Trump Announces 100% Tariffs On Movies Made Outside US, Says Business Has Been ‘Stolen’
US President Donald Trump on Monday announced his administration will impose a 100% tariff on all movies made outside the United States, a move that could send shockwaves through the global film industry, including India’s Bollywood. In a post on his social media platform, Truth Social, Trump declared, “Our movie making business has been stolen from the United States of America, by other Countries, just like stealing ‘candy from a baby’”.
The announcement formalizes a threat Trump first made in May, which had caused confusion and concern among entertainment industry executives. While the exact mechanism for applying tariffs to films which are considered services, not goods remains unclear, the impact on international filmmaking could be severe.
For Indian cinema, which counts the US as its single largest overseas market contributing up to 40% of foreign box office revenue, the tariffs could be devastating. Industry analysts predict that ticket prices and distribution costs for Indian films could double, rendering many smaller and mid-budget productions financially unviable in the US market.
The move is part of a broader “America First” trade strategy by the Trump administration, which has seen tariffs imposed on a wide range of goods from pharmaceuticals to furniture. Trump’s aim is to incentivize the return of film production to the US, a goal he has tasked veteran Hollywood actors like Jon Voight, Sylvester Stallone, and Mel Gibson with achieving.
Proposals discussed earlier this year included a federal tax credit for domestic productions, paired with a punitive tariff on films shot abroad that would be equivalent to 120% of the foreign tax incentive received. It is still not specified whether the new tariffs will apply to streaming platforms as well as theatrical releases, or if productions split between the US and other countries would be exempt. The decision is expected to accelerate the shift towards streaming platforms for the 5.2 million-strong Indian diaspora in the US, who may face sharply higher ticket prices and reduced access to theatrical releases of Indian films
