Trump Declares 100% Tariff on All Non-U.S. Movies

President Donald Trump announced plans on Monday to impose a 100% tariff on any and all movies made outside the United States, a move that has rattled Hollywood and the global film industry.

According to CNN, Trump posted the policy proposal on his Truth Social account but did not specify how or when the tariff would be enacted. If implemented, it would be one of the first major moves to apply a tariff-style barrier to a service-based industry rather than a physical good.

Trump first threatened a 100% tariff in May, arguing that other countries offer tax incentives that have lured film production overseas. In his Monday post he singled out California, saying the state “has been particularly hard hit!”

Hollywood executives were blindsided when Trump first previewed the measure earlier this year. “On first blush, it’s shocking and would represent a virtually complete halt of production,” one industry insider told CNN at the time. “But in reality, he has no jurisdiction to do this and it’s too complex to enforce.”

Industry figures point to economic pressures that push studios to shoot abroad. Jay Sures, vice chairman of United Talent Agency, told CNN in May: “The fact is, it’s cheaper for Hollywood studios to pay for everyone to get on planes, pay for hotels, because the cost of labor, lack of rebates and the ability to make things overseas is infinitely cheaper.”

Markets reacted to the announcement: Netflix (NFLX) opened down about 1% Monday morning after the post, while other entertainment-linked stocks, including AMC (AMC) and The Walt Disney Company (DIS), opened higher.

The proposal raises immediate legal, trade, and logistical questions about how a blanket tariff on films could be implemented and enforced, and what it would mean for U.S. studios, global co-productions, and the many countries that host major productions.