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State Government charges ahead with plans to grow WA screen industry despite Trump's tariff threats

State Government charges ahead with plans to grow WA screen industry despite Trump's tariff threats

West Australian2 days ago
Despite threats from US President Donald Trump to impose 100 per cent tariffs on all foreign-made films, which cast doubt on WA's investment in the film sector, the State Government is charging ahead with its plans to grow WA's screen industry and workforce.
During Budget estimates on Thursday, the State Government outlined its plans to grow WA's screen industry workforce, a move it admits the US President wouldn't be pleased with.
It has allocated $5 million in the 2025–26 Budget for a capacity-building program intended to 'fast-track growth in key sectors of the local screen industry' by helping businesses scale-up through improved infrastructure and services.
Last month's Budget also increased the rebate on WA post-production, digital and visual effects expenditure to a flat 20 per cent for projects with budgets of more than $100,000. Previously, the incentive was a 20 per cent rebate on qualifying post-production expenditure for the first $500,000, and 10 per cent thereafter.
The rebate is aimed at bringing more film productions to WA as part of the $20 million WA Production Attraction Incentive Fund, which was first announced in 2021.
'This is the package that I joke, perhaps people don't want to talk too much to President Trump about, because they're quite generous,' Minister for Creative Industries Simone McGurk said on Thursday.
Although posts in early May warned of the film tariffs, and President Trump said he authorised the US Commerce Department to act because America's film industry was dying a 'very fast death', no official action has occurred so far.
'Other countries are offering all sorts of incentives to draw our filmmakers and studios away from the United States. Hollywood, and many other areas within the U.S.A., are being devastated,' Mr Trump said in a Truth Social post.
'This is a concerted effort by other Nations and, therefore, a National Security threat . . . it is, in addition to everything else, messaging and propaganda.'
'WE WANT MOVIES MADE IN AMERICA, AGAIN!'
The tariffs would be a major plot twist for the State Government, given a $290m film studio is currently under construction in Malaga and due to open next year.
Despite the funding commitments, the State Government won't mandate local content requirements. Rather, it will focus on creating opportunities for WA workers and businesses through incentives.
'While there won't be a mandated component for local content, actually making sure that there are opportunities for West Australians and West Australian companies is very much at the core of the screen industry strategy,' Ms McGurk said.
Ms McGurk said the Government was committed to supporting and creating a wide range of job opportunities across the film industry.
'We will be committing to a published plan coming out before the end of the calendar year, in relation to all of the different people working directly in the production of film, but also . . . film-adjacent occupations,' she said.
'(That) could be anything from writing, script development, production, it could be in set design, it could be in set construction, it could be in make-up, it could be in costumes.'
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That period ends on July 9, although Trump early on Friday said the tariffs could be even higher - ranging up to 70 per cent - with most set to go into effect August 1. "I signed some letters and they'll go out on Monday, probably 12," Trump said, when asked about his plans on the tariff front. "Different amounts of money, different amounts of tariffs." Trump and his top aides initially said they would launch negotiations with scores of countries on tariff rates, but the US president has soured on that process after repeated setbacks with major trading partners, including Japan and the European Union. He touched on that briefly late on Friday, telling reporters: "The letters are better ... much easier to send a letter." He did not address his prediction that some broader trade agreements could be reached before the July 9 deadline. The shift in the White House's strategy reflects the challenges of completing trade agreements on everything from tariffs to non-tariff barriers such as bans on agricultural imports, and especially on an accelerated timeline. Most past trade agreements have taken years of negotiations to complete. The only trade agreements reached to date are with Britain, which reached a deal in May to keep a 10 per cent rate and won preferential treatment for some sectors including autos and aircraft engines, and with Vietnam, cutting tariffs on many Vietnamese goods to 20 per cent from his previously threatened 46 per cent. Many US products would be allowed to enter Vietnam duty-free. A deal expected with India has failed to materialise, and EU diplomats on Friday said they have failed to achieve a breakthrough in trade negotiations with the Trump administration, and may now seek to extend the status quo to avoid tariff hikes. US President Donald Trump has signed letters to 12 countries outlining the various tariff levels they will face on goods they export to the United States, with the "take it or leave it" offers to be sent out on Monday. Trump, speaking to reporters aboard Air Force One as he travelled to New Jersey, declined to name the countries involved, saying that would be made public on Monday. Trump had earlier on Thursday told reporters that he expected a first batch of letters to go out on Friday, a national holiday in the United States, though the date had shifted. In a global trade war that has upended financial markets and set off a scramble among policymakers to guard their economies, Trump in April announced a 10 per cent base tariff rate and additional amounts for most countries, some ranging as high as 50 per cent. However, all but the 10 per cent base rate were subsequently suspended for 90 days to allow more time for negotiations to secure deals. 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The shift in the White House's strategy reflects the challenges of completing trade agreements on everything from tariffs to non-tariff barriers such as bans on agricultural imports, and especially on an accelerated timeline. Most past trade agreements have taken years of negotiations to complete. The only trade agreements reached to date are with Britain, which reached a deal in May to keep a 10 per cent rate and won preferential treatment for some sectors including autos and aircraft engines, and with Vietnam, cutting tariffs on many Vietnamese goods to 20 per cent from his previously threatened 46 per cent. Many US products would be allowed to enter Vietnam duty-free. A deal expected with India has failed to materialise, and EU diplomats on Friday said they have failed to achieve a breakthrough in trade negotiations with the Trump administration, and may now seek to extend the status quo to avoid tariff hikes.

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