top of page

Trump Imposes 100% Tariff on Foreign Films — Is Hollywood Coming Home?

Updated: 7 days ago


Movies Must Be ‘Made in America’? Trump Imposes 100% Tariff on Foreign Films

In May 2025, President Donald Trump escalated his trade war into new territory—film. In a post on his platform Truth Social, he announced plans to impose a 100% import tariff on all films produced outside the U.S. and brought into the American market.

 

Trump claims the U.S. movie industry is “dying fast,” blaming other countries for offering generous incentives that lure American filmmakers overseas. His goal? Force film production back onto U.S. soil.

 

But the proposal raises major questions. Films aren’t goods—they’re services. That means existing trade rules don’t clearly support such tariffs. Enforcing them would require a legal stretch, or entirely new frameworks.

 

More importantly, the move could backfire on Hollywood itself. Many U.S. studios already shoot films abroad to reduce costs, benefit from tax breaks, and access cheaper labor. A blanket tariff on “foreign-made” films could penalize the very companies Trump claims to protect.

 

The bigger picture shows a struggling industry. U.S. box office revenues peaked at nearly $12 billion in 2018, collapsed to $2 billion during the pandemic, and haven’t crossed $9 billion since. Major movie releases are down 50% from pre-COVID levels, and audiences have shifted toward streaming platforms like Netflix, Disney+, and Max.

 

Meanwhile, cities like Toronto and Dublin have become production hotspots thanks to aggressive tax credits. California is now trying to fight back—Governor Gavin Newsom recently expanded state incentives to bring projects back to Los Angeles.

 

Trump’s tariff push hints at a broader trend: cultural industries—once considered “soft power”—are now becoming hard targets in global trade conflicts. If films can be taxed, what’s next? Streaming? Gaming? AI-generated content?

 

For studios, streamers, and content investors, this is a clear signal: it’s time to rethink where you produce, how you distribute, and whether your supply chain is truly tariff-proof.


Read More:

 
 
 

Comments


bottom of page