
In a dramatic policy shift, US President Donald Trump announced a 100% tariff on all foreign films entering the country, citing the rapid decline of America's movie industry and framing it as a national security issue. The surprise move aims to bring film production back to US soil, as Trump accused other nations of using “all sorts of incentives” to lure filmmakers away from Hollywood.
“The Movie Industry in America is DYING a very fast death,” Trump declared in a Truth Social post. “This is a concerted effort by other Nations and, therefore, a National Security threat… WE WANT MOVIES MADE IN AMERICA, AGAIN!”
Trump has directed the Department of Commerce and the United States Trade Representative to begin the immediate process of instituting the tariff. Commerce Secretary Howard Lutnick confirmed the directive with a brief post on X (formally Twitter), saying, “We’re on it.” However, no implementation details have been released, including whether the tariff will apply to American studios producing films overseas.
The announcement has sparked concerns globally. Indian filmmaker Vivek Agnihotri called it “a disastrous move” and warned that it could collapse India’s struggling film industry. “Indian film leaders must wake up, unite, and fight this threat instead of chasing paparazzi and self-glorification,” he posted on X.
The impact of such a policy could be significant. Indian films have gained traction in North America, with Kalki 2898 AD earning $11.2 million during its opening weekend — the biggest ever for an Indian film in the region. Baahubali 2: The Conclusion remains the all-time highest-grossing Indian film in the US and Canada, raking in $22 million.
The move follows Trump's prior trade war with China, which had already dented Hollywood's access to foreign markets. In April, Beijing responded to US tariff announcements by slashing the number of American films allowed into Chinese cinemas.