Kathmandu
Thursday, August 28, 2025

U.S. President Trump Announces a 100% Tax on Foreign Films to Revive American Film Industry

May 5, 2025
2 MIN READ
A
A+
A-

KATHMANDU: Former U.S. President Donald Trump has announced plans to impose a 100% tariff on films made outside the United States, escalating his global trade disputes. Trump claims the American film industry is “rapidly heading toward death” and stated that he is authorizing the U.S. Department of Commerce and the U.S. Trade Representative to begin implementing the tariffs.

He blamed a “coordinated effort” by foreign nations to attract American studios through generous incentives—calling it a “national security threat.” “This is not just about money; it’s about messaging and propaganda,” Trump wrote on his social media platform, Truth Social. “We want films made in America again!”

U.S. Commerce Secretary Howard Lutnick confirmed, “We are actively working on this.” However, details remain unclear, including whether the tariffs would apply to U.S.-based production companies filming abroad.

Many major Hollywood films—such as Deadpool & Wolverine, Wicked, and Gladiator 2—were recently shot overseas. Blockbuster franchises like Avatar, The Avengers, and Mission: Impossible have also frequently filmed abroad, raising questions about how they might be affected.

Since returning to the White House in January, Trump has imposed tariffs on multiple countries, arguing that they protect U.S. jobs and industries. However, critics warn that this approach is destabilizing the global economy and raising prices worldwide.

Before his inauguration, Trump appointed actors Jon Voight, Mel Gibson, and Sylvester Stallone as special envoys to promote business opportunities in Hollywood. At the time, he called Hollywood a “great but deeply troubled place” and said the trio would help make it “bigger, better, and stronger than ever.”

Despite these challenges, the U.S. remains a global powerhouse in film production. According to research firm ProdPro, the American film industry reported $14.54 billion in production spending last year—a 26% decline since 2022. In the meantime, countries like Australia, New Zealand, Canada, and the UK have increased film spending by offering more attractive incentives.

In response, China recently reduced the number of American movies entering Chinese theaters and imposed a 125% import tariff on U.S. goods, once again putting trade relations to the test.