Trump has proposed a 100% tariff on foreign-made films — here’s what you need to know

Former President Donald Trump is targeting Hollywood in his latest tariff proposal, threatening a 100% import tax on all films produced outside the United States.

Over the weekend, Trump accused other nations of “stealing” America’s filmmaking industry and announced he had directed the Commerce Department and U.S. Trade Representative to begin the process of imposing the new tariff. However, no timeline or details were provided, and as of Monday, the White House confirmed no final decision had been made.

Trump also mentioned plans to consult with industry leaders about the idea, though experts are unsure how such a tax would work, given the global and digital nature of modern film production.

If enacted, experts warn that the tariff could drastically raise production costs and create uncertainty in the industry, as it has in other sectors impacted by trade disputes. Additionally, movies involve not just physical goods, but intellectual property, which complicates the issue further.

In a post on Truth Social, Trump said the U.S. film industry is “dying quickly” as other countries attract productions through incentives. He has voiced similar concerns in the past, particularly as film production has shifted from California to other U.S. states and abroad, including Canada.

Despite his concerns, the U.S. currently benefits from a trade surplus in film and TV, with American productions dominating global box offices. In 2023, U.S. films earned $22.6 billion in exports and had a $15.3 billion trade surplus.

International audiences made up over 70% of box office revenue last year. Experts warn that such a tariff could trigger foreign retaliation and cost the U.S. billions and thousands of jobs.

The union representing behind-the-scenes entertainment workers agreed that international competition is a threat but suggested tax credits and production incentives instead of tariffs as a more effective solution.

Implementing a tariff would be difficult, experts say, because modern filmmaking is a digital, service-based process, not a typical import. Taxing it would likely require congressional approval. Film production often happens across multiple countries, and a broad tariff could disrupt international cooperation and raise costs.

Popular franchises like Harry Potter, filmed largely in the U.K., would have been significantly more expensive under such a policy. Industry experts say a one-size-fits-all tariff ignores the practical realities of global filmmaking.

There are also concerns about broader impacts on intellectual property. Although the U.S. has few direct substitutes for its film exports, other countries might respond by reinstating screen quotas or targeting related industries like gaming or music.

Some experts argue that instead of imposing tariffs, the U.S. should support its creative sector with smarter incentives that reflect the global nature of modern storytelling.

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