US President Donald Trump’s recently announced tariffs on foreign-made films was “bound to happen,” says Maltese filmmaker, assistant director, and industry activist Matthew Maggi.
Reacting to President Trump’s announcement of a 100 per cent import tariff on films produced outside the United States, Mr Maggi tells BusinessNow.mt that Malta “needs to act now.”
“The real solution, as I’ve been saying for years, is to invest in a sustainable local film industry – much like France, Germany, and the Scandinavian countries – without depending on foreign markets.”
He continued: “Such countries also consume American content, but unlike us, they engage just as much with their own local content.”
His call comes after the US President took to social media on Sunday to claim that the American movie industry is facing a “very fast death,” citing the growing number of countries offering incentives to attract international filmmakers and studios.
“This is a concerted effort by other nations and, therefore, a national security threat,” he said, adding: “It is, in addition to everything else, messaging and propaganda.”
In light of this, President Trump authorised the relevant authorities to impose a 100 percent tariff on films entering the United States that are not produced in America.
Commerce Secretary Howard Lutnick posted on X, stating “We’re on it,” though neither he nor President Trump offered details on how the tariffs would be implemented.
Mr Maggi believes this move presents an opportunity for the Maltese film sector to reduce its reliance on the American film industry.
He highlighted a key structural issue: “Malta is one of the only – if not the only – countries in Europe that isn’t part of Eurimages, the European Cinema Support Fund. This fund allows European filmmakers to access vital financing and build sustainable local industries.”
Mr Maggi warned: “We need to act now. With local funding deprioritised, applying for European support is essential if we’re serious about building an independent and resilient film sector.”
Could this shift present a new opportunity for Malta?
When asked whether the new tariffs might open doors for collaboration with non-US markets such as Asia, Maggi was doubtful.
“I don’t see why major industries like Bollywood or the film sectors in Japan, South Korea, and China would choose Malta, when they already have the infrastructure and resources to produce films at home,” he said.
He added: “We already attract several European productions – German, Italian, French – because Malta is geographically closer, more cost-effective, and offers an attractive cash rebate. That’s how it should be.”
Mr Maggi concluded: “The only reason American filmmakers come to Malta is because it’s too expensive to shoot in their own country. America will always be looking for cheaper territories.”
What could this mean for Malta?
Malta has been in recent years defining its position in the film industry, hosting major American productions such as Gladiator II and the more recent €4 million production, The Ascent.
The recent announcement could disincentivise American studios from choosing international locations like Malta, where recent productions have employed numerous local crew members – The Ascent, for instance, engaged around 90 Maltese workers according to the Ministry of Culture.
Such a shift could impact Malta’s ambitions to further establish its place as a Mediterranean film hub.
Fewer American-led productions could lead to less foreign investment, fewer job opportunities for local talent, and a slowdown in industries like hospitality and logistics that rely on major film shoots.
The lack of further details could create uncertainty, potentially stalling projects that would otherwise consider Malta for its unique locations and production incentives.
President Trump’s latest tariff announcement is part of a broader campaign to tighten US import restrictions, unveiled last month, amidst ongoing trade wars, with China facing the heaviest impact, a 125 per cent increase in tariffs on Chinese goods.
The Government has announced tougher penalties for employers who breach labour laws, aiming to strengthen worker protections and deter abuse
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'We’re not here to erase real talent but to expand opportunities'