Trump tariffs can come to the rental – do Hollywood be worried?

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It looks like everything begins to look at the rental, Hollywood may have just hit another massive checkpoint. President Donald Trump unleashes a wave of tariffs in countries around the world, and China is particularly affected. The political strategy has created tensions between the US and other countries as a trade war. The Chinese government, in return, can even block the Hollywood movies completely from the country game.

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In a recent report from BloombergIt was explained that two very influential Chinese bloggers shared details about measures that Chinese officials can take in response to Trump tariffs. This list includes “the ban on Hollywood films”. While Hollywood films in China did not earn almost so much money in the pandemic era, there is a large audience in the country. The matter is the case This year’s “NE ZHA 2” has earned more than $ 2 billion in China. Some Hollywood films will be of great benefit even from the share of this money.

Currently, the domestic box office 2025 lags 5% behind 2024 at the same moment, even after that “Movie on Minecraft” has posted a record global opening of $ 314 million. So to speak, exhibitors can badly threaten another failure after a tumultuous handful of years. Indeed, when the pandemic closed the theaters in 2020, as well as the WGA and WGA in 2023, the theater industry has already faced several destabilizing obstacles at the end. Hollywood, who has lost his already minor relationship with China, will be another serious blow.

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Each dollar is in the box office now

In recent years, Chinese regulators focus on contractual headlines such as “Battle on Changzhin Lake”, “Wandering Earth” and “Hi, Mom”, among others. This strategy worked because many of these films became massive hits without relying on other countries around the world. So it was with “Ne Zha 2.” It is a lot of why Hollywood can no longer depend on China to deliver reliable returns of the box office as it used to be.

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However, they are unable to depend on something and disappear completely – these are two very different things. For example, last year’s “Godzilla X Kong: New Empire” has earned $ 571 million worldwide, and more than $ 132 million from ticket sales in China. “Alien: Romulus” similarly earned $ 350 million worldwide, including a staggering $ 110 million in China. Even the movie in the middle of the budget, like the Beekeeper, added just over $ 16 million thanks to the Chinese audience.

One caveat – that’s what Theaters usually store about half of the money obtained at the rental. However, when it comes to China, international taxes and other factors mean that studios usually see only about 25% of this money. However, an additional $ 4 million per $ 40 million, such as a “beekeeper”, is not insignificant at any fantasy area. Hollywood, who lost the entire Chinese market, would be huge at a time when each dollar numbers. Films such as “Avatar: Avatar: Fire and Ashes” have a great global appeal and otherwise they will most likely make murder in China. Remove this money from the table hurt.

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No, the studios should no longer be budget films as long as the banker is reliable Chinese ticket sales, but the donation of all this money will be a financial blow to the large -scale industry. Not only did it cost jobs, but it can also lead to a significant reduction in the costs in the studios, depending on how long it is. In the worst case, it can even damage the relationship between Hollywood and China.

China is not the only reason if the box office may suffer

China is not the only thing that can be rated faster. Upon NewsweekA recent study by a budget laboratory at Yale University suggested that new tariffs could cost the average American household up to $ 4,200 a year. This is a significant amount of money for the vast majority of US residents

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During the economic uncertainty, which these tariffs undoubtedly inflicted on the world, people usually accumulated costs. It’s no secret that going to the movies is not cheap as before. Plus, Expected that cinema tickets are only more expensive In the coming years, even before these tariffs hit. It seems like many people, especially families, will see films in theaters less as long as it happens. If this trade war ultimately pushes us to the recession, this period of time can even stretch to years, not months.

The problem with the big picture is that Cinemas are struggling for full five years Since then, chains around the world have been forced to close their doors from the pandemic. In other words, the film was already fighting before the coming trade war. It seems that all this creates a scenario when everything can move from the bad to the worse for the industry, which in recent years had to bring out a lot of bad things.

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With a strong summer slate descends through the pipeline, one can only hope that theatrical networks will find a way to remain stable before another, likely recession. At this time it is not necessary to start making anxiety forecasts, but in the short term the forecast is not great.



 
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