- Trump proposes a 100% tariff on all foreign-made movies entering the U.S.
- Hollywood could face higher costs due to international collaborations.
- Indian cinema’s U.S. expansion may be hindered, especially via theaters and streaming.
President Donald Trump’s latest protectionist move—a 100% tariff on all foreign-produced films—marks a bold attempt to revitalize the U.S. movie industry.
Indian cinema, while not a dominant force at the U.S. box office, is gaining steady traction, especially among diaspora audiences. Films like RRR and Pathaan have recently grossed millions in North America.
Tariff Trouble: Trump’s Move Against Foreign Films and Its Global Fallout
The proposed 100% tariff is positioned as a lifeline for what Trump calls a “dying” Hollywood. He blames foreign tax breaks and subsidies for pulling big productions away from U.S. soil. But many of today’s most successful Hollywood films are global ventures—from shooting in Europe to VFX in India. This policy could make such practices economically unviable, forcing studios to rethink their production models.
For countries like the UK, Canada, and South Korea, the policy could be economically damaging. These nations have built robust film industries around providing locations, services, and co-productions with U.S. studios. Now, they could lose major clients or face retaliatory measures. Trump’s justification of the policy as a “national security” issue only heightens tensions.
Indian cinema, especially Bollywood, has traditionally relied on the U.S. for niche but valuable theatrical releases. If tariffs raise distribution costs, U.S. exhibitors may skip Indian films entirely, undermining growth for stars like Shah Rukh Khan or directors like SS Rajamouli in international markets. Indie Indian films seeking U.S. festival recognition or Oscar consideration may also suffer.
Moreover, streaming giants like Amazon Prime and Netflix—key distributors of foreign films in the U.S.—could be forced to absorb or pass on the cost of tariffs, potentially cutting back on licensing films from countries like India. This could result in fewer foreign films available to U.S. audiences, narrowing the cultural lens through which Americans engage with the world.
Trump’s tariff plan may be aimed at reviving American filmmaking, but it risks isolating Hollywood from a global creative ecosystem and hindering international cinema’s reach in the U.S.
“WE WANT MOVIES MADE IN AMERICA, AGAIN!” – Donald Trump