Trump's Hollywood Gamble: A Battle for Industry Respect

Strategic Insights -

Robert De Niro's scathing critique of Donald Trump at the Cannes Film Festival has ignited a long-standing feud between the two, but behind the scenes, the US president is making a calculated move to "save" Hollywood. Seeking to assert his influence in the industry, Trump has appointed three aging actors, including Jon Voight and Sylvester Stallone, as "special ambassadors" to promote production in the US.

Key Takeaways:

  • Trump has declared himself the savior of a "dying" Hollywood, despite facing criticism from industry insiders.
  • The president's plan to impose a 100% tariff on films made outside the US has sent stocks in Hollywood companies plummeting.
  • A meeting between Trump and studio executives has already taken place, with the studio chiefs expected to meet with the president soon.
  • The industry is seeking tax breaks to bring production back to the US, but any mention of tariffs has been noticeably absent from their requests.
  • Trump's relationship with Hollywood has been strained for years, with the president calling De Niro a "wacko former actor" and a "total loser."
  • The feud between Trump and De Niro has been ongoing, with the two engaging in a series of public attacks.
  • The industry is cautious in its approach to dealing with the president, with one executive noting that "Hollywood people are pretty clever, but he's so vengeful."

Statistics:

  • 100%: The proposed tariff on films made outside the US.
  • $750mn: The annual tax incentive plan introduced by California's governor, Gavin Newsom.
  • 6 months: The length of the labour strikes that brought production to a standstill in 2023.
  • 2024: The year in which the US presidential campaign will take place, with media and entertainment companies facing potential lawsuits.

Sources:

  • Ultimately, this is a narrative piece by Christopher Grimes for the Financial Times.
  • "You can't put a price on creativity, but apparently you can put a tariff on it," De Niro said.
  • The Raging Bull star, who had just been awarded a Palme d'Or, kept on jabbing at Trump, especially his plan to slap a 100 per cent tariff on films made outside the US.
  • The two New York natives -- De Niro from Manhattan, Trump from outerborough Queens -- have been going at each other for years.