Hollywood rocked by Trump’s announcement: Declares 100% tax on every film made outside the U.S.

Washington (The Uttam Hindu): Former U.S. President Donald Trump sent shockwaves through Hollywood and the global film industry on Monday with a startling announcement. Trump declared that if he returns to power, he will impose a 100% tariff on every film produced outside the United States.

The announcement was made via his social media platform, Truth Social, where Trump wrote, “Other countries have taken our film industry from us as if snatching candy from a child.” The statement has raised deep concerns in Hollywood, where a significant portion of revenue comes from international markets.

Industry in Unease, Major Studios Silent

Following Trump’s announcement, major studios and streaming platforms, including Warner Bros. Discovery, Paramount, Netflix, and Comcast, are reportedly anxious. However, none of these companies have yet released an official statement.

In today’s filmmaking landscape, productions are rarely confined to one country. Shooting, funding, post-production, and VFX work often take place across multiple countries. Experts say it is unclear how the 100% foreign film tariff would be implemented and which movies would fall under this rule.

Legal and Trade Concerns

Legal and international trade experts have raised serious questions about the proposal. Films are considered intellectual property and a part of global service trade. The U.S. itself earns massive profits from foreign markets in this sector. Imposing such a tariff could directly violate international trade agreements. Additionally, co-productions, where multiple countries collaborate on a single film, complicate defining which films are “foreign.”

Immediate Market Impact

The announcement also affected the stock market. Netflix shares fell by approximately 1.5% in early trading. The White House has not provided clarity on how the tariff would be enforced or its legal framework. Trump had previously floated similar ideas in May, but no concrete plan was introduced. The global film industry is now assessing the far-reaching consequences of this announcement.