Stock market today: S&P 500 ekes out gain as Trump says open to deals on tariffs
By Miranda Murray
CANNES, France (Reuters) -Buyers and sellers are heading into this year’s Cannes Film Market under a cloud of uncertainty as the initial shock of U.S. President Donald Trump’s proposed 100% tariff on foreign-made films has faded into a cautious business-as-usual approach.
While the Cannes Film Festival conjures visions of glamorous celebrities on the red carpet and yacht parties, the film market, the world’s largest, is the main attraction, bringing together industry players, big and small, to do business.
With over 15,000 participants from more than 140 countries, this year’s market is set to match last year’s record attendance, with the United States still the top participating country despite the recent shifts in international policy.
The market has become even more important as the indie film industry - still struggling in the wake of the pandemic and the 2023 Hollywood double strike - has to be more selective about where to put resources when pursuing deals, according to Scott Roxborough, European bureau chief for The Hollywood Reporter.
The American Pavilion, which represents U.S. interests at the market, said it expected tariffs would be brought up during panel discussions but did not plan any talks dedicated to them.
"We continue to try to understand what this will mean for our industry," said pavilion president and founder Julie Sisk.
Cinthya Calderon from the Berlin-based boutique sales outfit m-appeal said the tariff announcement was "a momentary shock."
"For now, it seems that everyone is maybe not brushing this information off, but everybody’s just thinking, ’well, you know, it is what it is,’ but nothing’s settled," she said.
Nobody knows how this is going to play out, said Rich Wolff, CEO of Philadelphia-based independent distributor Breaking Glass Pictures, which buys multiple foreign-language films annually.
Wolff, whose company also produced about 15 films in the U.S. last year, said he hoped Trump’s stated desire to revive the domestic film industry would translate to fiscal incentives.
"I would hope as our government wants to bring film-making back into the United States that there would be some sort of level of support given to those who need and deserve it, similar to what is going on in the European Union and the UK," he said.
LASTING APPEAL
Lifting the market’s spirits are last year’s commercial and popular success of independent films like "The Brutalist" and Oscar blow-out "Anora", as well as the strong consumer demand for international content, particularly on streaming services.
Noah Segal, co-president of Canadian distribution and production company Elevation Pictures, suggested consumer preferences could ultimately transcend political blockades.
"Trump can put up barriers all he wants, but consumers still want to watch ’Squid Game,’" he said.
"I would argue there is enough momentum as a side that the magnetism of international content will drive us to a better solution than just an absolute turning off the taps."
Marc Iserlis, head of film at the Republic investment platform, said those indie successes were a sign audiences wanted more than just reboots and sequels, and were moving away from the current "de-globalised moment" following the pandemic.
Iserlis heads Republic’s new film financing vertical that allows fans to invest in filmmakers’ projects, which he said offered a new way to make films amid industry-wide disruption.
"This is offering a third new direction, a new channel for investment other than just the high net worth individuals and the studio deals that a lot of film-makers have to take."
The market, which opened Tuesday, will run through May 21.