Former U.S. President Donald Trump said he plans to add a 100% tax on movies made in other countries. He claims this is to protect national security and help the American film industry, which he says is in trouble.
Trump said other countries like Canada and the UK give special deals to attract American movie studios.
He believes this hurts Hollywood and is a combined foreign threat. On his Truth Social platform, he said he told the Department of Commerce and the U.S. Trade Representative to start the process of adding the new tax on foreign films entering the U.S.
He warned that the U.S. movie business is “dying fast” and is in a steep decline. He pointed to a 22% drop in filming in Los Angeles early in 2025, according to FilmLA.
It’s not clear yet if the tax will apply to streaming movies or American-made movies filmed in other countries. Some experts think Trump is trying to fight back against China, which limits how many American films can be shown there.
From January to March this year, TV series production fell by 30.5% and movies by 28.9%. FilmLA said this is because of fewer projects and jobs moving out of California.
Trump said he will meet with movie industry leaders to talk more about the issue.
Experts say the tax could cause big problems. Making movies today often involves crews and filming locations in many countries. A tax like this could raise costs, start trade fights, and cause other countries to limit U.S. films in response. This could hurt American jobs and cut billions from the economy.
In 2023, the U.S. film industry made $15.3 billion more from exports than it spent on foreign films. But this lead could shrink if the new tax goes ahead.
Source: MercoPress.
