President Trump’s proposed 100% tariff on foreign films could devastate Ireland’s billion euro audiovisual sector and threaten thousands of jobs across rural Ireland, according to MEP Maria Walsh.
The audiovisual industry in Ireland is valued at over €1 billion, supporting a total of 15,899 full-time equivalent jobs.
MEP Walsh is a member of the Delegation of the EU to the United States, and raised the issue in the European Parliament in Strasbourg today. She called on the Irish Government and the European Commission to urgently seek clarity from the Trump administration on details of the proposed policy.
MEP Maria Walsh said:
“Trump’s latest threat could pull the plug on Ireland’s global status as a production powerhouse. A far cry from Hollywood drama, a 100% tariff on foreign films could decimate the Irish production industry and threaten thousands of real jobs across the country.
“From actor Rob Lowe to Variety magazine, the world has recognised Ireland as one of the most attractive production locations. Our competitive edge is largely down to the Section 481 tax incentive which offers a tax credit of up to 32% of eligible Irish expenditure. Approximately 75% of those who avail of the credit come from overseas.
“Trump’s tariff would wipe out this competitive advantage overnight – making it financially impossible for many companies to continue producing here.
“Unsurprisingly, President Trump’s announcement raises more questions than it answers, given that a tariff on films would prove a logistical nightmare and possibly unworkable. The nationality of production of any one movie is far from clear, given the intertwined web of global investors, labour and revenue.
“The European Commission must seek urgent clarification from the Trump administration in relation to the questions now facing production companies across Ireland. What criteria need to be met for a film to be considered ‘foreign’? What specific components of the film and production would be taxed? Will films released on streaming platforms fall within the tariff scope? “The Government and Commission must work together to provide European and Irish businesses with the reassurance they urgently require – the jobs and livelihoods of thousands hang in the balance.”
