The latest tariff announcement by US president Donald Trump in his trade war on foreign countries has taken the Canary Islands by surprise and fuelled concerns at the possible impact on one of the region’s flourishing industries.
Trump announced overnight on social media that he intended to slap a 100% tariff on films made outside the United States and had authorised the US Department of Commerce and Trade Representative to start the process to impose the levy because America’s movie industry was dying «a very fast death».
The president blamed a «concerted effort» by other countries that offer incentives to attract filmmakers and studios, which he described as a «National Security threat».
The surprise move is of obvious concern to the Canaries, where incentives of up to 50% have been available for many years to production companies to film here. Several international productions recently filmed in the islands include Guy Ritchie’s «The Ministry of Ungentlemanly Warfare», along with projects such as Netflix’s «People We Meet On Vacation» and the Paramount+ series «Stags».
The Canary Islands’ stunning natural landscapes, year-round favourable climate and attractive tax incentives have made the archipelago a top-tier destination for the film industry, as reflected in the headline-making presence of global icon Johnny Dep in Tenerife in April to shoot key scenes from his latest film Day Drinker, which sees him team up once more with Spanish star Penelope Cruz.
The presence of Hollywood A-Listers such as Depp and Cruz once again raised the island’s profile on the international stage, not to mention providing major investment and employment for the local audiovisual sector.
Officials at CANARY ISLANDS FILM, the department of the Canary Islands government which deals with tax incentives for outside production companies wishing to film here, will be watching developments carefully following the Trump announcement to see if it might change the islands’ current enviable status in the film world.
