(Hypebot) — President Trump’s policies, trade wars and tariffs impact live music and the live music industry.
While the President paused some of the stiffest tariffs Wednesday, even at 10% his tariffs, trade wars and policies are already having a ripple effect, increasing costs throughout the live music ecosystem and potentially reducing consumer demand.
How Trump Policies, Trade Wars and Tariffs impact Live Music
Here’s a breakdown of key areas of concern:
Increased Costs
Musical Instruments and Equipment
- Many instruments and essential gear are imported. Tariffs would drive up prices for items like guitars, drums, amplifiers, and sound equipment.
- This disproportionately affects independent artists and smaller venues with limited budgets.
- Even domestically produced equipment may be affected due to reliance on imported components.
Touring Expenses & Visas
- Increased costs for fuel, transportation, and accommodations would make touring more expensive, especially for international acts.
- Potential retaliatory tariffs could lead to higher visa costs and restrictions on merchandise sales in foreign countries.
- While not directly tariff related, cuts to government staffing and Trump’s policies on immigration seem likely to lead to delays in visas applications for overseas artists [FKA Twigs cancels US tour, Coachella due to Visa problems] as well as more choosing not perform in the U.S. at all.
Venue and Festival Costs
- Higher equipment and production costs could result in increased ticket prices for concerts and festivals.
- Festivals featuring international artists might face increased expenses and problems with Visas, leading to smaller lineups or higher ticket prices.
Merchandise
- Tariffs on imported merchandise like T-shirts, vinyl records, and posters could reduce artists’ profit margins.
Economic Uncertainty and Reduced Spending
Consumer Spending
- Tariffs could lead to higher prices for various goods, potentially reducing consumer spending on entertainment, including live music events.
- An economic downturn caused by trade tensions could further decrease discretionary spending on concerts and festivals.
Sponsorships
- Economic uncertainty could reduce sponsorship opportunities for music festivals and events.
Impacts on the Industry
Independent Artists
- The increased cost of equipment and touring could place a heavy burden on independent artists, hindering their ability to perform live.
Independent Venues & Festivals
- Smaller venues may struggle to absorb increased costs, potentially leading to closures.
International Collaboration
- Increased trade tensions could make it more difficult for artists to collaborate and tour internationally, limiting cultural exchange.
