Donald Trump has renewed his threat to impose a 100% tariff on all movies made outside the United States. He said foreign countries had “stolen” America’s film industry.
California bears the brunt
On Monday, Trump claimed California suffered the most from the current situation. He argued the levy would “solve this long time, never ending problem”. In May, he had already announced plans to meet Hollywood executives. At that time, he warned the US film sector was dying “a very fast death”.
Tariffs hit multiple industries
Trump’s warning followed the rollout of tariffs on other sectors. These included a 100% levy on branded or patented drug imports and 50% tariffs on kitchen and bathroom cabinets. On Truth Social, he said America’s movie business had been taken “like stealing candy from a baby”. He also called California’s governor “weak and incompetent”.
Details remain unclear
Trump promised the 100% tariff on “any and all movies made outside of the United States”. He did not indicate when it would take effect. The White House has not commented. It is unclear whether streaming services like Netflix will be included. No guidance has been provided on how the levy would be calculated.
Canada warns of impact
The Canadian Chamber of Commerce said it was “deeply concerned” about the proposal. It emphasized that US studios rely heavily on Canadian crews, facilities, and talent. Catherine Fortin-LeFaivre, senior vice president for international policy, said the tariffs would punish American studios. She warned the measure would raise costs, reduce investment, and harm both economies. She added it could put thousands of middle-class jobs at risk.
Experts doubt feasibility
Dan Coatsworth, investment analyst at AJ Bell, questioned how the tariff could work. He said tariffs usually target goods, not creative projects. He noted filmmakers often choose foreign locations for better tax incentives. He said the plan “raises more questions than it does answers”. Coatsworth added that defining an American-made film would be complex if actors, funding, or directors were foreign. He warned higher production costs could hurt cinemas and streaming services. Still, investors appeared largely unconcerned, and Netflix and Disney shares recovered quickly after a brief dip.
More films produced abroad
Recent US productions such as Deadpool & Wolverine, Wicked, and Gladiator II were filmed overseas. Research firm ProdPro confirmed the US remains a leading hub for global film production. Spending reached $14.54 billion last year, down 26% from 2022. Meanwhile, Australia, New Zealand, Canada, and the UK have attracted more production investment.
Britain closely watching
Officials in London said they are monitoring how the US tariff could affect British studios. A Department for Business & Trade spokesperson said the UK film industry supports millions of jobs and generates billions for the economy.
Trump expands trade measures
Trump also announced new tariffs on wood and furniture on Monday. He set a 10% levy on softwood timber and lumber and 25% tariffs on kitchen cabinets, vanities, and upholstered wooden furniture. Earlier that day, he previewed the plan on Truth Social. He promised “substantial tariffs on any country that does not make its furniture in the United States”. A presidential proclamation confirmed the tariffs will start on 14 October. Some levies will rise further next year if trade deals are not reached. These measures follow Trump’s earlier pledge of 100% tariffs on branded or patented drug imports unless companies build factories in the US.
