Former US President Donald Trump announced on Monday that he will impose a 100 percent tariff on all films produced outside the United States and later distributed domestically, a move that could upend Hollywood’s global business model.
The threat, first voiced in May, signals Trump’s intent to extend protectionist trade policies into the cultural sector, creating uncertainty for studios heavily reliant on cross-border co-productions and overseas box office revenue.
In a post on Truth Social, Trump said foreign countries had stolen America’s film industry “like taking candy from a baby.” However, it remains unclear what legal authority he would use to implement such sweeping tariffs.
The White House has not yet responded to Reuters’ request for comment on how the tariffs might be applied. Major US studios, including Warner Bros. Discovery, Paramount Skydance, and Netflix, also declined to comment, while Comcast refrained from issuing a statement.
Analysts warn the move could drive up production and distribution costs. Paolo Pescatore, a media analyst at PP Foresight, noted that higher expenses would inevitably trickle down to consumers.
Trump has repeatedly signaled his ambition to restore Hollywood to prominence. In January, he appointed veteran actors Jon Voight, Sylvester Stallone, and Mel Gibson to lead efforts to make the industry “bigger, better and stronger than ever before.”
Hollywood’s production levels have already been under strain. In recent years, studios have shifted filming to locations offering attractive tax incentives, reducing overall costs. Devastating wildfires that swept through parts of Los Angeles earlier this year deepened concerns that producers may increasingly look abroad.
According to FilmLA, a non-profit organization tracking regional production, film and television output in Los Angeles has fallen by nearly 40 percent over the past decade.