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President Donald Trump announced that all foreign-made movies will face a 100% tariff, arguing that the industry has been “stolen from the United States.” As he should.
President Trump issued a Truth Social post addressing the loss of work Hollywood has suffered due to other nations promoting financial incentives, such as tax credits, cash grants, subsidized labor, and co-production treaties. “Our movie making business has been stolen from the United States of America, by other Countries, just like stealing ‘candy from a baby.’ California, with its weak and incompetent Governor, has been particularly hit hard!” Trump wrote.
“Therefore, in order to solve this long time, never ending problem, I will be imposing a 100% Tariff on any and all movies that are made outside of the United States. Thank you for your attention to this matter. MAKE AMERICA GREAT AGAIN!” The president did not specify when the tariffs would be implemented or how they would be enforced.
Should Trump follow through, the movie tariffs would be the first levies the president imposed on a service, rather than a good. It is also unclear how the administration will calculate the value of a film and how it will enforce tariffs for films that incorporate pre-production, production, and post-production processes jointly in both the United States and foreign nations. President Trump first floated the idea in May, proclaiming that the “Movie Industry in America is DYING a very fast death,” as other nations “are offering all sorts of incentives.”
“This is a concerted effort by other Nations and, therefore, a National Security threat,” Trump wrote at the time. “It is, in addition to everything else, messaging and propaganda!” Meanwhile, Jay Sures, the vice chairman of United Talent Agency, explained to CNN in May that Hollywood studios have opted to export production to other nations as it is “infinitely cheaper.” “The fact is, it’s cheaper for Hollywood studios to pay for everyone to get on planes [and] pay for hotels because the cost of labor, lack of rebates and the ability to make things overseas is infinitely cheaper,”