Trump announces 100% tariff on foreign films to boost U.S. production

Trump's foreign film tariff sparks backlash from global industry leaders and raises questions over enforcement and economic impact.

U.S. President Donald Trump speaks during an "Investing in America" event in the Cross Hall of the White House, on April 30, 2025, in Washington, DC. Photo by Andrew Harnik/Getty Images

By Anna Fadiah and Hayu Andini

President Donald Trump has announced plans to impose a sweeping 100% tariff on foreign films, extending his America-first trade policy to the entertainment sector. The move, which Trump unveiled on Sunday via a post on Truth Social, marks a dramatic shift in how the United States approaches cultural imports and could have far-reaching effects on Hollywood and the global film industry.

Using the phrase, “WE WANT MOVIES MADE IN AMERICA, AGAIN!” the president made it clear that his administration intends to shift the economics of film production back to domestic soil. Trump’s declaration instructed the Commerce Department and the Office of the U.S. Trade Representative to “immediately begin the process of instituting” the tariff on non-American film productions.

Tariffs tied to national security and cultural preservation

In justifying the new foreign film tariff, Trump framed the issue as one of national security, accusing other nations of using film as a tool for propaganda and ideological messaging. While not citing specific examples, the former president argued that the U.S. must take action to ensure domestic control over the messaging in widely consumed media.

Trump’s announcement came after private meetings over the weekend at Mar-a-Lago with actor Jon Voight and producer Steven Paul. The duo, both long-time Trump allies, reportedly pitched a plan to expand federal tax incentives for film and television production within the United States. Their proposals focused on reviving expired credits and boosting existing ones to stimulate the local industry.

However, according to insiders familiar with the meeting, the 100% foreign film tariff was not part of their plan and was independently floated by Trump during the discussions. Details of the proposed tariff, including how it would be calculated or applied, remain unclear.

Policy leaves questions unanswered

While the policy’s announcement has stirred immediate reaction, many logistical questions remain unanswered. With most major U.S. film productions involving at least some level of international cooperation—be it filming locations, crews, or post-production services—it’s unclear how the tariff would be implemented.

For example, would movies that are partially shot abroad, like Disney’s upcoming The Fantastic Four: First Steps, filmed in the UK and Spain, or Universal’s Jurassic World Rebirth, which includes shoots in Thailand, Malta, and the UK, be subject to the full tariff? Would the tax apply to these hybrid projects, or only to films fully produced overseas?

This ambiguity is especially concerning for large studios whose business models depend on international collaboration. Avatar (2009), one of the highest-grossing American films, was primarily shot in New Zealand, as was much of Avengers: Endgame.

Backlash from New Zealand and Australia

The global entertainment industry was quick to respond to Trump’s announcement, with leaders from countries like New Zealand and Australia expressing confusion and concern. Irene Gardiner, president of New Zealand’s screen producers guild Spada, called the policy “confusing and troubling.”

“He seems to be worried about US films being shot and post-produced in other countries but then he talks about movies produced outside the US being subjected to tariffs,” Gardiner said. “Does he mean NZ-produced movies couldn’t be released in the US without a 100% tariff? Or is he referring to American films shot here being penalized?”

She warned that either interpretation would significantly harm the New Zealand screen industry, which thrives on welcoming U.S. productions. “We love having American productions working here—it’s great for our economy and our creative workforce,” she added.

New Zealand Prime Minister Christopher Luxon also defended the country’s film sector, saying it has “amazing people, incredible technology, great jobs,” and pledged to “advocate very strongly for it.”

In Australia, the response was equally critical. Matthew Deaner, CEO of Screen Producers Australia, said the announcement would “send shockwaves worldwide” and urged the Australian government to fortify its local film sector against such global disruptions.

Cultural protection or economic isolation?

The 100% tariff on foreign films raises serious questions about the United States’ commitment to global trade norms and freedom of expression. Critics argue that restricting access to international cinema contradicts the country's long-standing values of cultural openness and diversity.

Moreover, while Trump insists the measure is intended to protect American jobs, data suggests the film industry’s contraction in the U.S. has been driven by multiple factors, including the rise of streaming services and broader economic shifts. According to the Motion Picture Association, the U.S. film and TV industry supported around 2.3 million jobs in 2023, though that number has been declining in recent years.

The trade group has not yet commented publicly on Trump’s tariff proposal. However, industry experts note that domestic film production spending in the U.S. dropped by 28% between 2021 and 2024. By contrast, countries like Canada, the UK, and Australia have seen a boost in production due to competitive tax incentives and lower operating costs.

Trump’s ongoing cultural offensive

This is not the first time Donald Trump has attempted to reshape the entertainment industry in his image. In January, he appointed Jon Voight, Mel Gibson, and Sylvester Stallone as “special ambassadors” to Hollywood. The symbolic move was aimed at reviving the American film industry and promoting conservative values in media.

Some analysts view the foreign film tariff as another political maneuver to shore up nationalist support ahead of the 2026 midterms. Others see it as part of a broader pattern of targeting global institutions and norms that Trump believes disadvantage the U.S.

Global film industry braces for impact

Outside the U.S., the industry is watching closely. China, which recently reduced the number of American films allowed in its theaters in retaliation for U.S. tariffs, could escalate restrictions further. The China Film Administration has already hinted that Trump’s actions could diminish Chinese audiences’ interest in American films.

Meanwhile, international cinema continues to rise. Films like Parasite from South Korea, which won four Academy Awards including Best Picture in 2020, prove that foreign productions can compete with Hollywood in both quality and box office draw.

Trump’s foreign film tariff, if implemented, may protect some domestic jobs in the short term. But it risks isolating the American industry from global collaboration, stoking international tensions, and reducing U.S. cultural influence worldwide.

For now, the entertainment world waits for clearer details. But the announcement has already set off alarms, with many seeing it as yet another disruptive step in Trump’s America-first agenda.