In a bold escalation of his protectionist trade stance, former US President Donald Trump has announced plans to impose a 100% tariff on all movies made outside the United States. Posting on his Truth Social platform, Trump claimed the American film industry is “dying a very fast death” and blamed a “concerted effort” by other nations to lure filmmakers abroad through tax incentives and subsidies. Calling the situation a “National Security threat,” Trump declared he had instructed the Department of Commerce and the US Trade Representative to begin implementing the tariffs.
While Trump did not clarify whether the measure would apply to US-based studios filming overseas, or how it would impact streaming content from platforms like Netflix, the announcement has sent ripples across the global entertainment industry. Industry insiders and critics alike are warning that such a sweeping move could deeply disrupt international film production, threaten jobs, and strain trade relationships with key allies like the UK and Canada—both major film hubs.
Howard Lutnick, the newly appointed Commerce Secretary, responded with a terse “We’re on it,” but declined to offer additional specifics. The lack of detail has triggered concern and confusion within the film industry, particularly given that many recent blockbusters—including Deadpool & Wolverine, Wicked, and Gladiator II—were all filmed outside the US.
More updates will follow as the implications of this controversial plan begin to unfold.
The response from international governments has been swift, with several key nations expressing their opposition to Trump’s proposed 100% tariffs on foreign films. The UK’s Department for Culture, Media & Sport, as well as industry representatives like the British Film Institute, have yet to comment on the matter. However, the Motion Picture Association (MPA), which represents the five major US film studios, also remained silent when approached by the BBC.
On the other hand, the Australian and New Zealand governments have been vocal in their opposition to the proposed tariffs. Australian Home Affairs Minister Tony Burke expressed strong support for the Australian film industry, stating, “Nobody should be under any doubt that we will be standing up unequivocally for the rights of the Australian screen industry.” His statement emphasizes the determination of the Australian government to protect its domestic film sector in the face of potential tariffs.
New Zealand’s Prime Minister, Christopher Luxon, echoed similar sentiments, offering cautious support for the country’s film industry. Luxon noted that the New Zealand government was awaiting further details on the proposed tariffs but promised to be an “advocate” and “champion” for the film sector.
In the backdrop of these international reactions, Trump’s broader economic policies continue to stir global unease. Since resuming office in January, the former president has consistently advocated for protectionist tariffs as a tool to stimulate American manufacturing and preserve American jobs. Critics, however, argue that such tariffs have resulted in global economic disruption, with the potential for increasing prices on goods worldwide.
Earlier in his presidency, Trump also took steps to directly support Hollywood, appointing three high-profile film stars—Jon Voight, Mel Gibson, and Sylvester Stallone—as special ambassadors. The trio was tasked with promoting business opportunities in Hollywood, which Trump described as a “great but very troubled place.” At the time, Trump pledged that these film stars would work tirelessly to bring Hollywood “back—BIGGER, BETTER, AND STRONGER THAN EVER BEFORE!”
With a history of dramatic international moves and the backing of Hollywood’s elite, Trump’s latest proposal to levy 100% tariffs on foreign films appears to be a bold continuation of his “America First” agenda. However, the long-term ramifications for the global entertainment landscape remain uncertain.
Despite challenges, the US remains one of the world’s largest film production hubs, according to movie industry research firm ProdPro. Their latest annual report reveals that the US saw $14.54 billion (£10.94 billion) in production spending last year. However, this represents a 26% decline compared to 2022, highlighting the impact of various factors, including trade tensions and changing market dynamics.
In contrast, several countries have experienced an uptick in film production spending over the same period. Australia, New Zealand, Canada, and the UK have all seen significant growth, as filmmakers increasingly look for more affordable and flexible production environments. These regions’ ability to attract foreign investment has made them more attractive alternatives to the US, especially as global economic shifts continue to unfold.
The film industry’s struggles are not just limited to production costs. The fallout from Trump’s broader trade policies has already started to impact international markets. In April, China, one of the US film industry’s largest markets, announced it would be reducing its quota of American films allowed into the country. The China Film Administration criticized the US government for “abusing tariffs,” stating that such actions would “inevitably further reduce the domestic audience’s favorability towards American films.”
China’s move represents a growing trend of retaliatory actions against the US, as countries around the world adjust their policies to counter the effects of Trump’s aggressive tariffs. The China Film Administration added, “We will follow the market rules, respect the audience’s choice, and moderately reduce the number of American films imported.” This statement underscores the potential long-term consequences for American films in international markets, as more countries take a protective stance on their own film industries.
As these global shifts continue, the US film industry will likely have to adapt to the changing landscape of international trade and film production. The rise of foreign markets and increasing production costs at home may prompt a reevaluation of how American studios operate and collaborate globally.
