Business
Hollywood's reaction to Trump's movie tariffs idea: Confusion, dread and a little hope
Hollywood executives scrambled Monday to interpret President Trump’s call for stiff tariffs on movies produced outside the U.S. — a bombshell proposal that would upend how movies have been made for years.
Trump on Sunday night announced that he was authorizing a 100% tariff on movies “coming into our Country that are produced in Foreign Lands.” The proposal, like many other Trump-imposed tariffs, is aimed at bringing a key industry back home.
Studios shoot many of their feature films in Canada, Britain, Bulgaria, New Zealand and Australia. Such countries offer incentives to attract high-paying jobs and get their landmarks featured on the big screen.
“The Movie Industry in America is DYING a very fast death,” Trump wrote on his Truth Social platform. “Hollywood, and many other areas within the U.S.A., are being devastated.”
Studio executives were caught off guard.
Many filmmakers would like to work in the U.S. but would rather see the government institute its own national tax credit. Tariffs, many argue, would hasten the film industry’s demise rather than preventing it, because they would increase costs. Plus, it’s unclear how a tariff on movies would actually work.
“Nobody knows, and I don’t suspect we will for awhile,” said one high-level film industry executive who was not authorized to comment. “Is it on domestically funded foreign productions? Is it on foreign funded ones? Is the tariff on film revenues or film costs on those projects, or both?”
Gov. Gavin Newsom called on Trump to create a federal film tax credit program that provides at least $7.5 billion in incentives to studios that film in the U.S. The governor reached out to the White House Monday evening to encourage Trump to work with California to create a federal credit modeled after the state’s program with the goal of boosting domestic production.
Foreign production incentives have hobbled Los Angeles’ production economy, which has been ailing after COVID-19 pandemic shutdowns, labor strikes and a retrenchment by traditional entertainment companies after losing billions of dollars on streaming services to compete with Netflix. The January wildfires in Pacific Palisades and Altadena dealt another setback.
Production of TV shows, feature films and commercials fell 22% during the first three months of the year, compared with the first quarter of 2024, according to the nonprofit organization FilmLA.
Major entertainment companies declined to comment. The president’s announcement sparked a frenzy of questions, including whether U.S.-based companies, such as Walt Disney Co., Warner Bros. Discovery, Amazon and Netflix, would be subject to the tariffs simply for shooting a movie outside the U.S.
According to data from the Motion Picture Assn., the U.S. runs a $15.3-billion trade surplus with its exports of entertainment.
“This creates an incredible uncertainty in the industry,” said Nick Vyas, founding executive director of the Randall R. Kendrick Global Supply Chain Institute at USC. “This is the one industry where we have created a huge advantage.”
Key details must be worked out, the White House cautioned Monday. White House spokesman Kush Desai said in a statement that “no final decisions on foreign film tariffs have been made.”
Some crew leaders applauded Trump’s instinct to protect American jobs.
“Studios chase cheap production costs overseas while gutting the American workforce that built the film and TV industry,“ said Teamsters General President Sean M. O’Brien and Motion Picture Division Director Lindsay Dougherty in a statement.
But a movie tariff would be complicated in practice.
Similar to Detroit’s auto industry, different phases of production often occur outside the U.S., such as adding special effects.
Tariffs are typically imposed when a product arrives at a port of entry, at which time the importer of record must pay the tax before the item is released. That wouldn’t be feasible for films, which are distributed digitally.
Digital products are also not part of the normal tariff regime, which would make it difficult to determine its valuation, said Tony Gulotta, principal and national tax practice leader at Ryan, a global business tax-focused firm.
Adding to the obstacles, the World Trade Organization also has a moratorium on taxation of digital trade that runs through March 2026, he said.
Administration officials are expected to meet with studio executives and the MPA to seek clarity about whether tariffs will be based on a film’s budget, its revenue, theater ticket prices or streaming service subscriber fees.
Another question: Would television shows, many of which are filmed in Canada and the U.K., be included?
“This is no small thing,” Frank Albarella, a media and telecommunications executive at consulting firm KPMG. “It could be really disruptive to the industry.”
The call to enhance U.S. production comes after Trump tapped a trio of actors — Jon Voight, Sylvester Stallone and Mel Gibson — to be his “special ambassadors” to Hollywood.
Voight and his manager, Steven Paul, traveled to Florida to present a plan to Trump during an in-person meeting this past weekend at Mar-a-Lago.
