Hollywood studio stocks fall after Trump proposes foreign film tariff

Core Viewpoint - President Trump proposed a 100% tariff on movies produced overseas, causing a decline in shares of major Hollywood studios and streaming services [1][6]. Group 1: Impact on Companies - Shares of Netflix fell more than 5%, Disney down more than 3%, Warner Bros. Discovery (WBD) down more than 3%, Paramount down more than 2%, and Comcast down less than 1% following the tariff announcement [6]. - The proposed tariff is seen as a national security threat by Trump, who authorized the Department of Commerce to impose this levy on foreign films [1][2]. Group 2: Production and International Relations - Hollywood studios often film overseas for tax benefits and to utilize international locations, raising questions about how the tariff will be implemented and its potential targets [2][4]. - Concerns exist regarding the impact of these duties on international relationships, as Hollywood relies heavily on global box office sales to recover high production costs [4].