In an action that might disrupt the entertainment sector, President Trump has instructed his administration to impose a “100% tariff” on all films entering the United States that weren’t made domestically.
He
posted
On his Truth Social platform on Sunday, he stated that he has instructed the Department of Commerce and the United States Trade Representative to implement the tariff.
The film industry in America is facing an extremely rapid decline,” he stated. “Various countries are providing numerous inducements to lure our filmmakers and production houses out of the United States. Both Hollywood and several regions across the U.S.A. are suffering as a result. This appears to be a coordinated action by other nations and thus poses a national security risk. On top of this, it involves elements of messaging and propaganda!
“Hence, I am instructing the Department of Commerce and the United States Trade Representative to promptly initiate the procedure for imposing a 100% tariff on every movie entering our country that is manufactured abroad. WE WANT TO SEE MORE FILMS PRODUCED IN AMERICA, ONCE AGAIN!”
For many years, Hollywood has been attracted to nations like the United Kingdom, Australia, Ireland, and Spain primarily because of their tax benefits.
During an interview with C-SPAN on Sunday, Trump addressed the tariffs when questioned about them. He expanded on his previous stance and attributed part of the responsibility to Governor Gavin Newsom of California as well as other nations.
What these countries have done is essentially take movies and filmmaking prowess away from the United States,” he stated, continuing, “In my recent intensive investigation, I found out that we are producing far fewer movies nowadays. The film industry here is suffering greatly. A woefully inept state leader has let this occur, so I am not solely pointing fingers at foreign nations, but those same nations have plundered our cinematic sector. Should they choose not to create films within the U.S., then tariffs ought to be imposed on imported movies. Furthermore, many governments provide substantial financial support for their filmmakers. This kind of assistance poses somewhat of a risk to our nation.
When asked for commentary, a representative from Newsom’s office stated: “It seems like it’s diversion day once more in Washington, D.C.”
In the meantime, leading executives in the entertainment industry claim that this situation could have catastrophic effects on television as well, not only on movies. One informant stated, “Vancouver is finished.”
The MPA has not commented as of now.
Several high-budget productions shot abroad are scheduled for release in the upcoming months. Will these projects receive an exemption during a transition phase or face additional duties?
The ultra-pricey
Mission: Impossible – The Final Reckoning
(May 23) was filmed across the globe, making it one of the major attractions of the traveling film series, which opts to shoot abroad for the captivating settings rather than for financial incentives like tax breaks.
Lionsgate’s
John Wick
spinoff
Ballerina
(June 6) shot in the Czech Republic.
Disney and 20th Century’s
Avatar: Fire and Ash
(Dec. 19) was produced in New Zealand, a country that transformed into a production center during the last two decades.
The Lord of the Rings
director Peter Jackson brought it into prominence.
A Disney-related studio like Marvel Studios might also feel the impact of these tariffs. They have only just started shooting their latest project.
Avengers: Doomsday
(May 1, 2026) in London with intentions to shoot a Sony co-produced film
Spider-Man: Brand New Day
(July 31, 2026) will also be taking place this year. The U.K. provides substantial tax benefits that attracted production away from Atlanta, where
Avengers: Infinity War
and
Avengers: Endgame
filmed.
Lucasfilm, which belongs to Disney, is anticipated to film the project starring Ryan Gosling as well.
Star Wars: Starfighter
(May 28, 2027) in the UK this year.
Warner Bros. Discovery’s competing comic book label, DC Studios, has been strengthening its operations in London by increasing film production here.
Supergirl: Woman of Tomorrow
(On June 26, 2026) in London.
A thriving niche exists within the realm of direct-to-video productions that film in Eastern European nations like Romania and Bulgaria due to their inexpensive workforce and attractive tax benefits. (Picture: any low-cost movie featuring a well-known but older action hero.)
Trump, naturally, declared a plan last month to impose at least
10 percent tariffs
On products coming from each nation trading with the U.S., tariffs were imposed. Consequently, the S&P 500 and the Dow Jones IndustrialAverage fell due to concerns over an economic downturn. One week later, he announced a “90-day HALT” on most of these duties, excluding those applied to China. Since then, the equity markets have recovered.
6:07 PM Sunday, May 4:
Included Trump’s quotations on C-SPAN.
8:30 PM on Sunday, May 4:
Inserted commentary from Newsom’s office.
More from The Hollywood Reporter
- The Actors from ‘White Lotus,’ ‘Yellowjackets,’ and ‘Star Trek: Discovery’ Recently Blitzed Capitol Hill for Art Funding
- PBS Chief States That Trump’s Executive Order Halting Funding Is “Clearly Illegal”