The plan was developed after meeting with Hollywood unions, studios and streamers, and addressed multiple potential ways to help the U.S. film business. Those included federal tax incentives, co-production treaties with other countries, infrastructure subsidies, job training and “tariffs in certain limited circumstances,” according to a statement from Paul’s production company.
“The American film industry, and Hollywood, is a beacon for teaching the American Dream to the world and is an engine for job growth and career opportunity,” Paul said in the statement.
But it was Trump himself who came up with the tariff plan, a White House official said.
Congressional leaders warned that tariffs were not the best way to boost the American film industry.
“If President Trump is serious about maintaining a dominant U.S. film industry and keeping production jobs in the United States,” said Rep. Laura Friedman (D-Glendale), a former film producer, “I invite him to join me in fighting for a national film tax credit that levels the playing field with overseas incentives.”
Runaway production is a decades-old trend, but leaders say its impact on California has reached a crisis point.
Such programs as Netflix’s “Bridgerton,” and movies including Universal’s “Wicked” and “How to Train Your Dragon,” Warner Bros. “The Conjuring: Last Rites” and “The Fantastic Four: First Steps” from Disney’s Marvel were shot in the U.K.
In addition to lower labor costs, studios have moved overseas to give productions local flavor for audiences in those continents. Films often collect as much as 60% of their revenue from international audiences.
Some experts warned that imposing stiff tariffs could invite reciprocal levies from other territories.
The news could also dampen dealmaking at the Cannes Film Festival in France next week due to the uncertainty of the proposed policy.
Senior debt lenders have expressed concern about how this will affect distribution, said Peter Marshall, managing principal of media insurance services at Epic Insurance Brokers & Consultants.
“If you wanted to time a bombshell statement to frustrate the independent film sector, you would say it now, right before the largest market in the world,” Marshall said. “This will, I think, almost certainly cast a huge pall over that.”
Times staff writers Michael Wilner, Stacy Perman, Taryn Luna and Wendy Lee contributed to this report.
Business
Walmart’s EV chargers are coming to California with discounts for members
Walmart is rapidly expanding its network of electric vehicle chargers designed for customers to use while they shop.
The network could help fill gaps in EV infrastructure in states with greater need for chargers. Walmart, which has more than 5,000 locations in the U.S. and hundreds in California, says more than 90% of Americans live within 10 miles of one of its stores.
The chargers also offer an incentive for customers to choose Walmart — Walmart Plus members will receive a 10% discount off an average price of $0.46 per kilowatt-hour of energy at the company’s chargers.
Walmart chargers are already available at more than 75 locations in 17 states, with Texas boasting the most charging stations, followed by Florida and Arizona.
Matthew Nelson, Walmart’s director of energy policy, said last week on LinkedIn that the network will soon reach 29 states, including California.
“We are delivering on the promise of affordable, reliable and convenient charging,” Nelson said in his post.
According to Walmart’s website, six charging stations are coming to California soon, though the company did not offer a specific timeline.
The chargers will be installed at stores in Antelope, Brea, Fresno, Stockton, Suisun City and Vallejo.
Most charging sites in California will include eight to 16 fast-charging stalls, said Walmart spokesperson Kelsey Bohl.
The company first announced plans in April 2023 to install its own EV chargers at Walmart and Sam’s Club stores, with a goal of installing thousands of chargers by 2030. Partnering with ABB E-Mobility and Alpitronic, it added 25 new charging sites this past May and six more in June.
“Walmart is building a leading retail-integrated EV fast-charging network, focused on delivering an affordable, reliable and convenient charging experience where customers already shop,” Bohl said in an emailed statement. “Customers can charge while they shop, access stations through the Walmart app they already use, and benefit from affordable pricing.”
The charging stations already available include 612 individual charging stalls using 400-kilowatt chargers. Each stall has a dual charging cord with both Combined Charging System and North American Charging Standard connectors. The standard connectors, designed by Tesla, are smaller and lighter than the combined systems.
The primary way to pay for the chargers is through the Walmart app, but the company is also experimenting with built-in credit card readers to allow those without the app to use the stations.
Customers can check charger availability on the Walmart app. The company said the chargers will be available 24 hours a day.
Business
Waymo reports teen riders for bad behavior and delivers them to the police
Robotaxis could be turning into robocops.
A self-driving Waymo reported two teens to San Mateo, Calif., police on Monday after they were found drinking alcohol and shooting toy guns in the back of the vehicle.
According to a social media post from the San Mateo Police Department, officers detained two 15-year-olds after the Waymo they were riding in contacted the department and stopped in a parking lot until law enforcement arrived.
