By Priya Raghuvanshi

Copyright timesnownews

Shares of media and entertainment companies saw declines on Tuesday, September 30 following US President Donald Trump’s announcement of a 100 per cent tariff on movies produced outside the United States. The move has sent shockwaves through the industry, raising concerns about the impact on global film exports, especially India’s thriving movie market. President Trump took to Truth Social to express his frustration with foreign countries dominating the US movie market, stating, “Our movie-making business has been stolen from the United States of America, by other Countries, just like stealing ‘candy from a baby’.” In response, he declared a forthcoming 100 per cent tariff on all films made outside the US. This dramatic policy shift, while lacking a clear timeline, threatens to disrupt the international distribution of movies, particularly those from India, which exports a significant volume of films across various languages to the US, a key market buoyed by the diaspora. Market Reaction and Sector Impact The immediate fallout was visible on Indian stock exchanges, where the Nifty Media index dropped more than 1 per cent. Seven out of ten index constituents closed lower, with Prime Focus leading the losses by falling 5 per cent to hit the lower circuit at Rs 175.94 on the NSE. Other notable declines included PVR INOX, down nearly 3 per cent to Rs 1,072.1, and Mukta Arts, which slipped about 2 per cent to Rs 68. Uncertainties and Industry Concerns Industry analysts highlight the ambiguity surrounding the enforcement of such tariffs, especially since many films and TV shows today are distributed digitally, complicating traditional customs-based tariffs. Additionally, there is uncertainty over how the policy would treat US-produced films shot in foreign locations. This announcement follows recent tariffs imposed by the Trump administration on pharmaceutical products, adding to concerns about escalating trade protectionism. Tariff on Furniture Made Out Of US Additionally on Monday, US President announced via a post on Truth Social that the United States will impose significant tariffs on any country that does not manufacture its furniture domestically. He also mentioned that more details about the tariffs will be shared soon. His post reads, “In order to make North Carolina, which has completely lost its furniture business to China, and other Countries, GREAT again, I will be imposing substantial Tariffs on any Country that does not make its furniture in the United States. Details to follow!!! President DJT.” Get Latest News live on Times Now along with Breaking News and Top Headlines from Business, Companies and around the world.