Donald Trump took to Truth Social Sunday to announce he is “authorizing” the Department of Commerce and the United States Trade Representative to impose a 100% tariff on “any and all” movies produced in “foreign lands.”
In a move that sent shockwaves through Hollywood, Trump deemed foreign productions a “national security threat” to the American movie industry, adding that they not only draw filmmakers out to other markets but also bring “messaging and propaganda” into the United States.
“The Movie Industry in America is DYING a very fast death,” Trump wrote. “Other Countries are offering all sorts of incentives to draw our filmmakers and studios away from the United States. Hollywood, and many other areas within the U.S.A., are being devastated. This is a concerted effort by other Nations and, therefore, a National Security threat. It is, in addition to everything else, messaging and propaganda! Therefore, I am authorizing the Department of Commerce, and the United States Trade Representative, to immediately begin the process of instituting a 100% Tariff on any and all Movies coming into our Country that are produced in Foreign Lands. WE WANT MOVIES MADE IN AMERICA, AGAIN!”
Studio executives convened emergency calls after Trump issued his declaration, though there is enormous uncertainty about whether the president has the authority to institute these tariffs, as well as how they would work practically. It was also unclear what the impact would be on the many films that shoot overseas, a group that includes sequels to major franchises such as “Avatar,” “The Avengers,” and “Mission: Impossible.” Studios were hoping to get more information about whether certain films that had already been completed or were already in production would be exempt. There was also confusion about why the president has singled out movies, while not mentioning television production.
As Trump’s social media comment suggests, many Hollywood productions have moved to Canada and overseas to countries including the U.K., Australia, New Zealand and Hungary because they offer compelling financial incentives that help lower budgets. But movies also shoot internationally because they want to film in exotic locations, something that applies to globe-trotting franchises such as James Bond and “Fast and Furious.”
The tariffs are being announced a week before Hollywood decamps for the Cannes Film Festival, where many U.S. productions are looking to sell foreign distribution rights and where film packages involving top talent are hoping to secure studio backing. Studio executives will convene in the Riviera facing an avalanche of questions from their foreign colleagues, who may be more reticent to do business.
It was not immediately known whether Trump’s statement could also apply to films produced by other countries and shown in the U.S.
Trump’s last move on Hollywood was naming Sylvester Stallone, Mel Gibson and Jon Voight as “special ambassadors” to the American film industry, although no significant developments have been made by the trio since their appointment in January.
Although Trump claims that Hollywood is down for the count, 2025 has actually seen a rebound in box office numbers since last year. Overall domestic revenues are up 15.8% head of 2024. Though still 31% behind 2019, hits like “A Minecraft Movie,” “Sinners” and “Thunderbolts*” bring hope of closing the gap. Production, however, has struggled to come back forcefully after the 2023 actors and writers strikes. Forty percent fewer films and TV shows have been shot in the United States since a deal between the unions and the studios was reached. At the same time, media conglomerates have instituted widespread cost-cutting measures that have led companies to trim their programming and film slates.