“Parents do you know where your teens are?” the San Mateo Police Department wrote on Facebook following the incident. “Waymo does!”
Officers removed both teens from the vehicle and determined they were using toy guns to shoot Orbeez out the windows. Orbeez are small, water-absorbing beads sold at toy stores.
“Toy guns, water guns, and BB guns all pose real dangers, especially to an untrained eye,” the Police Department said. “The simple handling of them can cause fear in [passersby].” “
A video posted on Facebook shows at least five officers and a police dog responding to the scene and approaching the Waymo with their weapons raised.
Waymo did not immediately respond to a request for comment.
Waymo vehicles have internal cameras and microphones that may be used in an emergency or to “promote safety and security,” according to Waymo’s online support page.
The cameras are also used to ensure the vehicles are clean and to help find lost items, according to the support page.
The company said it does not use facial recognition or other biometric identification technologies to identify individuals.
“In more urgent circumstances, support may access live video during a trip,” the Waymo page said.
The San Mateo Police Department’s Facebook post has garnered nearly 60 comments, with one user accusing Waymo of “snitching.”
“At least they got a designated driver?!” one user commented.
Business
Commentary: How right-wing anti-transgender attacks led to a Supreme Court ruling upholding sex discrimination
At the Supreme Court, the unfounded fear of boys masquerading as girls in youth sports rolled the clock back on gender equality.
On the surface, the Supreme Court’s June 30 opinion upholding state laws barring transgender girls from women’s and girl’s sports teams looks like a victory for women’s rights.
The 6-3 opinion by Justice Brett M. Kavanaugh certainly presents itself that way. “Females and males have inherent physical differences relevant to athletic performance,” Kavanaugh wrote. “Therefore, in contact sports, forcing female athletes to compete against males can create significant safety risks.” He also asserted that “forcing female athletes to compete against males can undermine competitive fairness.”
The ruling applied to prohibitions enacted in Idaho and West Virginia against “biological” males’ participation on women’s teams in public schools. Federal judges in both states overturned the bans. The Supreme Court majority restored them. The ruling essentially upholds similar bans enacted in 25 other states.
There was no record of any transgender person participating in school sports in the State, let alone any ‘problem’ with transgender students … creating unfair competition or unsafe conditions.
— Justice Sonia Sotomayor, demolishing the Supreme Court’s argument in favor of banning transgender girls from girl’s sports
Kavanaugh, like Donald Trump and others in the anti-transgender camp, maintained that one’s gender is an immutable fact of life, established even before birth.
Anything else, Trump stated in an executive order he issued on inauguration day 2025, could only be the product of “gender ideology extremism.” The U.S., his order stated, recognizes “two sexes, male and female. These sexes are not changeable and are grounded in fundamental and incontrovertible reality.” That’s a “biological truth,” he declared.
In his own version of this overconfident and factually insupportable conclusion, Kavanaugh wrote: “As all agree, females and males have inherent physical differences relevant to athletic performance.”
Science recognizes that some people are “born with sex traits that don’t fit into typical male or female patterns,” to cite a discussion on the Cleveland Clinic web page on the topic “intersex.” The condition “may involve chromosomes, hormones, reproductive organs or genitals.”
From a psychological standpoint, medical science recognizes “gender dysphoria” as a real condition often requiring counseling and medical intervention such as the use of puberty blockers and hormones to stave off the development of secondary sex characteristics until the condition can be resolved.
No one disputes that there are physical differences between the sexes. Few would dispute that on average or even at the median, males may be bigger and more powerful than females, or that in certain contact sports the difference may be telling and on occasion dangerous.
But that’s not the same as asserting that the physical differences between males and females invariably mean that men will invariably prevail over women in all competitions or that their participation will endanger women.
The International Olympic Committee — in a policy statement Kavanaugh cited incompletely — says that in “most running and swimming events,” males have a 10% to 12% advantage over women. That’s a range that would accommodate the full spectrum of outcomes — transgender females win, cisfemales win, they tie. (The “cis” prefix denotes those living consistent with their birth gender.)
West Virginia and Idaho addressed this ambiguity by banning transgender women from all girls’ teams. So under their rules transgender girls can’t play football or soccer with cisgirls. But what’s the argument in favor of banning them from the 100-yard dash, or cross-country track, or diving, or archery?
But something else is going on here. The Supreme Court’s ruling was almost preordained, given the years-long campaign by conservatives to demonize transgender individuals as if they’re members of an alien species.
