American President Donald Trump’s plan to impose a 100% tariff on foreign films has raised concern in the Indian film industry.
Telugu movies are likely to be affected the most since the USA is a major source of their overseas revenue. While the industry waits for details, leading producer and distributor TG Vishwa Prasad reacted to the development.
In an interview, he explained that Trump’s tariffs are customs duties on physical goods imported at US borders. Since films are released digitally and not through physical imports, it is unclear how this policy will be applied.
He also pointed out that under the US federal system, the government cannot directly impose duties on ticket sales or revenues.
Vishwa Prasad said major changes in customs laws would be required and ticket prices cannot be raised as audience turnout would drop.
He added OTT platforms could also face impact but believes the proposal will take time and legal scrutiny before becoming a reality.
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