**Hollywood Faces Uncertain Future Amid Trump Administration Turbulence**

Already grappling with existential challenges and potential layoffs, Hollywood is gearing up for more possible instability with the incoming Trump administration. While President-elect Donald Trump has yet to unveil specific plans for the entertainment sector, analysts suggest that his broader policies on global tariffs and potential retaliation against companies could cast a shadow over Los Angeles' signature industry.

Stephen Galloway, dean of Chapman University's Dodge College of Film and Media Arts, expressed concerns about investing in entertainment stocks amidst the anticipated turmoil. "If I were wealthy today, I would not be buying stock in the entertainment world," he stated, warning of significant turbulence ahead.

In an effort to bolster the state’s entertainment industry, California Governor Gavin Newsom has recently proposed increasing the annual cap on state film and TV tax credits to $750 million from the current $330 million. Both he and others have urged federal intervention to keep the U.S. competitive in the global production market. However, Trump's administration is unlikely to offer such support, particularly if it benefits Newsom and California, traditionally a liberal stronghold.

"Liberal Hollywood is the enemy," noted Galloway, pointing out the irony that despite Trump's background in entertainment, he is not expected to be a pro-entertainment-industry politician. This sentiment is underscored by the fact that many Hollywood stars and executives supported the Democratic nominee, Vice President Kamala Harris, providing her with endorsements and financial backing after advocating for President Biden's withdrawal from the race.

Although some industry figures like Warner Bros. Discovery CEO David Zaslav have chosen to remain noncommittal about their presidential support, the sector as a whole seems braced for challenges. On Thursday, the Motion Picture Association (MPA) extended its congratulations to Trump and the incoming Congress, expressing readiness to collaborate on issues critical to the film, TV, and streaming industries which support over 2.7 million jobs and generate $242 billion in wages annually.

Analysts remain concerned about the potential effects of a tariff war on the industry. Should Trump proceed with his global tariff threats, countries like China might ban U.S. imports, including films and TV shows, further straining an already struggling distribution market. Galloway highlighted that Trump's first term trade war with China had already caused friction, disrupting Hollywood's ties with the nation.

Kevin Klowden, executive director of the Milken finance institute, added that the possibility of retaliatory actions remains a significant concern. As a candidate, Trump had previously attacked CBS and even suggested pulling the network's broadcast license for allegedly misrepresenting one of Harris' responses during an interview on "60 Minutes." Though CBS has denied any deceptive editing, Klowden emphasized that the threat itself poses significant risks.

The entertainment industry might also face additional challenges with films and TV shows depicting Trump negatively. Such portrayals could provoke adverse actions against their parent companies. This fear is exemplified by the recent struggles of the Trump biopic "The Apprentice," which faced distribution hurdles after the former president's team threatened legal action, ultimately leading to its poor performance at the U.S. box office.

"Studios nowadays are parts of vast, multinational operations," Galloway remarked, adding that the ripple effects of one issue could swiftly impact numerous other aspects. This situation underscores the precarious balance Hollywood must maintain in the face of political volatility.

As Hollywood navigates these uncertain waters, the industry remains vigilant and prepared for further disruptions that may arise from the new administration's policies and actions.