It will be recalled that during his presidential campaign, Trump spun a despicable fantasy in which children were kidnapped in school and secretly subjected to sex-change operations.
Trump’s executive order wiped out policies aimed at protecting transgender adults from discrimination. He moved to outlaw gender-affirming medical therapies for anyone under 19 by cutting off federal funding for healthcare institutions that provide such care.
He banned transgender individuals from serving in the military and ordered federal prison officials to move transgender inmates into the general populations consistent with their birth genders, which exposes them to physical assault. (Federal Judge Royce Lamberth of Washington, D.C., has blocked the government from transferring three transgender women into the male prison population or terminating their hormone treatments.)
I wrote during Trump’s first term, when his anti-transgender policies were still gestating, that the goal was to show that “one can target any community, as long as it doesn’t have a strong political voice or political power. These are the actions of bullies and cowards, pretending to be strong.”
Last year, the Supreme Court struck its first blow against transgender rights by upholding a Tennessee law banning transgender care, including puberty blockers and hormone therapy, for minors. Similar laws have been enacted in 25 other states. The majority in that ruling by Chief Justice John G. Roberts Jr. was identical to the one in the June 30 ruling — Roberts, Kavanaugh, and Justices Clarence Thomas, Samuel A. Alito Jr., Neil M. Gorsuch and Amy Coney Barrett.
Who are the targets of this ideological campaign? They number only about 1.6 million U.S. adults, or one-half of 1% of the U.S. population. About 300,000 adolescents ages 13 to 17, or 1.4%, identify as transgender, according to a study by UCLA School of Law.
In West Virginia, as Justice Sonia Sotomayor observed in her dissenting opinion, “there was no record of any transgender person participating in school sports in the State, let along any ‘problem’ with transgender students … creating unfair competition or unsafe conditions.”
In endorsing the flat bans directed at transgender women in Idaho and West Virginia, Kavanaugh argued that any attempt to implement case-by-case judgments of students’ requests to join sports teams inconsistent with their biological gender would create “an enormous practical and administrability problem.”
Is that so? That wasn’t the case in Maine, where the annual K-12 population is more than 170,000. There, a committee was charged with determining whether a student’s participation in a sport consistent with their gender identity but inconsistent with their biological sex would “result in an unfair athletic advantage” or present a risk of injury to others. The committee held 56 hearings from 2013 through 2021, or an average of seven per year. During the entire time span, only four involved transgender girls. (The outcome of those hearings couldn’t be learned.)
It was Maine’s policy, one might recall, that provoked a confrontation between Trump and Maine Gov. Janet Mills at the White House last year, when Trump threatened to withhold federal funding from the state unless it barred transgender students from competing on women’s sports teams. “We’ll see you in court,” Mills snapped.
Whether the Idaho and West Virginia laws genuinely protect girls from unfair competition is questionable. (The Idaho law is styled the “Fairness in Women’s Sports Act.”) In practice, the laws may subject women in public schools to “invasive sex verification procedures,” as educational expert George Theoharis of Syracuse University wrote after the court ruling.
They’re also based on a retrograde view of women as fragile creatures needing men’s protection, Theoharis wrote — “the same logic that has historically been used to justify excluding women from making their own healthcare decisions and girls from rigorous math and science; that physically demanding work is simply beyond them.” (There don’t appear to be any state laws barring transgender women from competing in men’s sports.)
Becky Pepper-Jackson, the plaintiff in the West Virginia case, in which she is identified only as B.P.J., is the only transgender girl who sought to join girl’s teams — track and cross-country — in the state. That was in 2021, just after West Virginia passed its law and she was about to enter sixth grade. She didn’t appear to pose any competitive risk to others on the track and cross-country teams she applied to join — her lawyers told the Supreme Court that on those no-cut teams, she “came in near the back.”
Anyway, she had not gone through male puberty, which theoretically might have endowed her with a competitive advantage, because she had been taking puberty blockers and female hormones.
Thanks to the court’s ruling, Sotomayor observed in a dissent joined by Justices Elena Kagan and Ketanji Brown Jackson, West Virginia can deny Becky access to school sports “because it thinks they have an inherent athletic advantage, even if the facts show that they do not.”
B.P.J., Sotomayor wrote, “cannot practice on girls’ teams, even if she would not take anyone’s spot in an eventual competition, even if everyone who tries out for the team makes it, and even if having the chance to participate could aid immensely in treating B. P. J.’s gender dysphoria.”
So whose interest was really protected by the Supreme Court?
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