President Donald Trump has announced a new tariff targeting foreign-made films, citing a threat to the American movie industry. In a post on his Truth Social platform, Trump authorized a 100% tariff on international movies entering the U.S., expressing concern about other countries luring filmmakers away with incentives. The impact of such a tariff on films with production in multiple countries remains unclear, as many big-budget movies are shot globally.

While incentive programs have influenced filming locations for years, driving productions away from states like California to countries with favorable tax incentives, American-produced movies dominate the domestic market. Despite China’s growing domestic movie production, North American earnings remain low. The Motion Picture Association has not yet responded to Trump’s latest tariff decision.

Trump’s history of imposing tariffs on global goods includes a 145% tariff on Chinese products and a 10% baseline tariff on goods from other countries. His efforts to protect American industries through tariffs have influenced global commerce, with tariffs on various goods like autos and steel. Trump’s concerns about movie production moving overseas have been longstanding, with setbacks in U.S. film and television production due to factors like the COVID-19 pandemic and recent strikes.

The decline in U.S. production has prompted states like California to expand tax credit programs to attract film and TV productions. Trump’s push for tariffs on foreign-made films reflects his aim to revive American movie-making capabilities and address the industry’s challenges.