Donald Trump has said that the United States will slap a 100% tariff on all foreign-made films, accusing other countries of undermining Hollywood and using cinema as a propaganda tool.The dramatic announcement came via a post on Truth Social, in which the US President described the state of the American movie industry in stark terms.
“The Movie Industry in America is DYING a very fast death,” Trump posted. “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!”
Trump's TARIFF ATTACK On Foreign Films: US Prez Calls Hollywood’s Decline A National Security Threat
“Therefore, I am authorising 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,” he wrote. “WE WANT MOVIES MADE IN AMERICA, AGAIN!”
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The USTR notes that non-tariff trade barriers, like regulations and foreign tax incentives, may disadvantage US filmmakers. Many international cities offer generous tax breaks to attract film and TV productions, prompting a shift to locations like Toronto and Dublin. In response, California Governor Gavin Newsom has proposed a major tax credit to revive Hollywood production.
Meanwhile, US movie ticket sales have dropped as fewer major films hit theaters post-pandemic and viewers increasingly turn to home streaming platforms.
The move adds another layer to Trump’s chaotic trade policies, which have already sent shockwaves through the global economy.
Since returning to office, he has placed tariffs on a vast range of imported goods, including a massive 145% levy on products from China. In retaliation, China slapped a 125% tariff on American exports, fuelling a trade war that’s disrupted global supply chains and raised fears of a recession.
US economic data released last week showed a 0.3% contraction in GDP in the first quarter of 2025, with imports and consumer spending sharply down. Meanwhile, ocean container bookings from China have plummeted by 60%, leading shipping companies to cancel up to a quarter of sailings. At the Port of Los Angeles, arrivals are expected to fall by 35% as businesses halt orders amid tariff uncertainty.
Economists blame Trump’s erratic trade tactics for the growing instability. “All of it,” said Boston College economist Brian Bethune when asked how much of the downturn could be traced to Trump’s policies.
Despite claiming he is negotiating “privileged” deals with countries like Switzerland, South Korea and Japan, foreign leaders complain of confusion and lack of communication. “There’s not a coherent strategy,” said Josh Lipsky of the Atlantic Council. “They don’t understand completely what the White House wants, nor who they should be negotiating with.”