Donald Trump makes a radical decision that disrupts the worldwide entertainment business by imposing 100% tariffs on all movies produced outside of the United States to protect American film production. Trump declared Hollywood’s decline as a threat to national security while using Truth Social to accuse foreign governments of using attractive incentives to steal American filmmakers away from the country thus causing “Hollywood being devastated.”
The U.S. Department of Commerce and Trade Representative received instructions from Trump to start enforcing a 100% tariff immediately. The new tariff system remains unspecified but it might affect both international and American film production companies that operate outside the United States.
The announcement emerges during an escalating trade conflict with China because the country cut its U.S. film imports. The Commerce Secretary Howard Lutnick confirmed the swift implementation of this policy through X after Trump made his announcement.
The American entertainment industry faces major global collaboration obstacles because of this new order. The new policy from Trump will likely cause studios to reevaluate their international production strategies and financial plans which will affect both Hollywood and the international film industry.