The United States President Donald Trump has declared his intention to implement a 100 percent tariff on films produced outside the US.
This announcement, made via a social media post, states that Hollywood is rapidly declining due to international competition.
Trump stated that he has instructed both the Department of Commerce and the US Trade Representative to immediately begin the process of imposing this tariff on all films originating from “foreign lands.”
He says that “Other nations have been stealing the movies, the movie-making capabilities from the United States. And I said to a couple of people, ‘What do you think?’ I have done some very strong research over the last week, and we are making very few movies now. Hollywood is being destroyed. You have a grossly incompetent governor who allowed that to happen. So I’m not just blaming other nations. But other nations, a lot of them, have stolen our movie industry. I think if they are not willing to make a movie inside the United States, then we should have a tariff on movies that come in. And not only that, governments are actually giving big money. They are supporting them financially, so that’s sort of a threat to our country, in a sense.”
In his social media statement, Trump contended that other nations are actively incentivizing American filmmakers and studios to relocate, leading to the “devastation” of Hollywood and other sectors within the United States.
He characterized this as a “concerted effort” by foreign countries, thereby posing a “National Security threat” and constituting “messaging and propaganda.”
Trump did not provide specific details regarding the practical implementation of this tariff, including its application to Hollywood productions that involve international filming and production.
This announcement follows the President’s appointment in January of actors Sylvester Stallone, Mel Gibson, and Jon Voight as “special ambassadors” tasked with attracting business back to Hollywood that has been lost to overseas locations.
At that time, the President described these actors as “my eyes and ears” in his effort to usher in a “Golden Age of Hollywood.” It’s worth noting that Hollywood has faced economic challenges in recent years, influenced by the COVID-19 pandemic and the actors’ and writers’ strike of 2023.
Data from Gower Street Analytics indicates that worldwide gross revenue for Hollywood studios reached approximately $30 billion last year, a decrease of about 7 percent from 2023. While this represented an improvement over the revenues of 2020, 2021, and 2022, it remained roughly 20 percent below the pre-pandemic average. This tariff threat is anticipated to escalate tensions in Washington’s international relations, as numerous countries are already dealing with existing tariffs on various industries, including steel and automobiles.
