Trump's proposed movie tariffs counterproductive to reviving Hollywood: expert

U.S. President Donald Trump's proposed 100 percent tariff on foreign films could jeopardize Hollywood's critical role in boosting American soft power and revenue, with experts warning this move might "kill the goose that lays the golden eggs."

Trump announced on May 4 that he plans to impose a 100 percent tariff on films produced overseas to spur the production of feature films in America and to save "dying" Hollywood.

Stanley Rosen, a professor at the University of Southern California, criticized the proposal during an exclusive interview with China Central Television (CCTV), calling it unrealistic and harmful to overseas Hollywood productions.

"Foreign films have maybe one percent of the box office in the United States. It doesn't really matter. It's on Hollywood productions that are filmed overseas and that's really what will be devastating," Rosen said.

Rosen further pointed out that the Trump administration has yet to clarify how the tariff policy would be implemented. Unlike tangible goods, determining the taxable value of films poses a significant challenge, he noted, adding that it is exceedingly difficult to move Hollywood productions back to the U.S. in a globalized economy.

According to Rosen, the proposal appears designed to stoke fear and attract attention rather than address genuine economic concerns.

"Trump hasn't fleshed it out. The White House has already walked it back and saying no decisions have been made on any of this. It's simply Donald Trump in a typical fashion getting the attention of the world, not just the United States, and panicking people. The ironic aspect of this is American trade balances are very positive when it comes to entertainment and services. Hollywood is one of the main generators, not just of soft power, but revenue for the United States in a sense. So if these were to be affected by Trump's policies, it would be killing the goose that lays the golden eggs," said Rosen.

The U.S. dollar strengthened in late trading on Wednesday.

The dollar index, which measures the greenback against six major peers, went up 0.52 percent to 100.092 at 15:00 (1900 GMT).

In late New York trading, the euro declined to 1.1516 dollars from 1.1542 dollars in the previous session, and the British pound fell to 1.3341 dollars from 1.3360 dollars in the previous session.

The U.S. dollar bought 159.41 Japanese yen, higher than 159.00 Japanese yen in the previous session. The U.S. dollar rose to 0.7902 Swiss francs from 0.7847 Swiss francs, and it advanced to 1.3701 Canadian dollars from 1.3697 Canadian dollars. The U.S. dollar climbed to 9.3346 Swedish kronor from 9.2737 Swedish kronor.