Phil Murphy Slams Trump’s Foreign Film Tariffs, Even If They Could Benefit New Jersey

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In his last act as governor of New Jersey, Phil Murphy formally greeted Netflix to Monmouth County. The arrival of Netflix Studios Fort Monmouth is expected to further boost New Jersey’s already flourishing film and television production industry, an attractive sector that’s been lured by substantial tax incentives. Unlike President Trump’s proposed tariffs on foreign films, Murphy prefers the encouraging approach, or “carrot,” over the threatening “sticks.

Murphy explained to The Hollywood Reporter that what we’re doing here with Netflix isn’t about forcing people, but rather offering them appealing incentives instead of resorting to harsh tactics.” (This was said right after the groundbreaking ceremony for Netflix at the decommissioned U.S. Army base in central New Jersey.)

Trump’s global movie-making plan aims to revitalize Hollywood, but the advantages wouldn’t just impact this region; places like Georgia, New York, New Mexico, and even New Jersey would also reap benefits as they’ve grown into production hotspots. However, it’s worth noting that Murphy isn’t exactly cheering it on.

Murphy explained to THR that New Jersey may not benefit from tariffs as it might initially seem, since our partners, like Netflix, operate globally. If these global operations are affected by tariffs, even though we might avoid direct harm, it’s likely not beneficial for the broader industry.

I think we should encourage rather than discourage people to visit this place, and that’s my stance on taxes or tariffs. There are instances where penalties are necessary for those who break the rules, but generally speaking, these are countries that are valuable allies and essential partners.

Among the countries that we share alliances with are the United Kingdom, Australia, Ireland, and Spain – these are destinations where attractive tax benefits have drawn Hollywood productions outside of our own borders.

It’s worth noting that Trump is a well-known MAGA Republican, and Murphy identifies as a strong Democrat. However, this difference in political affiliation doesn’t necessarily define their relationship, which has been quite amicable – or at least it was until Trump targeted the Department of Education for dismantling. Tinkering with New Jersey’s school system is not something you want to do, given its significance there.

On May 3rd, Trump announced via his Truth Social platform that he has given the go-ahead for the Department of Commerce and the Office of the U.S. Trade Representative to impose a 100% tax on any films coming into the U.S. if they are produced outside our country.

Trump tweeted, “The American Movie Industry is rapidly declining. Other countries are providing numerous incentives to entice our filmmakers and studios away from the U.S., causing significant damage to Hollywood and various other sectors within our nation. This is a deliberate tactic by foreign nations, posing a threat to our national security. Beyond economic implications, it’s also about messaging, propaganda, and influence!

Consequently, I’m giving permission for the Department of Commerce and the United States Trade Representative to promptly initiate a plan where they will impose a 100% tax on any films entering our nation that are created overseas. My message is clear: Let’s bring movie production back to America once more!

It took less than 24 hours for the cooler heads in the White House to walk that back a bit.

Despite no definitive decisions regarding foreign film tariffs yet, the administration is examining every possible solution to fulfill President Trump’s instruction, ensuring our nation’s safety and prosperity while revitalizing Hollywood, as stated,” White House representative Kush Desai explained to THR on May 4.

Jon Voight, a close associate of Trump in the entertainment industry, has since advocated for a federal film and tax incentive program. The group backing this initiative also includes Sylvester Stallone, who shares the same role, as well as the Motion Picture Association (MPA), Directors Guild of America (DGA), International Alliance of Theatrical Stage Employees (IATSE), Screen Actors Guild-American Federation of Television and Radio Artists (SAG-AFTRA), Teamsters, Writers Guild of America (WGA) from both the West and East coasts, Independent Film & Television Alliance, Producers Guild of America (PGA), Producers United, and Film USA.

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2025-05-14 16:25