Will Trump’s Tariff Bomb Affect Tollywood Big?

Tollywood is threatened by a new problem : Donald Trump!

According to the recent reports, the American president has threatened to impose a huge tariff on movies being made outside of the USA. However, he hasn’t explained how he will impose on this tariff. He has directed the US Department of Commerce and the US Trade representatives to impose a 100 percent tariff on the movies being made outside the territory of USA.

So how will Tollywood be affected? Like most of the Indian movies, USA contributes a large chunk of investments, as well as revenue in Telugu cinema. If Donald Trump only imposes a restrictive tariff, that promotes shooting in USA, a chunk of revenue will be affected. However, if he imposes a blanket tariff on movies being made outside of the USA, Tollywood will lose a significant chunk of revenue.

While Tollywood isn’t exactly affected by this order, the current situation of the industry doesn’t look promising either. As such, a blanket ban on the industry might prove to be detrimental, since the distributors from the USA will have no option but to impose heavy ticket prices for the forthcoming movies.