Trump declares 100% tariff on foreign-produced films, citing national security and industry decline. Commerce Department to enact, prompting global concerns and potential retaliation amid existing challenges.
Headline: Trump announces 100% tariffs on movies ‘produced in foreign lands’
- President calls films ‘national security threat’ and claims he called on commerce department to immediately enact tariff
Key Points:
- Donald Trump announced a 100% tariff on all movies “produced in Foreign Lands” on his Truth Social platform.
- He claims the US film industry is dying due to incentives offered by other countries.
- Trump authorized the commerce department and the US trade representative to immediately begin instituting the tariff.
- He stated this is a “concerted effort by other Nations and, therefore, a National Security threat,” also calling it "messaging and propaganda!"
- The commerce secretary, Howard Lutnick, confirmed “We’re on it” via X, but details are scarce.
- It's unclear if the tariff targets production companies (foreign or American) producing films overseas.
- Film and television production in Los Angeles has fallen by nearly 40% in the last decade (according to FilmLA).
- Governments worldwide offer more generous tax credits to attract productions.
- Ampere Analysis predicts $248bn will be spent globally in 2025 to produce content.
- Politicians in Australia and New Zealand will advocate for their film industries in response.
- The film industry is already feeling effects as China reduced the quota of American movies allowed into the country.
Potential Impacts & Reactions:
- William Reinsch, a former senior commerce department official, said retaliation would be devastating and that the US has more to lose.
- Reinsch also stated it would be difficult to make a national security case for movies