: Many “American” films are shot abroad with foreign crews, locations, and studios. Tax breaks abroad: Studios rely on international incentives to cut costs—think Marvel in the UK or Netflix in Korea (Squid Game). Global revenues: Delivering content overseas boosts subscriptions. Disruption to current projects: In-progress shoots and cross-border production deals could face sudden delays, cancellations, or financial penalties. And last but not least, retaliation risk. Countries may hit back with tariffs or restrictions on U.S. films, hurting global revenues. The result? A policy that aims to protect American film could end up undercutting it from every angle. Which Media…
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