Unlock the White House Watch newsletter for free
Your guide to what Trump’s second term means for Washington, business and the world
Maga has always been about manufacturing. Donald Trump talks about bringing back production lines to the Midwest because many economically precarious voters, most receptive to his message, were laid-off factory workers in old production-line industrial towns.
Last week, the president shifted his focus from steel to foreign-made films, proposing tariffs to “Make Hollywood Great Again” by encouraging companies to produce more films in the US.
While protecting the film industry may seem unnecessary given America’s status as the world’s top exporter of films, there are underlying concerns. Hollywood, a significant union town, is facing challenges from cheap foreign competition and job-displacing technologies like artificial intelligence. Trump’s proposal, though flawed economically, resonates politically with a demographic anxious about the future.
Similarly, California Governor, Gavin Newsom, has proposed tax credits to revive middle-class jobs in the film industry that have been displaced by cheaper labor and technological advancements. The rise of AI threatens not only lower-tier jobs but also creative roles in Hollywood.
The disruption caused by AI extends beyond Hollywood to industries like media, content, and coding, where intangible assets hold significant value. As the economy becomes increasingly reliant on digital data, the control and distribution of intellectual property become key issues in labor negotiations.
While Democrats focus on an “abundance” agenda centered on regulatory reform, Trump targets a new group of anxious service workers. By appealing to their concerns about foreign competition and automation, he is able to cultivate a larger political base within the service sector, which constitutes a significant portion of the US workforce.
As the political landscape evolves, it is evident that Trump’s strategy, though clever, raises concerns about the future of work in an increasingly automated world. The shifting dynamics in industries like Hollywood, law, and healthcare highlight the need for policies that address the challenges posed by technology while ensuring the well-being of workers.
In conclusion, as the political optics of protecting American jobs take center stage, it is crucial to consider the implications of policies aimed at addressing economic anxieties. Balancing the need for innovation and job security is key to navigating the changing landscape of work in the digital age.
By Rana Foroohar