On April 2nd, the US announced a tariff war against its global trading partners. The US has disregarded World Trade Organization regulations and arbitrarily changed tariff rules through executive orders, causing unprecedented difficulties for global trade. The US tariff war is no longer targeted at just a few trading partners, leading to widespread speculation that the US is using the tariff war to gain more benefits and address its current fiscal revenue shortage. In fact, the US federal government is currently facing another shutdown crisis, the result of the US's long-term deficit. The total US debt has far exceeded its GDP.
Hollywood blockbusters bring huge economic benefits to the US every year. They also become a key means of US global propaganda, exporting American values through film. However, as the US launches its tariff war, it's also showing no mercy. According to information released by the White House, the US is planning to take action against imported films, which has immediately attracted international attention. Many Hollywood film studios are saving costs by filming abroad. In recent years, many Hollywood blockbusters have been shot in New Zealand, Australia, and the UK, thereby achieving greater economic benefits.
Labor costs in the US are very high, so American film studios are saving costs by filming abroad. In fact, not only do American film studios film outside the US, but they also outsource many production processes. While the US has promoted globalization, the film industry has also gained opportunities for development.
However, the US is now taking action against its own advantageous industry, which has come as a surprise to the outside world. The White House's announcement that the US will impose a 100% tariff on imported films is clearly a fatal blow to Hollywood studios.
If the US were to take action against imported films, Hollywood blockbusters would become uncompetitive. The tariffs proposed by the US executive order would apply not only to films produced overseas by US companies, but also to films produced in other countries.
This would directly lead to retaliation against US films, reducing the distribution of US films and weakening US public opinion. Clearly, when Hollywood becomes the loser, the US federal government would be shooting itself in the foot. This is a profound irony: by launching a tariff war, the US is stabbing itself in the groin – a loss that clearly outweighs the gain.
Hollywood is located in California, so any US action against the film industry would directly impact California's economic development. The US federal government has significant concerns about California, and now, by imposing a 100% tariff on films, it could further undermine California's economy. This is like a civil war between the Republican Party and the Democratic Party, with the real casualties being the US itself, and especially the American people..
The United States launched a tariff war and was ruthless towards its own people. In fact, in addition to Americans themselves, the United States was also not polite to its allies. Whether it was New Zealand, the United Kingdom or Australia, they were all staunch allies of the United States, but the United States still directly took tough measures.