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Benzinga
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Trump Wants 'Movies Made In America Again': Here's What Tariffs On Films Could Mean For Disney, Netflix Stock

1. Trump threatened tariffs on foreign-produced movies, affecting DIS. 2. He claims the U.S. movie industry is dying, citing foreign competition. 3. Tariffs could increase costs for studios, impacting Disney's margins. 4. The threat is in an exploratory phase, with unclear future actions. 5. California proposes incentives for U.S.-made films in response.

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FAQ

Why Bearish?

The tariff threat could increase operational costs for DIS, impacting profitability. Historical precedents show that regulatory changes can significantly affect stock performance.

How important is it?

The potential implementation of tariffs directly impacts DIS’s international operations and revenue. Industry-wide ramifications could also affect competitive positioning.

Why Short Term?

The immediate uncertainty from the tariff threat could cause stock volatility. Such threats can quickly impact market sentiment and investor confidence.

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