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Trump pushes 100% tariff on foreign-made films amid Hollywood decline

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  • Trump proposes 100% tariffs on foreign-made films, claiming they threaten the U.S. film industry and national security.
  • Hollywood’s domestic production has declined by 40% in a decade as studios chase tax incentives abroad, raising concerns over lost jobs and revenue.
  • Experts warn of industry backlash, including retaliatory measures from China and further shifts to streaming, potentially harming U.S. filmmakers more than helping.

[WORLD] Former President Donald Trump on Sunday announced plans to impose a 100% tariff on all films produced outside the United States, declaring the American film industry was facing a “very fast death” due to foreign incentives enticing U.S. filmmakers abroad.

In a statement posted to his Truth Social platform, Trump said he had directed the Department of Commerce and the U.S. Trade Representative to begin immediate implementation of the new tariff.

The proposed measure signals a sharp escalation in Trump’s longstanding criticism of Hollywood’s growing dependence on international production hubs. Over the past decade, many major film franchises—including Marvel productions and Mission: Impossible installments—have been filmed in countries such as the UK, Canada, and Australia, drawn by lower production costs and government-backed tax breaks. Critics warn that Trump’s proposal could disrupt the global entertainment industry, which often relies on a complex international network for filming, post-production, and visual effects.

“This is a concerted effort by other Nations and, therefore, a National Security threat,” Trump wrote. “It is, in addition to everything else, messaging and propaganda!”

“WE WANT MOVIES MADE IN AMERICA, AGAIN!” he added.

Commerce Secretary Howard Lutnick responded on X, formerly Twitter, with a brief message: “We’re on it.” However, neither Lutnick nor Trump offered details about how the tariff would be enforced, including whether it would target American companies filming abroad or only foreign production entities.

Industry experts have raised concerns that the tariff could have unintended consequences, such as prompting studios to further slash domestic production budgets or lean more heavily on streaming platforms, where lower-cost content is already prevalent. While the Motion Picture Association (MPA), which represents major Hollywood studios, has not yet issued a formal response, industry sources anticipate significant pushback, particularly given the risk of retaliatory measures from other countries.

According to FilmLA, an organization that monitors production activity in the Los Angeles area, local film and TV production has declined by nearly 40% over the past ten years. Meanwhile, international governments have stepped up efforts to attract production through generous tax credits and direct financial incentives. Ampere Analysis estimates that global content production spending will reach $248 billion in 2025.

California, once the undisputed hub of American film production, has been especially hard hit. Rising costs and fierce competition from states like Georgia and New Mexico—both of which offer substantial tax incentives—have contributed to the erosion of Hollywood’s dominance. While some lawmakers have advocated for federal subsidies to counter foreign advantages, Trump’s approach opts for economic deterrence rather than financial support.

The announcement marks another chapter in Trump’s aggressive use of trade policy, following the sweeping tariffs he imposed during his presidency that sparked a trade war with China and unsettled global markets. The film industry has already begun to feel the effects, as China in April responded by slashing the number of American films allowed into its theaters.

China remains the world’s second-largest film market behind the U.S., though in recent years, local productions have increasingly outperformed Hollywood imports at the box office. William Reinsch, a former senior Commerce Department official and current fellow at the Center for Strategic and International Studies, warned that the potential blowback from Trump’s proposed tariffs could be severe. “The retaliation will kill our industry. We have a lot more to lose than to gain,” Reinsch said. “It’s hard to make the case that films are a national security threat or emergency.”


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