🌏 Hollywood’s tariff gut punch

This story was published on our Quartz Daily Brief newsletter, the most important and interesting news from the global economy. Inoculate yourself against ignorance with intel, charts, and surprising discoveries.

ByQuartz Staff

PublishedApril 13, 2025

We may earn a commission from links on this page.

Image for article titled 🌏 Hollywood’s tariff gut punch — Photo: David McNew (Getty Images)

Good morning, Quartz readers!

Here’s what you need to know

Apple, Nvidia, and Microsoft can ‘breathe a huge sigh of relief’ after Trump’s China tariff exemptions. The Trump administration carved out exemptions from huge tariffs for smartphones, laptop computers, and chips.

Even Hollywood isn’t safe from the tariffs

Lights, cameras, tariffs!

The entertainment industry is on the geopolitical front lines. As tensions heat up between the U.S. and China, one of America’s most powerful exports is taking a hit.

The China Film Administration announced it would begin reducing the number of American films shown in Chinese theaters. That came after President Trump raised levies on Chinese imports to 145%, which includes duties that were implemented in February.

Chinese officials warned that the “abuse [of] tariffs on China” would erode the domestic audience’s favorability toward American films.

Trump’s response when asked about China’s retaliatory restrictions? “I think I’ve heard of worse things.” Quartz’s Catherine Baab gives a full review of the Hollywood-China epic drama.

Tesla hits a trade war roadblock

As Beijing retaliated — again — against Trump’s tariff hikes, Tesla quietly pulled options to buy new Model S and X electric vehicles from its website in China.

Tesla builds both of those models in the U.S., which makes them subject to China’s newly announced 125% tariffs on U.S. imports.

The escalating tariffs form yet another roadblock for Tesla. Its year-over-year sales in China were already down 11.5% in March. Meanwhile, in Europe, sales cratered 44% in January.

And the company’s performance stateside isn’t much better. Tesla’s sales in the U.S. declined “nearly 9%” year-over-year in the first quarter of 2025, while overall EV sales in the U.S. grew 11%. Quartz’s Harri Weber has more.