By Caitlin McCabe
Shares of U.S. studios and entertainment companies dropped in premarket trading Monday, after President Trump called for a 100% tariff on movies produced overseas.
-- Warner Bros. Discovery stock recently stood 2.8% lower. The company is behind this year's highest-grossing film, "A Minecraft Movie," which was partly filmed in New Zealand and Canada.
-- Netflix shares lost 3.7%.
-- Shares in Amazon, Walt Disney and Paramount Global all lost 1.5% or more. Amazon owns Amazon MGM Studios.
It isn't clear how such tariffs would work, with Trump saying only in a social-media post that he had authorized the Commerce Department and U.S. Trade Representative Jamieson Greer to immediately begin instituting the tariffs "on any and all Movies coming into our Country that are produced in Foreign Lands."
The proclamation potentially marks a new phase of Trump's trade war, since movies aren't physical goods that move through ports.
Some overseas locales, including London, have become film-making hubs, aided by tax breaks and infrastructure like large soundstages. The 2024 hit "Wicked" was filmed in the U.K.
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(END) Dow Jones Newswires
May 05, 2025 07:13 ET (11:13 GMT)
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