The announcement came through Trump’s Truth Social account, where he blamed other countries for attracting film productions away from the US with generous incentives. He said this practice is hurting American filmmakers and even called it a “national security threat.”
Trump directed the US Department of Commerce and the US Trade Representative to begin the process of applying the new tariffs. However, many details about the proposed move remain unclear.
Foreign Films Targeted by 100% Import Duty
According to Trump, the new tariffs will target films made in foreign countries. His message emphasized the need to support local production and bring Hollywood jobs back to American soil.
“It is, in addition to everything else, messaging and propaganda,” Trump posted. “We want movies made in America, again!”
US Commerce Secretary Howard Lutnick responded shortly after, saying, “We’re on it.” But there was no clear explanation of how the tariffs would work, how they would be calculated, or whether they would include films released on streaming platforms like Netflix.
Will US Studios Filming Abroad Be Affected?
Several recent Hollywood productions were filmed outside the US, including Deadpool & Wolverine, Wicked, and Gladiator II. It is uncertain if these types of films, made by American companies abroad, will face penalties.
The US movie industry frequently shoots films in other countries due to lower costs and government incentives. Trump’s proposed tariffs could disrupt this long-standing practice.
There is also no information yet on whether the tariffs will apply to streaming content, theatrical releases, or both.
Mixed Reactions from Global Film Communities
The announcement has already sparked concern among film communities in other countries. Australia’s Home Affairs Minister, Tony Burke, firmly defended his country’s film industry, saying the government would “stand up” for Australian screen professionals.
New Zealand Prime Minister Christopher Luxon echoed similar views, saying his administration would seek more details but would continue supporting its national film sector.
The UK’s British Film Institute and the Motion Picture Association, which represents top US film studios, did not immediately respond to media inquiries.
Tariffs: A Broader Strategy
Since returning to office in January, Trump has used tariffs to pressure foreign governments across multiple sectors. He claims tariffs are a tool to protect American jobs and businesses.
In the film sector, Trump believes the decline of US-based productions is part of a wider economic and cultural issue. Before his re-election, Trump even appointed actors Jon Voight, Mel Gibson, and Sylvester Stallone as “special ambassadors” to help revive Hollywood’s presence in the global market.
“These actors will work with me to bring Hollywood back—bigger, better, and stronger than ever before,” Trump said.
Film Industry Stats Reveal Production Drop
Despite remaining one of the world’s leading film producers, the US industry has faced major challenges. A report by film research company ProdPro revealed that US production spending dropped to $14.54 billion in 2024, down 26% from 2022.
In contrast, countries like Australia, Canada, New Zealand, and the UK saw increases in film spending during the same period.
This shift shows how global competition is impacting Hollywood. Many studios now choose to film in countries offering tax breaks, grants, and cheaper labor.
Impact from Trade War with China
The latest announcement follows months of rising tensions between the US and China. Earlier in April, China cut the number of American films allowed into its cinemas. The China Film Administration blamed US tariffs and warned that public interest in American films was decreasing.
In response to US tariffs, China imposed a 125% import duty on American goods. Meanwhile, Trump has raised tariffs on Chinese imports to as high as 245% in some cases.
Other nations currently face a flat 10% tariff on US goods, but that could increase after July when the current pause on further tariffs ends.
Trump’s Focus on Trade Deals and TikTok
Speaking to reporters on Air Force One, Trump confirmed ongoing trade talks with several countries. However, he said he had no immediate plans to meet with Chinese President Xi Jinping.
He also hinted at changes to TikTok’s future in the US. Trump said he might extend the deadline for China-based ByteDance to sell TikTok’s American operations. The current deadline is June 19. Talks have reportedly stalled since the announcement of higher tariffs.
What Happens Next?
The idea of taxing foreign-made films is new and controversial. While Trump’s goal is to support US jobs and boost local filmmaking, critics say the move may cause confusion and reduce international collaboration in the arts.
So far, no legal process or bill has been introduced to make the 100% tariff plan official. Until that happens, it remains a policy proposal without a clear timeline or enforcement structure.
Film professionals around the world will be watching closely to see what comes next. Any future laws or rules may impact not only Hollywood but also how movies are made and shared globally.