President Donald Trump announced that the United States will now put a 100% tax, called a tariff, on movies made in other countries. He shared the news on his social media site, saying that films creataed outside America are a danger to the country’s security. According to him, other nations are using special deals and rewards to attract American filmmakers to shoot their movies abroad, causing big problems for the US film industry.
Trump said this is not just about money, but also about controlling the messages that people see in movies. He called it a “national security threat” and claimed that foreign films spread propaganda. He also promised to bring back movie-making to America, using the slogan: “WE WANT MOVIES MADE IN AMERICA, AGAIN!”
The president said he has already told the US Commerce Department and trade officials to get started on enforcing this huge tariff right away. However, no details were given about how exactly this rule will work. It’s still unclear whether the tax will hit only foreign studios or also American companies that make films in other countries like Canada, Australia, or New Zealand.
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Big Drop in US Movie Production
Over the last 10 years, movie and TV production in Los Angeles, known as the heart of Hollywood, has dropped by nearly 40%. This is because many other countries are offering sweet deals like tax breaks and cash rewards to tempt producers to shoot their films there. It has worked well for places like Australia and New Zealand, which have become popular filming spots for big movies.
Experts say that in 2025, around $248 billion is expected to be spent worldwide on creating content like movies and shows. A large slice of that money has been going outside the US, which has worried some leaders. They believe that losing movie-making jobs and dollars to other countries is hurting America.
After Trump’s announcement, officials from countries like Australia and New Zealand quickly spoke up, saying they would fight to protect their own film industries. They are waiting to learn more about the new rule but made it clear they will stand up for their movie businesses.
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Fears of a Global Movie Trade War
This isn’t the first time Trump’s tariffs have caused waves. Earlier, he started a trade war with China by putting taxes on Chinese goods. That move shook markets and made some people fear the US economy could slow down. Now, with these new tariffs on foreign-made movies, there are worries that other countries will strike back.
In fact, China, which is the second biggest movie market in the world, has already reacted. Just last month, China cut down the number of American movies allowed to play in its theaters. Hollywood relies a lot on Chinese audiences, so this move is already making things tough for US studios.
Trade experts warn that if more countries decide to fight back, the US film industry could suffer even more. They say America has more to lose because it sells a lot more movies abroad than it imports. Retaliation could shrink Hollywood’s global reach and income.
So far, Trump and his team have not shared a detailed plan about how the tariffs will be applied or when they will start. Without clear rules, filmmakers and studios around the world are left guessing what will happen next.