US to impose 100% tariff on films made outside country, Trump says movie making business has been stolen

The United States will move ahead with a 100% tariff on all movies made outside the country, President Donald Trump confirmed in a post on Truth Social on Monday.

Trump said the American film business had been taken over by competitors abroad. “Our movie making business has been stolen from the United States of America, by other countries, just like stealing ‘candy from a baby’,” he wrote.

The announcement formalises what Trump had first signalled in May, when he authorised the Department of Commerce and the US Trade Representative (USTR) to begin the process of imposing steep duties on foreign films. At the time, he framed the issue as both economic and strategic, warning that “the American movie industry is dying a very fast death.”

Calling it a “concerted effort by other Nations and, therefore, a National Security threat,” Trump had argued that the problem extended beyond economics. “It is, in addition to everything else, messaging and propaganda!” he said.

Trump also stressed the need to bring production back home. “We want movies made in America again!” he declared, adding that tariffs were intended to “level the playing field” and push studios to operate on US soil instead of seeking tax breaks and cheaper labour overseas.

Industry experts, however, raised concerns that the policy could hurt rather than help Hollywood. Many US studios, including Disney, Paramount and Warner Bros, frequently shoot abroad to cut costs. Analysts said that the move risks further squeezing companies already recovering from the pandemic.

The decision also comes amid trade tensions with China, which is the world’s second-largest film market.

Meanwhile, following Trump’s latest announcement on Monday, entertainment stocks dipped in premarket trading, with Netflix falling 1.4% and Warner Bros Discovery slipping 0.6%, as per a Reuters report.

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